A TOPSIS Method Based on Triangle Fuzzy Number for Trust Evaluation in Ecommerce System Dan Li Business School, East China University of Political Science and Law, Shanghai, China ( huazhengld@126.com) Abstract - As a new technological environment and cooperation platform, e-commerce system provides the new opportunities for sharing and transferring information, knowledge and provides the new services for enterprises to participate in business interactions in the era of e-commerce. But there also exist kinds of risk in operation process. One kind of risk is lack of trust, and trust is the major barrier to the successful operation of e-commerce system. So it is necessary for enterprises to find out the influencing factors and the methods how to evaluate trust of e-commerce systems. It can help enterprises to enable better design and management of e-commerce system. Basing on TOPSIS and triangle fuzzy number, this research aims to propose an extended approach for assessing trust in e-commerce system. It is a multiple criteria evaluation problem under fuzzy environment. And then an example is given. Keywords - trust evaluation, e-commerce system, TOPSIS, linguistic variables, triangular fuzzy number I. INTRODUCTION The notion of trust has been examined under various contexts such as bargaining, industrial buyer-seller relationship, cooperation relationship in alliances, economics and market research and even computer science [1-2]. With the continuous exploration and the support of emerging advanced information technologies, electronic commerce develops rapidly and causes a shift in business simulation is conducted. Electronic commerce, commonly known as e-commerce, refers to the transaction of products or services over the internet and other computer networks. The new technological environment and cooperation environment also provides the new opportunities for sharing and transferring information and knowledge, and provides the new services to participate in business interactions. However, there also exist different levels of risk in operation process. With the existence of risk comes the need for trust [3]. In the era of e-commerce, trust has been identified as a key for successful transaction and knowledge transferring. The lack of trust is cited as a major barrier to the successful operation of electronic commerce system. So it is necessary for enterprises to find out the influencing factors and the methods how to evaluate trust in order to improve the ____________________ Supported by the Science Research Program of East China University of Political Science and Law (11H2K013) Capability of building trust of e-commerce system. The evaluation problems are the process of finding the best candidate or making the best choice from all of the feasible alternatives. Trust evaluation in e-commerce system is a multiple criteria evaluation problem under fuzzy environment. It is suitable for organizations to adopt multiple criteria evaluation method to evaluate trust in e-commerce system. Technique for order performance by similarity to ideal solution (TOPSIS) is one of the classical multiple criteria evaluation method. The concept of the method can be described that the best candidate should have the shortest distance from the positive ideal solution and the farthest from the negative ideal solution. The performance ratings and the weights of the criteria are given as crisp values [4]. This paper tries to propose an extended method basing on TOPSIS and triangle fuzzy number to evaluate trust of ecommerce system. The rating of each unit for participating in evaluation and the weight of each criterion are described by linguistic variables in triangular fuzzy numbers. Then, it is needed to calculate the distance between two triangular fuzzy numbers, and to determine the ranking order of all candidates according to the closeness coefficient. This paper aims to provide a method for deeply analyzing and measuring the capability