Analysis comparison model of ROC-TOPSIS, ROC-WP, and ROC-Electre methods for supporting the funding decision to micro-enterprises Indonesia

Abstract

Micro-business is an essential business unit that supports the economies of countries in the world, including Indonesia. Unfortunately, micro-entrepreneurs often find difficulties to obtain financial assistance from government to develop their businesses. In Indonesia, the smallest number of micro industries can be found in West Papua Province, where one of the underdeveloped areas in the province is the Sorong City. Therefore, a study was conducted to determine the application of decision support methods in selecting micro-enterprises in Sorong that are eligible for business funding. The decision support method chosen is the collaboration between the Rank-Order Centroid (ROC) method, Technique for Order Preference by Similarity to Ideal Solution (TOPSIS), Weight Product (WP), and Elimination Et Choix Traduisant la Realite (Electre). With the analysis conducted on 10 samples of micro-enterprises in Sorong City, it was found that the micro-enterprises that were most eligible to receive assistance is Raya Helm based on ROC-TOPSIS, ROC-WP, and ROC-Electre. Then, sensitivity analysis results the ROC-Electre as the best method with the highest sensitivity percentage. Therefore, the implementation of these methods for supporting the funding decision to micro-enterprises in Sorong was successfully carried out with the output being the micro-enterprise rating results.