Reviewed learning material · Video analysis · EnglishRead the full overview
This 180-second lecture segment introduces the entropy method for determining objective criterion weights in multi-criteria decision making, contrasts it with AHP, and works through a mobile-phone selection example up to normalization and entropy computation. The clip shows the raw 5×4 decision matrix, derives the normalized matrix using column sums, then computes entropies ej for all four criteria. Final weight determination is not reached within this excerpt.
This video segment demonstrates the final steps of the Entropy Method for determining objective weights of criteria. It begins by showing the calculated entropy values (ej) for four criteria: Price or Cost, Storage Space, Camera, and Looks. The speaker then introduces the concept of 'degree of diversification', defined as 1−ej, and calculates it for each criterion. Finally, the video applies the weight vector formula, wj=(1−ej)/∑(1−ej), to normalize the degrees of diversification, yielding the final objective weights for each criterion. The process is illustrated with a step-by-step numerical example using a table that updates with the calculated values.
Use the learning inspector for key ideas and moments, or open the reading tabs for the complete notes.
Generated from the video's visuals and explanation; not verbatim speech.
The segment opens by framing the entropy method as a tool for assigning criterion weights in multi-criteria decision making when decision makers disagree about importance. The speaker explicitly contrasts this with AHP, noting that AHP requires subjective pairwise comparison judgments, whereas the entropy method derives weights from the data pattern itself.
Entropy weight is described as measuring how close the alternatives are to one another with respect to a given criterion. The speaker adds that the idea comes from transportation models, where entropy measures dispersion of trips between origins and destinations, and concludes that the resulting weights are called objective weights.
A concrete example appears: five mobile phones are compared across four criteria—Price or Cost, Storage Space, Camera, and Looks. The raw matrix is shown first, establishing the input data for the method.
Step 1 applies column-wise normalization using rij=∑i=1mxijxij. The video computes the column sums 1250, 112, 60, and 18, then rewrites each entry as a fraction over its column sum and finally as a decimal. This produces a normalized matrix whose columns sum to 1.
Step 2 introduces the entropy formula ej=−h∑i=1mrijlnrij with j=1,2,…,n, together with the scaling constant h=ln(m)1=ln(5)1=0.621335. The speaker explains the procedure verbally while the slide shows each normalized value multiplied by its natural logarithm.
The computation proceeds cell by cell. For example, in the Price or Cost column, terms such as 0.2000ln(0.2000), 0.1600ln(0.1600), and so on are evaluated, yielding negative products because 0<rij<1.
The column sums of rijlnrij are then displayed as −1.59938, −1.54983, −1.56413, and −1.56706. Multiplying each by −h gives the entropies e1=0.99375, e2=0.96296, e3=0.97185, and e4=0.97367.
The clip ends immediately after the entropy row is shown. It does not continue to redundancy values, final weights, or ranking of the mobile phones.
The video starts by reviewing the entropy calculation. The speaker points out the constant h=−0.621335 and explains that multiplying it by the sum of rijlnrij yields the entropy values ej for each criterion, which are displayed in the table.
Next, the concept of 'degree of diversification' is introduced. The speaker explains that it is calculated as 1−ej. The table updates to show these new values for each criterion: Price or Cost (0.00625), Storage Space (0.03704), Camera (0.02815), and Looks (0.02633).
To find the final objective weights (wj), the speaker sums all the degrees of diversification, resulting in 0.09777. Then, each individual degree of diversification is divided by this total sum. The formula wj=∑j=1n(1−ej)1−ej is shown on screen.
The calculated weights appear in the final row of the table. The speaker reads them out as percentages: Price or Cost gets about 6.3%, Storage Space gets 37.88%, Camera gets 28.7%, and Looks gets 26.9%. These values represent the objective importance of each criterion based on the data's variability.
The video concludes with a standard outro asking viewers to subscribe and enable notifications.
Knowledge cards
01
Entropy method for objective weights
The entropy method is presented as a data-driven way to determine criterion weights in multi-criteria decision making. Unlike AHP, it does not require pairwise comparison opinions from the decision maker. Entropy weight measures how similar the alternatives are with respect to a criterion, and the resulting weights are called objective weights.
