Project name: inventory
Date: 9/23/2025 8:48:25 PM

TOPSIS as one of MCDM methods considers both the distance of each alternative from the positive ideal and the distance of each alternative from the negative ideal point. In other words, the best alternative should have the shortest distance from the positive ideal solution (PIS) and the longest distance from the negative ideal.

In this study there are 5 criteria and 5 alternatives that are ranked based on TOPSIS method. The following table describes the criteria

Characteristics of Criteria

name type weight
1Program\n ReputationPositive0.2
2Faculty QualityPositive0.2
3Research OpportunitiesPositive0.2
4Job Placement RatePositive0.2
5Cost of AttendancePositive0.2

The following table shows the decision matrix.

Decision Matrix

Program\n ReputationFaculty QualityResearch OpportunitiesJob Placement RateCost of Attendance
Stanford University Computer Science Program98893
Massachusetts Institute of Technology (MIT) Computer Science Program1091082
Carnegie Mellon University Computer Science Program89996
University of California98875
California Institute of Technology (Caltech) Computer Science Program97781

The Steps of the TOPSIS Method :

STEP 1: Normalize the decision-matrix.

The following formula can be used to normalize.

The following table shows the normalized matrix.

The normalized matrix

Program\n ReputationFaculty QualityResearch OpportunitiesJob Placement RateCost of Attendance
Stanford University Computer Science Program0.4460.4350.4230.4890.346
Massachusetts Institute of Technology (MIT) Computer Science Program0.4960.4890.5290.4350.231
Carnegie Mellon University Computer Science Program0.3970.4890.4760.4890.693
University of California0.4460.4350.4230.380.577
California Institute of Technology (Caltech) Computer Science Program0.4460.380.370.4350.115

STEP 2: Calculate the weighted normalized decision matrix.

According to the following formula, the normalized matrix is multiplied by the weight of the criteria.

The following table shows the weighted normalized decision matrix.

The weighted normalized matrix

Program\n ReputationFaculty QualityResearch OpportunitiesJob Placement RateCost of Attendance
Stanford University Computer Science Program0.0890.0870.0850.0980.069
Massachusetts Institute of Technology (MIT) Computer Science Program0.0990.0980.1060.0870.046
Carnegie Mellon University Computer Science Program0.0790.0980.0950.0980.139
University of California0.0890.0870.0850.0760.115
California Institute of Technology (Caltech) Computer Science Program0.0890.0760.0740.0870.023

STEP 3: Determine the positive ideal and negative ideal solutions.

The aim of the TOPSIS method is to calculate the degree of distance of each alternative from positive and negative ideals. Therefore, in this step, the positive and negative ideal solutions are determined according to the following formulas.

So that

where j1 and j2 denote the negative and positive criteria, respectively.

The following table shows both positive and negative ideal values.

The positive and negative ideal values

Positive ideal Negative ideal
Program\n Reputation0.0990.079
Faculty Quality0.0980.076
Research Opportunities0.1060.074
Job Placement Rate0.0980.076
Cost of Attendance0.1390.023

STEP4: distance from the positive and negative ideal solutions

TOPSIS method ranks each alternative based on the relative closeness degree to the positive ideal and distance from the negative ideal. Therefore, in this step, the calculation of the distances between each alternative and the positive and negative ideal solutions is obtained by using the following formulas.

The following table shows the distance to the positive and negative ideal solutions.

Distance to positive and negative ideal points

Distance to positive ideal Distance to positive negative
Stanford University Computer Science Program0.0740.054
Massachusetts Institute of Technology (MIT) Computer Science Program0.0930.05
Carnegie Mellon University Computer Science Program0.0220.121
University of California0.0410.094
California Institute of Technology (Caltech) Computer Science Program0.1230.015

STEP 5: Calculate the relative closeness degree of alternatives to the ideal solution

In this step, the relative closeness degree of each alternative to the ideal solution is obtained by the following formula. If the relative closeness degree has value near to 1, it means that the alternative has shorter distance from the positive ideal solution and longer distance from the negative ideal solution.

The following table shows the relative closeness degree of each alternative to the ideal solution and its ranking.

The ci value and ranking

Ci rank
Stanford University Computer Science Program0.4233
Massachusetts Institute of Technology (MIT) Computer Science Program0.3514
Carnegie Mellon University Computer Science Program0.8441
University of California0.6972
California Institute of Technology (Caltech) Computer Science Program0.1075

The following figure shows the ci values.

The ci value