The Multicriteria Method for Environmentally Oriented Business Decision-Making


Vesna Čančer




Stimulated by the expressed managers’ need for some completed methods for environmental management in enterprises, we present the method for environmentally oriented business decision-making. It is based on simulations where optimization models of business processes are used as scenarios. The possibilities for an integrated approach to environmental protection are introduced and – decomposed according to the type of the considered element by using zero-one variables – included in the optimization models. The method is completed for multicriteria decision-making where in the simulations obtained optimal values are included. In a real-life case where the Analytic Hierarchy Process technique is used to evaluate environmentally oriented business processes, special attention is given to criteria and weights: we consider preferences and survey findings on the environmental impact of business processes in the enterprise, survey findings on environmental management in the processing industry, and eco- balances.