02
Step 1: Normalize the decision matrix
Before computing entropy, each column of the raw decision matrix is normalized by dividing every entry by the sum of that column. In the mobile-phone example, the column sums are 1250, 112, 60, and 18, and the normalized matrix has columns that sum to 1.
rij=∑i=1mxijxij
03
Step 2: Entropy formula and scaling constant
For each criterion j, entropy is computed from the normalized values by summing r_{ij}lnr_{ij} over all alternatives and multiplying by -h. The constant h is defined using the number of alternatives m; here m=5, so h=1/ln(5)=0.621335.
ej=−hi=1∑mrijlnrij,h=ln(m)1
04
Worked entropy results for the example
Applying the formula to the normalized mobile-phone matrix gives column sums -1.59938, -1.54983, -1.56413, and -1.56706. After multiplication by -h, the entropies are 0.99375 for Price or Cost, 0.96296 for Storage Space, 0.97185 for Camera, and 0.97367 for Looks.
The entropy ej for a criterion is calculated using the formula ej=−h∑i=1mrijlnrij, where h is a constant (1/ln(m)) and rij are the normalized values of the alternatives for that criterion. This step quantifies the amount of information or uncertainty associated with each criterion.
ej=−hi=1∑mrijlnrij
06
Degree of Diversification
The degree of diversification, denoted as dj=1−ej, measures the usefulness of a criterion. A lower entropy (more information) leads to a higher degree of diversification, indicating that the criterion provides more distinguishing power among the alternatives.
dj=1−ej
07
Objective Weight Calculation
The final objective weight wj for each criterion is found by normalizing its degree of diversification. The formula is wj=∑j=1n(1−ej)1−ej. This ensures that the sum of all weights equals 1, representing the relative importance of each criterion in the decision-making process.
wj=∑j=1n(1−ej)1−ej
Detailed learning notes
Explore conditions, steps and evidence. Supplementary explanations are labeled separately from content shown in the video.
Symbols · 11
x_{ij}
Clear evidence
Shown in the video
Evidence
Formula
Observation
Normalization formula shown as r_{ij}=x_{ij}/\sum_{i=1}^{m}x_{ij}.
Audio
Observation
The speaker says the denominator is the sum of x i j divided in each column.
Symbol
x_{ij}
Meaning
Original decision-matrix entry for alternative i and criterion j.
Domain
Nonnegative numerical attribute values; in this example includes price, storage, camera, and looks ratings.
r_{ij}
Clear evidence
Shown in the video
Evidence
Formula
Observation
Formula defines r_{ij}.
Diagram
Observation
Normalized table entries are displayed after division by column sums.
Symbol
r_{ij}
Meaning
Normalized value of x_{ij} within its column.
Domain
Values between 0 and 1; each criterion column sums to 1.
h
Clear evidence
Shown in the video
Evidence
Formula
Observation
Entropy formula contains factor -h.
Formula
Observation
Auxiliary formula shows h=1/ln(m)=1/ln(5)=0.621335.
Audio
Observation
Speaker states h is one upon log m, where m is the number of alternatives.
Symbol
h
Meaning
Scaling constant used in entropy computation.
Domain
Positive real constant; here h=0.621335 for m=5.
m
Clear evidence
Shown in the video
Evidence
Formula
Observation
h=1/ln(m) with note that m is number of alternatives.
Audio
Observation
Speaker says in this example there are five alternatives, so m=5.
Symbol
m
Meaning
Number of alternatives (rows) in the decision matrix.
Domain
Positive integer; here m=5.
n
Clear evidence
Shown in the video
Evidence
Formula
Observation
Entropy formula states j=1,2,…,n.
Uncertainties
The video does not explicitly define n in audio; it is inferred from the index range in the displayed formula.
Symbol
n
Meaning
Number of criteria or attributes (columns).
