Evaluation and Weighting Balanced Scorecard Critical Factors by Means of Fuzzy Analytic Hierarchy Process (A Case Study) (original) (raw)
Related papers
2012
This article intends to answer the question as how through combination of BSC and Fuzzy Analytic Network Process (ANP) organization's relative performance can be assessed based on its outlook and strategies, so as both the interaction between criteria and indicators and the balance between them are taken account of. This is an applied and descriptive research conducted through a case study and the under study in one of the medical universities in north of Iran. Through consensus and profiting from a questionnaire the data were gathered. Questionnaire validity and stability was confirmed following approval of the organization's experts. In this article, through presentation of new Fuzzy model, it has been tried to assess current strategies of the organization and the key factors associated to these strategies. Statistical population in this research includes knowledgeable and experienced managers and experts in the understudy organization. In this article, through combinati...
This article intends to answer the question as how through combination of BSC and Fuzzy Analytic Network Process (ANP) organization's relative performance can be assessed based on its outlook and strategies, so as both the interaction between criteria and indicators and the balance between them are taken account of. This is an applied and descriptive research conducted through a case study and the under study in one of the medical universities in north of Iran. Through consensus and profiting from a questionnaire the data were gathered. Questionnaire validity and stability was confirmed following approval of the organization's experts. In this article, through presentation of new Fuzzy model, it has been tried to assess current strategies of the organization and the key factors associated to these strategies. Statistical population in this research includes knowledgeable and experienced managers and experts in the understudy organization. In this article, through combination of two performance measurement models, (BSC and ANP), while profiting from a Fuzzy Approach the indicators for measurement of organization performance are identified and by combination of the two models, a comprehensive model is proposed for measurement of the organization's overall performance. In the research findings, the key constituents and the indicators associated to each constituent were pointed out based on which priority and weight of each in regard to organization's current state of performance can be determined. These weights and indicators can give a useful insight to the university managers regarding the organization performance and importance of its different aspects at organizational level. The score of 61% (out of 100) was found for the organization current performance which can serve as a good base for improvement of the organization future performance.
Management Science Letters, 2012
The success of each organization depends undoubtedly on the quality of its management and management quality depends on decision quality and information quality on the quality of its measurement and proportion. Therefore, its accuracy and measurement has a key role in the success of the organization and the weakness of performance evaluation and managerial control system can transfer to a barrier for the growth of organization. Performance evaluation systems are now dividable to two traditional group (performance evaluation of an individual across reminding him about his performance) and modern group (developing and improving the capacity of evaluated individual and inclined to achievement of organizational objectives and strategies). One of the most authoritative strategic models in this field is the balanced scorecard (BSC) model in which entire aspects of an organization are dominantly investigated. However, no operational trend has been introduced for utilizing it up to now. In this paper, an operational trend is introduced to apply the foundations of BSC model and multiple criteria decision making (MCDM) techniques. The most important goal of researchers in representation of new structure for creating development and growth capacity and permanent improvement is associated by a kind of providence, such that it can develop desirable organizational and work behaviors towards achieving the objectives and strategies of the organization. In addition, the strategic planning of Islamic Azad university of Semnan was modeled by suggested structure to validate the suggested structure's capacities. The results showed that outputs were more tangible for the personnel of the organization and the results were accepted by the managers of Islamic Azad university of Semnan.
The purpose of this article is to design specific type of multi-criteria performance measurement (MCPM) framework using the virtues of both simple multiple attribute rating technique (SMART) and analytical hierarchy process (AHP) notions. The article largely focuses on selection of key performance indicators (KPIs) using combined merits of these two methods. Identifying KPIs is one of the major challenges in designing of MCPM frameworks/models and it is one of causes of failure while firms are implementing performance measurement systems. The MCPM framework has been designed by considering the needs of all critical stakeholders as crucial input, namely customers, shareholders, environment & local community, employees and suppliers. Then the strategic objectives of the case studied company were outlined with help of strategy map; all potential performance measures were listed for each strategic objective. Six evaluation criteria were applied to identify 19 KPIs among 46 potential ind...
