Abstract:

The aim of this case study is to focus on real-life application of multiple decision making methods (MCDM) methods and their adaptation in a way which can be acceptable for human resource practice. The study will apply the group decision making methods on a various types of human resources tasks, such as employee selection, training and development and employee performance management. The study is mainly concerned with multiple criteria decomposition methods of analytic hierarchy process (AHP), DEMATEL method and TOPSIS method. These techniques have been already applied in several business domains such as planning, evaluation of regions; Porter’s generic strategies; benchmarking; business performance evaluation; competency models etc. However, most of these methods were implemented only as an example how it could work in practice, but they were not investigated as a part of continual human resources decision making. In this paper the AHP method will be used to determine which criteria is most important for the company i.e. which employee qualities are the most important for the company and the DEMATEL method will be used to find causal relations among the criteria in order to find out which criteria affects the most the others. The TOPSIS method will be used to evaluate employees’ performance. Main aim of this paper is to describe and show that MCDM methods can be used by the human resources professionals for a better decision making when it comes to hiring new employees, selecting training and development program and evaluating their performance.