Domain
Positive integer; here n=4.
ej
Clear evidence
Shown in the video
Evidence
Formula
Observation
Entropy formula is ej=−h∑i=1mr_{ij}lnr_{ij}.
Diagram
Observation
Row labeled ej displays entropy values for each criterion.
Symbol
ej
Meaning
Entropy value for criterion j.
Domain
Real number in [0,1] under the given normalization and scaling.
∑i=1mr_{ij}lnr_{ij}
Clear evidence
Shown in the video
Evidence
Formula
Observation
Column-sum row is labeled ∑i=1mr_{ij}lnr_{ij}.
Diagram
Observation
Negative column sums are shown before multiplication by -h.
Symbol
∑i=1mr_{ij}lnr_{ij}
Meaning
Column-wise sum of products r_{ij}lnr_{ij} for criterion j.
Domain
Negative real values in this example because 0<r_{ij}<1.
ej
Clear evidence
Shown in the video
Evidence
Formula
Observation
The symbol ej is shown in the table and in the formula for entropy.
Audio
Observation
The speaker refers to 'the ej value, that is the entropy value'.
Symbol
ej
Meaning
Entropy value for the j-th criterion
Domain
Positive real number
h
Clear evidence
Shown in the video
Evidence
Formula
Observation
The symbol h is used in the entropy formula ej=−h∑r_{ij} lnr_{ij}.
Audio
Observation
The speaker says 'that is minus h which is minus point six two one three three'.
Symbol
h
Meaning
Constant multiplier in the entropy formula
Domain
Positive real number
dj
Clear evidence
Shown in the video
Evidence
Formula
Observation
The symbol dj is shown in the table as dj=1−ej.
Audio
Observation
The speaker states 'Here 1 minus ej is known as degree of diversification'.
Symbol
dj
Meaning
Degree of diversification for the j-th criterion
Domain
Positive real number
wj
Clear evidence
Shown in the video
Evidence
Formula
Observation
The symbol wj is shown in the table and in the formula for the weight vector.
Audio
Observation
The speaker mentions 'to calculate the final weights, that is wj'.
Symbol
wj
Meaning
Objective weight for the j-th criterion
Domain
Positive real number
Knowledge points · 6
Entropy method for objective weight determination
Clear evidence
Shown in the video
Evidence
Audio
Observation
Speaker introduces a method to calculate weights of criteria when decision makers have conflicting views on the value of weights.
Audio
Observation
Speaker contrasts this with AHP, saying pairwise comparison opinions are needed there but not in entropy method.
Audio
Observation
Speaker says entropy weight describes how much different alternatives approach one another with respect to a certain criteria.
Audio
Observation
Speaker says the weights calculated by this method are also known as objective weights.
Definition
Explanation
The video presents the entropy method as a way to determine criterion weights without eliciting pairwise judgments from decision makers. It defines entropy weight as a parameter describing how close alternatives are to one another with respect to a given criterion, and calls the resulting weights objective weights.
Formula
Conditions
Used in multi-criteria decision making.
Applies when criteria weights must be derived from data rather than subjective pairwise comparisons.
Step 1: Normalize the decision matrix
Clear evidence
Shown in the video
Evidence
Formula
Observation
Displayed formula r_{ij}=x_{ij}/\sum_{i=1}^{m}x_{ij}.
Audio
Observation
Speaker says first calculate the sum value in the column, then divide each value by that sum.
Diagram
Observation
Column sums 1250, 112, 60, 18 appear beneath the original matrix.
Formula
Explanation
Each entry is divided by the sum of its own column, producing a normalized matrix whose columns sum to 1. This prepares the raw decision matrix for entropy computation.
Formula
rij=∑i=1mxijxij
Conditions
Apply column-wise normalization.
Each column sum must be nonzero.
In this example m=5 alternatives and n=4 criteria.
Prerequisites
Entropy method for objective weight determination
Step 2: Compute entropy for each criterion
Clear evidence
Shown in the video
Evidence
Formula
Observation
Displayed formula ej=−h∑i=1mr_{ij}lnr_{ij},j=1,2,…,n.
