Methods · Normalisation
Logarithmic Normalization
This method rescales every column by dividing each cell's natural logarithm by the sum of the logarithms in that column; this preserves the proportional difference between large values while reducing the dominance of the absolute magnitude gap.
Base method's data type: Classical
What Is the Method?
Unlike the other normalisation building blocks, Logarithmic Normalization works on a logic based on multiplication rather than direct summation. It takes the logarithm of every value before summing them, which is why it sits naturally alongside game-theoretic methods and aggregation steps built on the geometric mean. Its output is not a ranking; it is a normalised table, expressing the magnitude differences within a column on a logarithmic scale, that DecisionMind uses in the next step. Zavadskas and Turskis proposed this form of normalisation in 2008, in a game-theory context, with the aim of stopping classical linear normalisation from overstating large scale differences.
The Philosophy Behind It
The question this method asks is: what share does this alternative take on a logarithmic scale? Rather than the raw magnitudes themselves, the logarithms of the magnitudes are summed and distributed. Summing logarithms is equivalent to multiplying the original numbers, which is why the method fits naturally with situations where criteria affect one another multiplicatively, such as the relationship between production volume and unit yield. The philosophical consequence follows: a difference between 10 and 100 looks like a tenfold gap on a linear scale, but shrinks to a much smaller difference on a logarithmic one. The method chooses to preserve the proportional relationship between alternatives by softening large absolute differences; this is an advantage where the data's scale difference is large, and a disadvantage where a small difference is genuinely important.
How It Works
The method proceeds through two steps.
First, finding the reference value. For a benefit criterion, the natural logarithm of every value in the column is taken, and the sum of these logarithms is calculated.
Second, dividing by the sum of the logarithms. For a benefit criterion, each cell's logarithm is divided by the sum of the logarithms. For a cost criterion, a provisional share is first calculated using the benefit formula, then one minus this share is taken and redistributed across the rest of the column. For example, take a cost column with values 54.1, 46.8 and 81.0. Their logarithms are 3.9906, 3.8459 and 4.3944 respectively, summing to 12.2309. The first value's provisional share is 3.9906/12.2309 = 0.3262. One minus this share is 0.6738; when the three alternatives' one-minus values are summed they come to 2.0000, because the three provisional shares already sum to 1. The first alternative's final cost share is 0.6738/2.0000 = 0.3369; the alternative with the lowest cost takes the highest share after this second inversion.
Zero and negative values are undefined in this method. The natural logarithm is undefined at zero, running to negative infinity, and is not defined at all over the real numbers for negative values. The method therefore requires strictly positive data. If the data contains a zero or negative value, the whole column must be shifted into positive territory by adding a fixed constant before the method is applied; this shift amount must be stated in the report, because it affects the result.
The formulas behind each step are given on the DecisionMind method page; this card carries no formulas.
How to Read the Output
The normalised value shows an alternative's log-scale share on that criterion, and nothing more. As with Linear Sum Normalization, all the shares in a column always sum to 1, but here the share is calculated not from the raw magnitudes directly but from their logarithms. This means that even where the raw gap between two alternatives is very large, the gap between their normalised shares can remain comparatively small. Thus instead of writing:
"This alternative's output is six times the other's, so its share should also be six times as large"
the report should read:
"Because the production difference looks smaller on the log scale, the share difference is correspondingly small; the raw production table should also be shown"
Data Type and Inputs
The method requires crisp data: a single strictly positive number per cell. DecisionMind holds no separate fuzzy, grey or intuitionistic extension of this building block; every data type uses its own host method's own normalisation step. You need alternatives in rows, criteria in columns, a number strictly greater than zero in every cell, and direction information for every criterion. The method neither produces weights nor requires them. A minimum of two alternatives is needed; the larger the scale difference between values, the more pronounced the method's compression effect becomes.
When to Use It, When Not To
If your data is crisp and strictly positive, and there is a large scale difference between criteria, for instance where one criterion is measured in tens and another in thousands, this method is suitable. It sits naturally alongside host methods built on game-theoretic or multiplicative aggregation logic. It should not be used when the data contains a zero or negative value; the data should first be shifted, or min-max normalisation used instead. It is also unsuited to cases where you want a large absolute difference between values to show up in the decision as it stands, because the log scale deliberately shrinks that difference.
