SATISFICING TRADE-OFF METHOD FOR PROBLEMS WITH MULTIPLE LINEAR FRACTIONAL OBJECTIVES AND ITS APPLICATIONS

The aspiration level approach to multi-objective decision problems is observed to be very effective in many real problems. The satisficing trade-off method is one of them, and has been being applied to several kinds of real problems. Among them, the problem, in which some ratio are to be maximized or minimized, is of fractional programming. For example, in bond trading, we have several linear fractional objective functions to be maximized or minimized such as the average direct yield, the average yield to maturity, the average effective yield and so on. In the application of the satisficing trade-off method to problems with multiple fractional objective functions, we have to solve the so-called a generalized fractional programming problem. In this paper, it will be shown that the computer program using Dinkelbach type algorithm is devloped, and effectively applied to bond trading problems and cement blending problems.