Formula
Observation
Auxiliary formula h=1/ln(m)=1/ln(5)=0.621335.
Audio
Observation
Speaker explains multiplying each cell value by the log of that same value, summing each column, then multiplying by negative h.
Formula
Explanation
For each criterion column, compute the sum of r_{ij}lnr_{ij} over all alternatives, then multiply by -h to obtain the entropy ej. The constant h normalizes the entropy using the number of alternatives.
Formula
ej=−hi=1∑mrijlnrij,j=1,2,…,n
Conditions
Use the normalized matrix entries r_{ij}.
Use natural logarithm ln as shown in the displayed formulas.
h=1/ln(m); here m=5 so h=0.621335.
Prerequisites
Step 1: Normalize the decision matrix
Entropy Formula
Clear evidence
Shown in the video
Evidence
Formula
Observation
The formula ej=−h∑i=1mr_{ij} lnr_{ij}, j=1, 2, ..., n is displayed on the screen.
Audio
Observation
The speaker explains how to compute the entropy values using the given formula and constant h.
Formula
Explanation
The entropy for each criterion is calculated using the formula ej=−h∑i=1mr_{ij} lnr_{ij}. The constant h is given as 1/ln(m), where m is the number of alternatives.
Formula
ej=−hi=1∑mrijlnrij
Conditions
m is the number of alternatives
n is the number of criteria
r_{ij} is the normalized value of the i-th alternative for the j-th criterion
Degree of Diversification
Clear evidence
Shown in the video
Evidence
Formula
Observation
The formula dj=1−ej is displayed in the table.
Audio
Observation
The speaker explicitly defines '1 minus ej' as the 'degree of diversification'.
Definition
Explanation
The degree of diversification for a criterion is defined as 1 minus its entropy value. It represents the amount of useful information provided by the criterion.
Formula
dj=1−ej
Conditions
ej is the entropy value of the j-th criterion
Prerequisites
Entropy Formula
Weight Vector Formula
Clear evidence
Shown in the video
Evidence
Formula
Observation
The formula wj=∑j=1n(1−ej)1−ej is displayed on the screen.
Audio
Observation
The speaker explains that the final weights are calculated by dividing the degree of diversification of each criterion by the sum of all degrees of diversification.
Formula
Explanation
The objective weight for each criterion is calculated by normalizing its degree of diversification. The formula is wj=∑j=1n(1−ej)1−ej.
Formula
wj=∑j=1n(1−ej)1−ej
Conditions
n is the total number of criteria
ej is the entropy value of the j-th criterion
Prerequisites
Degree of Diversification
Claims and conditions · 2
Entropy-derived weights are called objective weights
Clear evidence
Shown in the video
Evidence
Audio
Observation
Speaker states: The weights calculated by this method are also known as objective weights.
Proposition
Statement
Weights obtained by the entropy method are referred to as objective weights.
Hypotheses
The entropy method is applied to a decision matrix.
Show the first row of normalized values as examples of the division step.
Justification
Direct application of r_{ij}=x_{ij}/\sum_i x_{ij}.
Shown in the video
Conclusion
The original 5×4 decision matrix is transformed into a normalized matrix with column sums equal to 1.
Entropy computation for the Price or Cost column
Clear evidence
Shown in the video
Evidence
Diagram
Observation
Products r_{ij}lnr_{ij} are displayed cell by cell.
Diagram
Observation
Column sum row shows -1.59938 for Price or Cost.
Diagram
Observation
Entropy row shows e1=0.99375.
Formula
Observation
ej=−h∑ir_{ij}lnr_{ij} and h=0.621335.
Numerical verification
Steps
Expression
0.2000ln(0.2000)=−0.32189
Explanation
Compute the first product in the Price or Cost column.
Justification
Term-by-term evaluation of r_{ij}lnr_{ij}.
Shown in the video
Expression
0.1600ln(0.1600)=−0.29321
Explanation
Compute the second product in the same column.
Justification
Term-by-term evaluation of r_{ij}lnr_{ij}.