of building trust in e-commerce system. The proposed method can also be applied to solve the problems such as project selection, partners’ selection and other management decision problems. II. THE PROPOSED METHOD For evaluating trust of e-commerce system, the extended method basing on TOPSIS and triangle fuzzy number in the fuzzy environment is proposed in this paper. It can solve the group decision-making or evaluation problem under fuzzy environment. In this paper, we assume that A {A1 , A2 ,, An } is a set of all ecommerce systems participating in trust evaluation. And then form a committee of assessment experts. Assumed R {R1 , R2 ,, Rm } is a set of given evaluation index, it includes policy orientation, credit of system, the quality of service, the quality of information, customer participation, customer satisfaction, the quality of system and so on [5-8]. And then choose the appropriate linguistic variables for the importance weight of each criteria and the linguistic rating for all alternatives. The weight of criterion cannot completely certain, but it is clear that the importance weights of various criteria are considered as linguistic variables, it can be expressed as i i , i , i , 0 i i i 1 . In Table I the linguistic variables can be expressed in triangular fuzzy numbers. evaluation matrix denoted by F can be obtained. I 1 and I 2 represent the set of benefit criteria and cost criteria, respectively, that is LINGUISTIC VARIABLES FOR THE IMPORTANCE WEIGHT OF EACH CRITERION AND THE RATINGS Linguistic variables of weight very low (VL) Low (L) Medium low (ML) Middling (M) medium high (MH) High (H) very high (VH) x ji ( corresponding triangle fuzzy numbers (0,0,0.1) (0,0.1,0.3) Linguistic variables of index Very bad (VB) Bad (B) Worse than middling (WM) Middling (M) imax (0.1,0.3,0.5) (0.3,0.5,0.7) better than middling (BM) (0.5,0.7,0.9) Good (G) very good (VG) (0.7,0.9,1.0) (0.9,1.0,1.0) Assume that there are K persons in the evaluation group, the importance of the criteria and the rating of all alternatives can be calculated as: 1 ~ 1 ~ 2 ~ x ji x ji () x ji () ~ x ji K K (1) ~ x ji K and ~i K are the rating and the importance weight A j ( j 1,2,n) Ri for alternative 1 2 m 2) Construct the normalized fuzzy evaluation matrix It is necessary for using the linear scale transformation to transform the various criteria scales into a comparable scale without using the complicated normalization formula. Then the normalized fuzzy , ji , ji ), i I1 imax imin ), i I 2 ji max j ji , imin min j ji ~x12 ~x22 ~x ~x1m ~x2 m n2 ~xnm y12 4) Determine the positive ideal alternative X and the negative ideal alternative X ) y j ( min ji , min ji , min ji ) i , i , i 1i m 1i m 1i m y j ( max ji , max ji , max ji 1i m in triangular fuzzy numbers. Aggregate the weight of criteria to get the aggregated fuzzy weight i of criterion Ri , and pool the evaluators’ opinions to get the aggregated fuzzy rating of all alternatives according to the result of evaluating the criterion. The fuzzy multi-criteria evaluation problem which can be expressed in matrix format as ~ x11 ~ x12 x1m ~ ~ ~ ~ x x x ~ 22 2m (3) F 21 ~ ~ ~ x nm x n1 x n 2 ~ W ~ , ~ , ~ (4) imax imin y1m y 22 y 2 m yn2 y nm y ji i x ji ( ji , ji , ji ) (2) of criterion ji , ji , x11 ~ ~ x B F 21 ~ xn1 y11 y 21 y n1 of the Kth evaluator. The algorithm of the multi-person multi-criteria evaluation with extended TOPSIS approach is given in the following [4,9-11]. 1) Construct the fuzzy evaluation matrix in triangular fuzzy numbers ~ x ji ( ji , ji , ji ) (i=1,2,…,m) is the targeted value imax imin The normalization method is to guarantee that the ranges of normalized triangular fuzzy numbers belong to [0,1] . 3) Construct the weighted normalized fuzzy evaluation matrix Considering the different importance of each criterion, the weighted normalized fuzzy evaluation matrix can be constructed as 1 ~i ~i 1 ()~i 2 () ~i K K ji x ji ( TABLE I The positive 1i m 1i m ideal i , i , i alternative is X ( y1 , y2 yn ) , the negative ideal alternative is X ( y1 , y2 yn ) . 