MODERN DECISION-MAKING MECHANISM IN THE PROCESS OF DEVELOPMENT OF SMALL FARMS

Authors

  • Reka Korhec University of Novi Sad, Faculty of Economics in Subotica, Segedinski put 9-11, 24000 Subotica, Serbia https://orcid.org/0009-0009-7343-9990
  • Otilija Sedlak University of Novi Sad, Faculty of Economics in Subotica, Segedinski put 9-11, 24000 Subotica, Serbia https://orcid.org/0000-0002-7430-7027
  • Aleksandra Marcikić Horvat University of Novi Sad, Faculty of Economics in Subotica, Segedinski put 9-11, 24000 Subotica, Serbia https://orcid.org/0000-0002-4199-4238
  • Dragan Stojić University of Novi Sad, Faculty of Economics in Subotica, Segedinski put 9-11, 24000 Subotica, Serbia https://orcid.org/0000-0003-4067-570X
  • Boris Radovanov University of Novi Sad, Faculty of Economics in Subotica, Segedinski put 9-11, 24000 Subotica, Serbia https://orcid.org/0000-0002-4728-7286
  • Mirjana Marić University of Novi Sad, Faculty of Economics in Subotica, Segedinski put 9-11, 24000 Subotica, Serbia https://orcid.org/0000-0001-7150-4992

DOI:

https://doi.org/10.59267/ekoPolj2302437K

Keywords:

Promethee Method, Topsis Method, Agricultural Mechanization, Serbian market

Abstract

The use of multi-criteria decision-making methods can contribute to finding the most rational solution more easily and efficiently. The purpose of the research is to investigate the applicability of the PROMETHEE and TOPSIS methods at the level of family farms and their comparative analysis in the case of the purchase of agricultural mechanization. Both methods start from a set of criteria established based on the subjective expectations of 48 farmers (decision makers) who were asked to choose the decision criteria. Then, mathematical models are used to determine the most suitable choice for the farm. Based on the research findings, it can be concluded that applying both methods in parallel leads to similar outcomes. Although decision support systems can be instrumental in making the right decisions, their usage is still not widely adopted in family farms due to the challenges of introducing new solutions in a production setting.

Downloads

Download data is not yet available.

Author Biographies

Reka Korhec, University of Novi Sad, Faculty of Economics in Subotica, Segedinski put 9-11, 24000 Subotica, Serbia

 

 

Otilija Sedlak, University of Novi Sad, Faculty of Economics in Subotica, Segedinski put 9-11, 24000 Subotica, Serbia

 

 

Aleksandra Marcikić Horvat, University of Novi Sad, Faculty of Economics in Subotica, Segedinski put 9-11, 24000 Subotica, Serbia

 

 

Dragan Stojić, University of Novi Sad, Faculty of Economics in Subotica, Segedinski put 9-11, 24000 Subotica, Serbia

 

 

Boris Radovanov, University of Novi Sad, Faculty of Economics in Subotica, Segedinski put 9-11, 24000 Subotica, Serbia

 

 

Mirjana Marić, University of Novi Sad, Faculty of Economics in Subotica, Segedinski put 9-11, 24000 Subotica, Serbia

 

 

References

Bešić, C., Bakator, M., Đorđević, D., Ćoćkalo, D., & Stanisavljev, S. (2022). Modern Agribusiness Within The Framework Of Society 5.0. Economics of Agriculture, 69(2), 365–383. https://doi.org/10.5937/ekoPolj2202365B

Bobar, V. (2014). Mogućnosti unapređenja sistema poslovnog odlučivanja u procesu e-nabavke (Doktorska disertacija). Fakultet organizacionih nauka, Univerzitet u Beogradu, Retrieved from: http://www.fon.bg.ac.rs/downloads/2014/10/VjekoslavBobar_Disertacija.pdf [in English: Bobar, V. (2014). Opportunities for improving the business decision-making system in the e-procurement process (Doctoral dissertation). Faculty of Organizational Sciences, University of Belgrade.]

Brans, Jp. & Mareschal, B. (2005). Promethee methods. Centrum voor Statistiek en Operationeel Onderzoek, Vrije Universiteit Brussel, Brussels. Retrieved from: https://www.cin.ufpe.br/~if703/aulas/promethee.pdf (Maj 15, 2022)

Ciric P, Z., Stojic, D., Sedlak, O., Marcikic Horvat, A. & Kleut, Z. (2019). Innovation Model of Agricultural Technologies Based on Intuitionistic Fuzzy Sets. Sustainability 2019, 11, 5457. https://doi.org/10.3390/su11195457

Ciric P, Z., Stojic, D. & Sedlak, O. (2015). Multicriteria HR Allocation Based on Hesitant Fuzzy Sets and Possibilistic Programming. Acta Polytechnica Hungarica, 2015, 12(3). https://doi.org/10.12700/APH.12.3.2015.3.11

Chang, C.H., Lin, J.J., Linc, J.H. & Chiang, M.C. (2010). Domestic open-end equity mutual fund performance evaluation using extended TOPSIS method with different distance approaches. Expert Systems with Applications, 37(6): 4642-4649.