Data crisp, strictly positive, large scale difference → Logarithmic Normalization
Data contains zero or negative values → Min-Max Normalization
A large difference should be reflected as it stands → Linear Max or Linear Sum Normalization
The host method is TOPSIS and its classical form is to be kept → Vector Normalization
Result to be read as a share but log compression is not wanted → Linear Sum Normalization
Strengths
The method's strength is that it stops a single extreme value from dominating the whole table in data sets carrying a large scale difference. Zavadskas and Turskis (2008) showed that this form gives consistent results particularly in methods with multiplicative aggregation. The log scale can preserve proportional relationships (how many times larger one value is than another) more faithfully than a linear scale; this is an advantage where criteria are multiplicative by nature.
Weaknesses
Its weakness is that it works only with strictly positive data; it cannot be applied directly to any table containing zero or negative values. Jahan and Edwards (2015) showed that the choice of normalisation form can seriously affect the ranking outcome, with log-based methods among those included in this effect. Vafaei, Ribeiro and Camarinha-Matos (2018) showed with numerical examples that different normalisation forms can give the same table a different order. Log compression can make a large difference that matters in the real world, such as a much cheaper alternative, appear less pronounced in the result; depending on the nature of the data, this can be a disadvantage rather than an advantage.
Common Mistakes
The most common mistake is applying the method directly when the data contains a zero or negative value; the logarithm is then undefined, and the calculation either collapses or produces an incorrect number unnoticed. A second mistake is interpreting the log-scaled share directly as a raw magnitude difference; two alternatives can have a close share even though their raw values differ substantially. A third is failing to report the shift amount when shifting data into positive territory; different shift amounts give different results. A fourth is using this method with an additive (directly summing) host method and never drawing on the advantage of its multiplicative logic.
The governing principle is this:
Logarithmic Normalization distributes magnitudes on a multiplicative scale; this softens large scale differences, but it can also mask the importance of a small difference that genuinely matters.
Cases
Each case opens with a decision table, describes in words how the choice of normalisation changes the host method's result, and shows this with figures.
1. Mining: A mining operator's choice of drilling equipment (illustrative example, DecisionMind's comparison case)
A mining operator will choose among three drilling equipment quotations. Three criteria apply: unit cost, daily production capacity and safety score. Cost is "lower is better", production and safety are "higher is better". The operator set its weights so that production carries the most, cost comes next, and safety carries the least.
| Equipment | Unit cost (thousand dollars/hour) | Daily production (tonnes/day) | Safety score |
|---|---|---|---|
| E1 | 54.1 | 14.9 | 19.2 |
| E2 | 46.8 | 87.6 | 8.5 |
| E3 | 81.0 | 85.7 | 10.7 |
| Direction | lower is better | higher is better | higher is better |
| Weight | 0.30 | 0.50 | 0.20 |
The operator will assess this table with TOPSIS. Once the table is equalised with Logarithmic Normalization, the large gap in the production column, roughly sixfold between 14.9 and 87.6, shrinks to a much smaller difference on the log scale. In the cost column a provisional log-based share is first calculated, then inverted; because E2 has the lowest cost, it takes the highest share in this column. Once the table has been normalised and weighted in this way, the ideal and anti-ideal equipment are built, the distances are measured, and the closeness score is calculated.
| Equipment | Closeness score (Logarithmic) | Rank | Closeness score (Vector normalisation) | Rank |
|---|---|---|---|---|
| E3 | 0.816 | 1 | 0.706 | 2 |
| E2 | 0.778 | 2 | 0.773 | 1 |
| E1 | 0.227 | 3 | 0.285 | 3 |
The result reads as follows. With Logarithmic Normalization, E3 rises to first place. Because the large gap in the production column is shrunk on the log scale, E2's slight edge on production does not decide the outcome on its own; E3's comparatively small edge on safety (10.7 against 8.5) tips the balance in its favour. When vector normalisation is applied to the same table, E2 takes first place instead; because vector normalisation scales the raw magnitudes directly, the wide gap in the production column stays large on this scale too, and E2's edge on cost and production comes through dominant. E1 finishes a clear last under both methods.