Shown in the video
Expression
0.2400ln(0.2400)=−0.34251
Explanation
Compute the third product.
Justification
Term-by-term evaluation of r_{ij}lnr_{ij}.
Shown in the video
Expression
0.2200ln(0.2200)=−0.33311
Explanation
Compute the fourth product.
Justification
Term-by-term evaluation of r_{ij}lnr_{ij}.
Shown in the video
Expression
0.1800ln(0.1800)=−0.30866
Explanation
Compute the fifth product.
Justification
Term-by-term evaluation of r_{ij}lnr_{ij}.
Shown in the video
Expression
i=1∑5ri1lnri1=−1.59938
Explanation
Add the five products to get the column sum.
Justification
Definition of the summation inside the entropy formula.
Shown in the video
Expression
e1=−h(−1.59938)=0.621335×1.59938=0.99375
Explanation
Multiply the negative column sum by h to obtain entropy for criterion 1.
Justification
Apply ej=−h∑ir_{ij}lnr_{ij} with h=0.621335.
Shown in the video
Conclusion
The entropy of the Price or Cost criterion is e1=0.99375.
Entropy computation for the remaining criteria
Clear evidence
Shown in the video
Evidence
Diagram
Observation
Column sums shown as -1.54983, -1.56413, -1.56706.
Diagram
Observation
Entropy row shows 0.96296, 0.97185, 0.97367.
Formula
Observation
Same entropy formula applies to every column j.
Numerical verification
Steps
Expression
i=1∑5ri2lnri2=−1.54983
Explanation
Column sum for Storage Space is displayed.
Justification
Summation of the five products in that column.
Shown in the video
Expression
e2=−h(−1.54983)=0.96296
Explanation
Entropy for Storage Space follows from multiplying by -h.
Justification
Apply the entropy formula with h=0.621335.
Shown in the video
Expression
i=1∑5ri3lnri3=−1.56413
Explanation
Column sum for Camera is displayed.
Justification
Summation of the five products in that column.
Shown in the video
Expression
e3=−h(−1.56413)=0.97185
Explanation
Entropy for Camera follows from multiplying by -h.
Justification
Apply the entropy formula with h=0.621335.
Shown in the video
Expression
i=1∑5ri4lnri4=−1.56706
Explanation
Column sum for Looks is displayed.
Justification
Summation of the five products in that column.
Shown in the video
Expression
e4=−h(−1.56706)=0.97367
Explanation
Entropy for Looks follows from multiplying by -h.
Justification
Apply the entropy formula with h=0.621335.
Shown in the video
Conclusion
The entropies for the remaining criteria are e2=0.96296, e3=0.97185, and e4=0.97367.
Derivation of Objective Weights
Clear evidence
Shown in the video
Evidence
Formula
Observation
The table shows the step-by-step calculation: first computing 1−ej for each criterion, then summing these values to get 0.09777, and finally dividing each 1−ej by the sum to get wj.
Audio
Observation
The speaker narrates the process: 'On adding all these value, you will get this value that is point zero nine seven seven seven. I have divided point zero nine seven seven seven with all these degree of diversification values to calculate the final weights, that is wj.'
Numerical verification
Steps
Expression
dj=1−ej
Explanation
Calculate the degree of diversification for each criterion by subtracting its entropy from 1.
Justification
Definition of degree of diversification.
Shown in the video
Expression
j=1∑ndj=0.00625+0.03704+0.02815+0.02633=0.09777
Explanation
Sum the degrees of diversification for all criteria.
Justification
Required for the denominator in the weight formula.
Shown in the video
Expression
wj=∑j=1ndjdj
Explanation
Divide each criterion's degree of diversification by the total sum to find its objective weight.
Justification
Formula for calculating the weight vector.
Shown in the video
Conclusion
The objective weights for Price or Cost, Storage Space, Camera, and Looks are 0.0639154, 0.378831278, 0.287921, and 0.269333, respectively.
