WOWA Enhancement of the Reference Point Method

Wlodzimierz Ogryczak.

The Reference Point Method (RPM) is based on the so-called augmented max-min aggregation where the worst individual achievement maximization process is additionally regularized with the average achievement. The regularization by the average achievement is easily implementable but it may disturb the basic max-min model. The OWA regularization applied to the RPM allows one to overcome this flaw since taking into account differences among all ordered achievement values. Further, allowing to introduce importance weights we get the WOWA enhanced RPM. The WOWA regularization is more complicated in implementation but the recent progress made in optimization methods for ordered averages allows one to implement the corresponding RPM method effectively.

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