Cvijanovic, D., Sedlak, O. & Vojinović, Z. (2018). Urban Agriculture: A Framework for Agricultural Policy – Present and Future. The Common Agricultural Policy of the European Union – The Present and the Future, Non-EU Member State No 74.1, IAFE-NRI, Warsaw 2018, Available at SSRN: https://ssrn.com/abstract=3203214

Dyer, J.S., Fishburn, P.C., Steuer, R.E., Wallenius, J. & Zionts, S. (1992). Multiple criteria decision making, multiattribute utility theory: the next ten years. Management Science, Vol. 38, No. 5 (May, 1992), pp. 645-654.

Fazekaš, T., Bobera, D., & Ćirić, Z. (2017). Ecologically and Economically Sustainable Agricultural Transportation Based on Advanced Information Technologies.Economics of Agriculture, 64(2), 739–751. https://doi.org/10.5937/ekoPolj1702739F

Fu, L. & Dan, J. (2014). The Application of Improved Gray Relational Model in Agricultural Equipment Selection. J. Agric. Mech. Res., 36, 40–42.

Janković, N., Čakajac, B., Luković, S., & Mitrašević, M. (2022). The tourism sector as a determinant of reducing the balance of payments deficit in the Republic of Serbia. Menadžment u hotelijerstvu i turizmu, 10(2), 137-151. https://doi.org/10.5937/menhottur2202137J

Lu, H., Zhao, Y., Zhou, X. & Wei, Z. (2022). Selection of Agricultural Machinery Based on Improved CRITIC-Entropy Weight and GRA-TOPSIS Method. Processes, 10, 266. https://doi.org/10.3390/pr10020266

Nedeljković, M., Puška, A., & Krstić, S. (2022). Multicriteria Approach to Rural Tourism Development in Republic Of Srpska. Economics of Agriculture, 69(1), 13–26. https://doi.org/10.5937/ekoPolj2201013N

Pantić, N., Mikulič, K., & Lekovič, M. (2022). The influence of claims payments on the investment portfolio of insurance companies. Oditor, 8(3), 42-71. https://doi.org/10.5937/Oditor2203042P

Prdić, N., & Kostić, S. (2022). Poslovanje pijaca u kriznim situacijama sa posebnim osvrtom na komunikaciju sa potrošačima i javnošću. Akcionarstvo – časopis za menadžment, 28(1) 63-78.

Promethee & Gaia Software (2020). Visual Promethee, Retrieved from: http://www.promethee-gaia.net/phone/visual-promethee.html (Maj 20, 2022)

Radivojević, D. (2012). Poljoprivredna mehanizacija, oprema i objekti. Republički zavod za statistiku, Beograd. Retrieved from: https://pod2.stat.gov.rs/ObjavljenePublikacije/Popis2012/Poljoprivredna%20mehanizacija,%20oprema%20i%20objekti.pdf (Jun 11, 2022) [in English: Radivojević, D. (2012). Agricultural machinery, equipment and facilities. Statistical Office of the Republic of Serbia, Belgrade.]

Sedlak, O., Jovin, S., Pejanović, R., Ćirić, Z., & Eremić Đođić, J. (2016). Access to Finance for Micro, Small and Medium Business Units in Serbian Agribusiness. Economics of Agriculture, 63(4), 1219–1235. https://doi.org/10.5937/ekoPolj1604219S

Stanimirović, P., Stojković, N. & Petković, M. (2007). Matematičko programiranje. Prirodno-Matematički fakultet u Nišu, Niš. Retrieved from: https://www.pmf.ni.ac.rs/download/biblioteka/knjige/7.pdf (Jun 12, 2022) [in English: Stanimirović, P., Stojković, N., & Petković, M. (2007). Mathematical programming. Faculty of Science and Mathematics, University of Niš, Niš.]

Szántó, R. (2012). Több szempontú részvételi döntések a fenntarthatósági értékelésekben. Közgazdasági Szemle, LIX. évf. Retrieved from: https://www.researchgate.net/publication/279504479_Tobbszempontu_reszveteli_dontesek_a_fenntarthatosagi_ertekelesekben_A_legnepszerubb_modszerek_osszehasonlitasa (Maj 12, 2022) [in English: Szántó, R. (2012). Multi-criteria participatory decision-making in sustainability assessments. Economic Review, 59th volume.]

Tzeng, G.-H., Chiang, C.-H., & Li, C.-W. (2007). Evaluating intertwined effects in e-learning programs: A novel hybrid MCDM model based on factor analysis and DEMATEL. Expert Systems with Applications, 32, 1028–1044.

Zavadskas, E.K., Turskis, Z. & Kildiene, S. (2014). State of art surveys of overviews on MCDM/MADM methods. Technological and Economic Development of Economy, 20(1): 165-179. https://doi.org/10.3846/20294913.2014.892037

Downloads

Published

2023-06-19

How to Cite

Korhec, R., Sedlak, O. ., Marcikić Horvat, A., Stojić, D. ., Radovanov, B., & Marić, M. (2023). MODERN DECISION-MAKING MECHANISM IN THE PROCESS OF DEVELOPMENT OF SMALL FARMS . Economics of Agriculture, 70(2), 437–451. https://doi.org/10.59267/ekoPolj2302437K

Issue

Vol. 70 No. 2 (2023): Economics of Agriculture

Section

Original scientific papers

License

Copyright (c) 2023 Economics of Agriculture

Creative Commons License

This work is licensed under a Creative Commons Attribution-ShareAlike 4.0 International License.

Crossref
Scopus
Google Scholar
Europe PMC

Most read articles by the same author(s)