Worked examples · 2
Mobile-phone selection example up to entropy calculation
Clear evidence
Shown in the video
Evidence
Diagram
Observation
Slide title reads Entropy Method and shows a5×4 decision matrix for Mobile 1 to Mobile 5 across Price or Cost, Storage Space, Camera, Looks.
Audio
Observation
Speaker says: We want to select the best mobile phone out of all available five alternatives.
Diagram
Observation
Step 1 and Step 2 tables and formulas are shown sequentially.
Problem
Given a decision matrix for five mobile phones evaluated on four criteria, apply the entropy method through normalization and entropy computation.
Given
Alternatives: Mobile 1, Mobile 2, Mobile 3, Mobile 4, Mobile 5.
Criteria: Price or Cost, Storage Space, Camera, Looks.
Original matrix entries: [[250,16,12,5],[200,16,8,3],[300,32,16,4],[275,32,8,4],[225,16,16,2]] with units shown as $, GB, MP, and rating.
m=5 alternatives.
n=4 criteria.
Goal
Normalize the decision matrix and compute the entropy ej for each criterion.
Multiply each column sum by -h to obtain entropies.
Justification
Apply ej=−h∑ir_{ij}lnr_{ij}.
Shown in the video
Answer
Normalized matrix obtained; entropies are e1=0.99375, e2=0.96296, e3=0.97185, e4=0.97367.
Verification
Column sums of the normalized matrix are consistent with the displayed divisions, and each entropy equals -h times the displayed column sum.
Applying the Entropy Method to Determine Criteria Weights
Clear evidence
Shown in the video
Evidence
Diagram
Observation
A table titled 'Entropy Method' shows four criteria: Price or Cost, Storage Space, Camera, and Looks. It displays intermediate calculations for ∑r_{ij} lnr_{ij}, ej, dj=1−ej, and the final weights wj.
Audio
Observation
The speaker walks through the calculation of entropy, degree of diversification, and final weights for the given criteria.
Problem
Determine the objective weights for four criteria (Price or Cost, Storage Space, Camera, Looks) using the Entropy Method.
Entropy weight describes how much different alternatives approach one another with respect to a certain criterion. It is a data-driven measure that determines the objective importance of a criterion based on the variability of the data.
Conditions: Applied in multi-criteria decision making contexts.; Weights are derived from the data pattern itself rather than subjective judgments.
You calculate the final objective weights wj by normalizing the degree of diversification. The formula is wj=∑j=1n(1−ej)1−ej, which divides each criterion's degree of diversification by the sum of all degrees of diversification.
Conditions: The entropy values ej have been calculated for all criteria.; The sum of all degrees of diversification is nonzero.
The entropy values for the four criteria are e1=0.99375 for Price or Cost, e2=0.96296 for Storage Space, e3=0.97185 for Camera, and e4=0.97367 for Looks.
Conditions: The example uses 5 alternatives and 4 criteria.; The scaling constant h is 0.621335.; The matrix has been normalized prior to calculation.
You normalize the decision matrix by dividing each entry by the sum of its own column. This column-wise operation ensures that the sum of the normalized values in each criterion column equals 1.
Conditions: The matrix contains nonnegative numerical attribute values.; The sum of each column must be nonzero.; Normalization is applied independently to each criterion column.
The entropy formula is ej=−h∑i=1mrijlnrij. The constant h is a scaling factor defined as 1/ln(m), where m is the number of alternatives, ensuring the entropy values are properly scaled.
Conditions: The decision matrix has already been normalized to produce rij.; The natural logarithm ln is used.; m represents the total number of alternatives (rows).
The degree of diversification, denoted as dj, is defined as 1−ej. It represents the amount of useful information or distinguishing power provided by a specific criterion among the alternatives.
Conditions: The entropy value ej has already been calculated for the criterion.; The degree of diversification is always a positive real number in this context.
The entropy method derives weights directly from the data pattern itself, measuring the dispersion of alternatives. Unlike AHP, which requires subjective pairwise comparison judgments from decision makers, the entropy method is objective and data-driven.
Conditions: Comparing the entropy method with the Analytic Hierarchy Process (AHP).; The decision matrix contains the necessary numerical data.