The operator hesitates here. The ranking between E2 and E3 changes purely on which normalisation form is chosen; the inputs and weights have stayed the same. The report should therefore state that the ranking is sensitive to the choice of normalisation and should show the result of both methods together.
In the report: "Because the production gap shrinks on the log scale, E3 comes out ahead with Logarithmic Normalization; applying vector normalisation to the same data puts E2 in first place instead, because that method keeps the production gap as large as it is."
Source: The figures were constructed by this card's author and calculated by running the classical TOPSIS algorithm in Python. This example is DecisionMind's normalisation-comparison case; it is not taken from a publication.
2. Telecoms: An operator's choice of base-station equipment supplier
A telecoms operator will choose among three base-station equipment suppliers. The criteria are unit cost, coverage area and failure frequency; cost and failure frequency are "lower is better", coverage area is "higher is better". The operator equalised the table with Logarithmic Normalization, because coverage-area data, measured in square kilometres, carries a very large scale difference.
Suppose one supplier's coverage area is tens of times larger than the others', because it uses a different antenna technology. Under linear normalisation this supplier would dominate the coverage column on its own. Logarithmic Normalization compresses this difference onto a log scale; the supplier's edge is still visible, but the other two suppliers' failure-frequency and cost performance can still carry weight in the result.
The operator hesitates here: the real difference in coverage area may carry very great operational importance, yet the log scale may be showing this difference as smaller than it really is in the result. This means the decision should not be made until the nature of the data (whether coverage is genuinely multiplicative or directly important) has been clarified.
In the report: "The large difference in coverage area has been compressed onto a log scale in Logarithmic Normalization; the operational importance of this difference should also be assessed on a linear scale."
3. Shipping: A port operator's choice of crane equipment
A port operator will choose among three container-crane quotations. The criteria are containers lifted per hour, energy consumption and maintenance cost; energy consumption and maintenance cost are "lower is better", lifting capacity is "higher is better". The operator equalised the table with Logarithmic Normalization.
Suppose one crane's maintenance cost is far lower than the others', almost approaching zero. The natural logarithm produces a very large negative value at a number very close to zero; this can distort the sum of the logarithms and hence the shares across the whole column. The operator is forced to check this extremely low value before feeding the data directly into the method.
In the report: "Logarithmic Normalization was not applied directly for a crane whose maintenance cost is close to zero; the data was first checked and, where necessary, shifted by adding a fixed constant."
4. What Not to Do
Had cost been marked "higher is better" in the same mining table, the most expensive equipment, E3, would take the highest share in that column, making the most costly quotation look the most advantageous. A second error is reading E3's share on the production column as far higher than E2's; the log scale has already shrunk the large gap, so the share difference does not directly reflect the raw production difference. A third error is running the method as it stands when a piece of equipment's cost has been entered as 0 thousand dollars through a data error; the natural logarithm is undefined at zero and the calculation collapses.
Sources
For the formulas behind each step, the intermediate tables and citation formats, see the DecisionMind method page: decisionmind.app/library/logarithmic-normalization
Zavadskas, E. K., & Turskis, Z. (2008). A new logarithmic normalization method in games theory. Informatica, 19(2), 303–314. DOI: 10.15388/informatica.2008.215
Jahan, A., & Edwards, K. L. (2015). A state-of-the-art survey on the influence of normalization techniques in ranking: Improving the materials selection process in engineering design. Materials & Design, 65, 335–342. DOI: 10.1016/j.matdes.2014.09.022
Vafaei, N., Ribeiro, R. A., & Camarinha-Matos, L. M. (2018). Data normalisation techniques in decision making: case study with TOPSIS method. International Journal of Information and Decision Sciences, 10(1), 19. DOI: 10.1504/ijids.2018.090667
Çelen, A. (2014). Comparative Analysis of Normalization Procedures in TOPSIS Method: With an Application to Turkish Deposit Banking Market. Informatica, 25(2), 185–208. DOI: 10.15388/informatica.2014.10