5) Calculate the distance of each alternative Now calculate the distance of each alternative from X j and X , it can be described as n D j D X j , X i 2 2 2 ji i ji i ji i 3 Calculate the distance of each alternative from X j and X , it can be described as D j n D X j, X i 2 2 2 ji i ji i ji i 3 6) Calculate the closeness coefficient of each alternative A closeness coefficient can determine the ranking order of all alternatives according to the Dj+ and Dj- of each alternative. We can calculate the closeness coefficient of each alternative, it can be described as D j Cj D j D j R3 R4 According to the closeness coefficient, the ranking order of all alternatives can be determined. R5 III. ILLUSTRATIVE EXAMPLE The example is given for explaining the process and method that how to measure the degree of trust in ecommerce system and the evaluation method is described. Suppose there are three e-commerce systems A1 , A2 and A3 need to be evaluated the capability of building trust. A committee of three evaluators, M 1 , M 2 and M 3 has been formed to conduct the interview. During the process of trust evaluation, five benefit criteria are chosen as evaluation criteria: credit of system ( R1 ), the quality of service ( R 2 ), the quality of information and knowledge R1 ( R3 ), customer satisfaction ( R 4 ) and the quality of R2 R3 system ( R5 ). R4 The linguistic weighting variables (shown in Table I) are used by evaluators to assess the importance of the R5 criteria following as Table II. TABLE II THE IMPORTANCE WEIGHT OF THE CRITERIA M1 M2 M3 A2 M BM G A3 G VG BM A1 M WM G A2 BM VG G A3 G M BM A1 WM BM G A2 M G VG A3 BM G M A1 G VG WM A2 VG M BM A3 WM VG G The linguistic evaluation can be described by triangular fuzzy numbers to construct the fuzzy evaluation matrix. The fuzzy weight of each criterion can be determined as Table IV. TABLE IV THE FUZZY EVALUATION MATRIX AND FUZZY WEIGHTS OF THREE ECOMMERCE SYSTEMS A1 weight A3 A2 (0.7,0.87,0.97) (0.77,0.93,1) (0.5,0.7,0.87) (0.77,0.9,1) (0.54,0.93,1) (0.5,0.7,0.87) (0.5,0.7,0.87) (0.7,0.87,0.97) (0.34,0.8,0.93) (0.37,0.57,0.73) (0.7,0.87,0.97) (0.5,0.7,0.87) (0.63,0.8,0.9) (0.43,0.63,0.8) (0.63,0.8,0.9) (0.57,0.73,0.83) (0.63,0.8,0.9) (0.57,0.73,0.8 7) (0.5,0.7,0.87) (0.57,0.73,0.8 3) Then the weighted normalized fuzzy evaluation matrix can be constructed as Table V. TABLE V THE FUZZY WEIGHTED NORMALIZED EVALUATION MATRIX R1 MH H VH R2 H VH H R3 MH MH VH R1 (0.54,0.81,0.97) (0.35,0.61,0.84) (0.54,0.78,0.97) R4 VH H M R2 (0.28,0.67,0.9) (0.28,0.67,0.9) (0.39,0.84,1) R5 M H VH R3 (0.13,0.47,0.7) (0.24,0.72,0.93) (0.18,0.58,0.84) R4 (0.3,0.56,0.8) (0.44,0.71,0.9) (0.35,0.62,0.87) R5 (0.42,0.67,0.86) (0.42,0.67,0.9) (0.42,0.67,0.86) The linguistic rating variables can be used by evaluators to evaluate the rating of alternatives with respect to each criterion. It can be described in Table III. TABLE III THE RATINGS OF THREE E-COMMERCE SYSTEMS BY EVALUATORS UNDER ALL CRITERIA Evaluators Criteria R1 R2 Candidates M1 M2 M3 A1 G VG G A2 BM G M A3 BM VG VG A1 G M BM A1 A3 A2 The positive ideal alternative can be determined as X 0.54,0.81,0.970.39,0.84,10.24,0.72,0.93 0.44,0.71,0.90.42,0.67,0.9 The negative ideal alternative can be determined as X 0.35,0.61,0.840.28,0.67,0.90.13,0.47,0.7 0.3,0.56,0.80.42,0.67,0.86 The distance of each e-commerce systems from the positive ideal alternative and the negative ideal alternative can be calculated, respectively, as D1 D A1 , X 0.4914 D1 DA , X 0.1761 1 D DA , X 0.3513 D3 DA3 , X 0.2180 D D A , X 0.4629 D2 D A2 , X 0.3065 2 2 3 3 The closeness coefficient of each e-commerce systems can be calculated as C1=0.2638, C2=0.5341, C3=0.6798 According to the closeness coefficient, the ranking order of the e-commerce systems is A3 , A2 and A1 . Obviously, A3 has the strongest capability of building trust. IV. 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