TOPSIS method in evaluation of credit rating and a research

In the study, a model that aims to assess credit ratings of different firms in different sector is developed by using financial ratios which are obtained from financial statements. TOPSIS method which is one of the multi-criteria decision analysis is used in this study. This method has an advantage for letting to analyze all criteria together with considering specific points. Application of TOPSIS method is easy, and large of criteria and alternative are integrated. By the reason of this form, method is solve both personel problems and corporate problems which has complex problems.Application of TOPSIS method in this study, for each firm TOPSIS yönteminin uygulanmasında, decision matrix was constituted using financial ratios for each firm and one credit rating only was computed for each firm. Sample of firms credit facility was decided according to credit rating which was computed. Finally, the result of this model was compared by the result of credit rating method which was used commercial banks and applicability of this method is also discussed.The aim of the study, to performs the method which was used in the credit rating evaluation process more objective and mathematically, and also applicable beacuse of the high-cost and limited methods in Turkish Banking Sector.