THE SELECTION OF AN INTERNET SERVICE PROVIDER FOR AN EDUCATION TECHNOLOGY COMPANY BY USING THE ANALYTICAL HIERARCHY PROCESS (AHP)

Decision-making on problem-solving is essential in becoming a problem-solver for the issue at hand. Of course, we are already familiar with the term MCDM. Its acronym is multiple-criteria decision-making (MCDM). Widespread use of the acronym was popularized in 1979 by Stanley Zionts. The Analytic...

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Bibliographic Details
Main Author: Sadria, Farihah
Format: Theses
Language:Indonesia
Subjects:
Online Access:https://digilib.itb.ac.id/gdl/view/71234
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Institution: Institut Teknologi Bandung
Language: Indonesia
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Summary:Decision-making on problem-solving is essential in becoming a problem-solver for the issue at hand. Of course, we are already familiar with the term MCDM. Its acronym is multiple-criteria decision-making (MCDM). Widespread use of the acronym was popularized in 1979 by Stanley Zionts. The Analytic Hierarchy Process (AHP) is a powerful tool for MCDA, which uses ratio scale factors for pairwise comparison enabling the making of a judgment or decision from the weighting of several criteria (Saaty, 1990; Saaty, 2013). This research begins with an issue that arises in companies engaged in education technology (ed-tech) in Indonesia. This company is quite influential and has a significant role in developing the virtual teaching-learning process. Not only that, but the company also produces training and learning videos for school-level community to office workers. Learning methods like this are familiar in developed countries. However, as we know, Indonesia is a country that has a bad internet connection. Companies engaged in technology are very dependent on the internet. Please note that the internet depends on infrastructure, but companies cannot do more for this scope. So, the company takes a role in maximizing the selection of internet provider companies. For this reason, this study selects expert workers who arrange the selection of internet service providers and collect data through interviews and focus group discussions. It generates essential factors that will be used in the selection process. A pairwise comparison of each individual will then be combined and processed using the analytic hierarchy process (AHP) method, and priorities will be formed from the previously determined alternatives. The results of this study indicate that one company has the highest score among the other four alternatives. Through this AHP process, companies prioritized in selecting adequate internet service providers are expected to become recommendations that can be submitted to companies and reduce exposure to operational risk and reputation risk.