Implementation of the Analytical Hierarchy Process Method and Multi Objective Optimization on the Basis of Ratio Analysis in the Selection of Insurance Products
Abstract
Insurance product offerings are not always understood by prospective customers (CN) due to limited information related to products. This can cause confusion so that CN does not want to buy it. The purpose of this study is to analyze the selection of insurance products PT. AIA Financial Samarinda, East Kalimantan, Indonesia uses the Analytical Hierarchy Process (AHP) and Multi Objective Optimization on the Basis of Ratio Analysis (MOORA) approach so that CNs can choose based on insurance product facilities that match their abilities. In this study, as many as 10 types of insurance products and 10 CN criteria were then analyzed based on the two methods used. Then, the calculation accuracy of the two methods has been using the confusion matrix (CM) method. Based on the results of CM calculations from 27 CN datasets with a conformity level of 81.5%, it has been obtained which indicates that the two methods can be implemented as an alternative in choosing insurance products according to ability or based on CN criteria. The results show that this method is quite effective, efficient and relatively easy to use in determining insurance products that meet the criteria or according to CN's economic capabilities
References
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[4]Y. Primadasa and Alfiarini, "Employee Performance Assessment Decision Support System Using Ahp And Moora Weighting Decision Support System Of Employee Performance Assessment Using Ahp And Moora Weighting," Cogito Smart J., vol. 5, no. 2, 2019.
[5] Putri Taqwa Prasetyaningrum, “Design Support System Design Determines the Level of Risk for Industrial All Risk Insurance Claims at PT. Aspan Insurance Using the Analytical Hierarchy Process (AHP) Method,” soft. researcher. and Servant. Masy. STMIK Tasikmalaya, vol. 9, pp. 19–30, 2020.
[6]C. Irwana, ZF Harahap, and AP Windarto, "Spk: Analysis of the Moora Method on Residents Recipient of House Renovation Assistance," J. Teknol. inf. MURA, vol. 10, no. 1, p. 47, 2018.
[7] KNA Nur, SR Andani, and P. Poningsih, "Decision Support System for Selection of the Best Catfish Seeds Using the MOORA (Multi-Objective Optimization On The Basis Of Ratio Analysis) and WASPAS (Weight Aggregated Sum Product Assessment) Methods," Sis. Decision Support for Selection of the Best Catfish Seeds Using the Method. MOORA (Multi-Objective Optim. Basis Ratio Anal. and WASPAS (Weight Aggregated Sum Prod. Assessment), vol. 2, no. 1, pp. 177–185, 2018.
[8]A. Utami and EL Ruskan, “Development of Decision Support System for Selection of Foundation Alumni Scholarship Using MOORA Method,” vol. 172, no. Siconian 2019, pp. 706–710, 2020.
[9]VMM Siregar, MR Tampubolon, EPS Parapat, EI Malau, and DS Hutagalung, “Decision support system for selection technique using MOORA method,” IOP Conf. Ser. mater. science. eng., vol. 1088, no. 1, p. 012022, 2021.
[10]I. Rahmadani, E. Mustiayu, N. Agustiani, and DF Saragih, “SPK: Analysis of the Moora Algorithm on Television Purchases as a Wise Family Solution,” vol. XX, no. Xx, 2017.
[11]R. Alfred, JH Obit, CCP Yee, H. Haviluddin, and Y. Lim, “Towards Paddy Rice Smart Farming: A Review on Big Data, Machine Learning and Rice Production Tasks,” IEEE Access, 2021.
[12] Surahman, A. Viddy, A. Fanany Onnilita Gaffar, Haviluddin, and A. Saleh Ahmar, “Selection of the best supply chain strategy using fuzzy based decision model,” int. J. Eng. Technol., 2018.
[13]T. Imam, R. Raham, SA Ansari, and Haviluddin, “Comparison of the Simple Addite Weighting (SAW) with the Technique for Others Reference by Similarity to Ideal Solution (TOPSIS) methods,” int. J. Eng. Technol., 2018.
[14] KD Goepel, “Comparison of judgment scales of the analytical hierarchy process—A new approach,” int. J. Inf. Technol. Decis. Mac., vol. 18, no. 02, pp. 445–463, 2019.
[15] AR Karimi, N. Mehrdadi, SJ Hashemian, GRN Bidhendi, and RT Moghaddam, “Selection of wastewater treatment process based on the analytical hierarchy process and fuzzy analytical hierarchy process methods,” int. J. Environ. science. Technol., vol. 8, no. 2, pp. 267–280, 2011.
[16]A. Khaira and RK Dwivedi, “A state of the art review of analytical hierarchy process,” mater. Today Proc., vol. 5, no. 2, pp. 4029–4035, 2018.
[17]JE Leal, “AHP-express: A simplified version of the analytical hierarchy process method,” MethodsX, vol. 7, p. 100748, 2020.
[18]Q. Li and H. Cui, “Assessment of Employment Rate in the Insurance major of Vocational and Technological College by Using a Delphi process and the Analytic Hierarchy Process,” in Proceedings of the 2021 International Conference on Control and Intelligent Robotics, 2021, pp. 372–375.
[19] I. Palcic and B. Lalic, “Analytical Hierarchy Process as a tool for selecting and evaluating projects.,” int. J. Simul. Model., vol. 8, no. 1, 2009.
[20]E. Budiman, N. Dengen, W. Indrawan, and Haviluddin, “Integrated Multi Criteria Decision Making for a Destitute Problem,” in 2017 3rd International Conference on Science in Information Technology (ICSITech), 2018, pp. 342–347.
[21]P.-H. Nguyen, J.-F. Tsai, VA Kumar G, and Y.-C. Hu, “Stock investment of agriculture companies in the Vietnam stock exchange market: An AHP integrated with GRA-TOPSIS-MOORA approaches,” J. Asian Finance. econ. Buses., vol. 7, no. 7, pp. 113–121, 2020.
[22]N. Dengen, E. Budiman, M. Wati, and U. Hairah, “Student Academic Evaluation using Naïve Bayes Classifier Algorithm,” in 2018 2nd East Indonesia Conference on Computer and Information Technology (EIConCIT), 2018, pp. 104–107.
[23]H. Rahmania Hatta, R. Muhammad Akhyar, D. Marisa Khairina, S. Maharani, H. Haviluddin, and P. Purnawansyah, “Decision Making Of Banana Varieties Based On Land in Samarinda Using Electre Method,” 2018.
[24]T. Saaty and L. Vargas, Models, methods, concepts & applications of the analytic hierarchy process. 2012.
Authors
Haviluddin, H., Budiman , E., & Ramadhan , R. (2022). Implementation of the Analytical Hierarchy Process Method and Multi Objective Optimization on the Basis of Ratio Analysis in the Selection of Insurance Products. International Journal of Advanced Science and Computer Applications, 1(1), 41–50. https://doi.org/10.47679/ijasca.v1i1.8
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