An Object-Oriented Model of the Portfolio Selection Problem
Heinz Roland Weistroffer, Charles Hamilton Smith · Journal of the Association for Information Systems · 2003
Most decisions must consider multiple, generally conflicting, decision objectives.And many decisions require not a single solution alternative, but a set or portfolio of alternatives.A business will generally produce a portfolio of products.Government will raise revenue through a portfolio of taxes.A prospective college student is wise to apply to a mix of schools, including some with high likelihood of acceptance.A project team leader needs to select several team members, creating a balance of skills and taking into account the synergy of the team.While the single solution alternative decision problem has been widely studied and many solution approaches and decision support systems have been developed, the portfolio problem has been largely neglected.Specific problem environments have been discussed using heuristic, ad hoc methods, but no general methodology has been developed.This research attempts to develop a comprehensive model of the portfolio problem using an object oriented approach.The object-oriented approach will allow future research to focus on and further develop individual pieces of the model, without loss of overview and integration.