Estimate of utility values using fuzzy set theory

Although utility is a good measure with which to represent a decision maker´s risk-preference, the current methods to measure the utility values lack practicality in the real world. The authors discuss the weakness of these methods and develop a new model to estimate utility values in a paradigm of fuzzy set theory. Six decision variables are chosen in a certain project environment. Their impact on the two attributes of output quantity and quality are described in linguistic terms. The fuzzy relation between the two attributes is used to adjust standard utility values to reflect the dynamic decision environment. A hypothetical example demonstrates that the method can estimate utility values in a more reliable manner for real-time decision-making