Enterprise resource planning (ERP) system selection using a simulation-based AHP approach: a case of Korean homeshopping company

An enterprise resource planning (ERP) system is a critical investment that can significantly affect future competitiveness and performance of a company. The analytic hierarchy process (AHP) method is often applied to select an ERP system since it is well suited to multiple criteria decision-making problems. This study presents a simulation-based AHP (SiAHP) method for group decision making and is applied to the real-world problem of selecting a suitable ERP system for a Korean homeshopping company. To enhance the fitness of a group AHP method and to facilitate the ERP system selection process, this paper proposes a simulation-based approach for building a group consensus instead of forming point estimates that are aggregated from individual preference judgments.