Evaluating R&D Projects Using Two Phases Fuzzy AHP and Fuzzy TOPSIS Methods

Abstract

Technology provides important contributions to economic growth by increasing productivity in production. One of the most importantindicators of technological innovation is research and development (R&D) activities. R&D studies have become necessary forcompanies to have a competitive advantage and to continue their operations more profitably. The decisions taken by companies and theinvestments they make have become more important than ever for their institutional future. In this sense, investments and projects inthe R&D have become a decisive factor in the future of companies, moving companies away from traditional financial approaches thatonly aim at cost or profit. Decisions to be made in this issue have a more complex structure than ever, and their effectiveness has becomecritical for corporations. In this study, a two-stage model is proposed for the decision of an R&D project selection decision of an energycompany. In the model, the weights of the criteria are determined using the Fuzzy AHP (Analytical Hierarchy Process) method and themost appropriate project is determined by the Fuzzy TOPSIS (Technique for Order Preference by Similarity to Ideal Solutions) method.