PERFORMANCE EVALUATION OF NON-LIFE INSURANCE COMPANIES WITH BEST-WORST METHOD AND TOPSIS

Year 2020, Volume: 16 Issue: 1, 108 - 125, 10.03.2020

Gökhan Akyüz Ömür Tosun Salih Aka

https://doi.org/10.17130/ijmeb.700907

Cited By: 12

Abstract

Like in any other field, performance of a company in the insurance industry is the key
factor of gaining competitive advantage and market share. In this study, insurance companies
are ranked according to their 2016 performance indicators using a two-step hybrid MCDM
method including BWM and TOPSIS. Only the non-life insurance companies are used in the
study. BWM is one of the relatively new MCDM methods, which has an advantage of using less
comparison, measuring the consistency between the pair-wise comparisons and giving interval
analysis for multi-optimal situations. In the proposed methodology, BWM is used to calculate
the criterion weights and TOPSIS to rank the alternatives. The solutions found are consistent
with the real life market shares of the insurance companies.

Keywords

Best-Worst Method, Performance Order, Non-Life Insurance, TOPSIS, Multi- Criteria Decision Making

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