The degree of effectiveness of information technology (IT) in industry and the way it aids organizational goals are considered as very key sensitive points in industry's communications and interactions in the worldwide scale. In fact information technology has got various functions in different sectors of industry most of which are not simply quantifiable. Usually a large quantity of the information we deal with in industrial atmospheres are ambiguous and in a way fuzzy. That's why it makes it almost impossible to utilize common ways of decision-making in this area. In this research due to integrity of decision-making approach, evaluation of information technology will be based on FAHP and BSC approaches. Ways forward for BSC to express organizational hierarchy are divided into four main sections (financial, buyer, the function's internal process, and training & rate of progress). These factors are considered as functional indicators for each section to be evaluated. The FAHP approach here is mainly advised to be used to clarify the ambiguity of the information. In conclusion this integrated methodology facilitates planning in information systems and gives some clues to create a viable system of information technology in industry. That means provision of ways forward for improvements in performance of information technology in Industries.
E3S Web of Conferences
Taking Hangzhou cigarette factory as an example, this paper establishes a key performance index system through integrating the balanced scorecard (BSC) and key performance index (KPI). The index system includes the first-level and 13 second-level indicators in four dimensions of finance, customers, internal processes, as well as learning and growth. Through Analytic Hierarchy Process (AHP) and fuzzy comprehensive evaluation method, it constructs an evaluation model of key corporate performance, finally achieves the actual performance levels of the enterprise, as well as puts forward the improvement suggestions. This evaluation method mainly includes the steps of determining the domain of evaluation factors at all levels, determining the evaluation level, determining fuzzy weight vectors of various indexes, establishing the fuzzy relation matrix and calculating comprehensive evaluation results. It has high accuracy in the process of performance evaluation, which has certain reference...
2021
Introduction: This study aimed to compare the performance evaluation of a selected hospital through weighting and not weighting the indices using a hybrid approach. Materials and Methods: This mixed-method study was conducted in a Specialized Hospital in Mashhad, Iran. In the group discussion sessions of the scorecard team, a list of performance indices was prepared in four perspectives using a balanced scorecard approach. The indices were selected using the Delphi method and measured in the hospital afterward. In the first method, the percentage of realization of each index was measured based on the expected value of the index in the hospital, and the overall performance score was obtained. In the second method, the weight of each perspective and index was calculated using the standard hierarchy analysis questionnaire, and the coefficient of the significance of each index and perspective was considered in hospital performance based on the expected quantity of the index. Eventually,...
Quantification of Corporate Performance Using Fuzzy Analytic Network Process
Theory and Practical Applications
Performance Measurement (PM) is a combination of a company’s characteristics that can be numerically expressed. The aim of the PM is to provide feedback about the success of current activities and give insight about future performance. Performance of a company depends on its vision and goals so the definition of performance can vary with time. While PM literature provides various models for PM, the most accepted model is Balanced ScoreCard (BSC). BSC supplies four inter-related perspectives that the companies can identify as indicators for performance. These perspectives are: financial, internal business processes, customer, and learning and growth perspectives. In this study, PM is formulated as a Multi Attribute Decision Making (MADM) problem and a Fuzzy Analytical Network Process (FANP) based performance measurement model is proposed. The performance measurement criteria are built based on four perspectives of BSC. The proposed model utilizes FANP in order to determine the relati...
Expert Systems with Applications, 2010
Balanced Scorecard (BSC), which is used as a strategic evaluation tool, is a method of determining business performance using lagging and leading indicators on the basis of vision and strategies. The method suggests that business performance should be evaluated not only by using financial indicators but also simultaneously considering non-financial indicators. It has been revealed in the review of relevant literature that despite the satisfying levels achieved in conceptual and theoretical dimension of Balanced Scorecard, the method has some deficiencies in terms of implementation on a quantitative basis and that there remain some problems to be resolved. Subject of this study covered the measurement and evaluation dimension of BSC. In the scope of the study, BSC approach was integrated with fuzzy ANP technique so as to determine the performance level of a business on the basis of its vision and strategies. Proposed model has shown that performance indicators with different structures included in BSC approach can be consolidated with the help of fuzzy ANP technique.
Strategic Themes for Balanced Scorecard Construction Based on Fuzzy Logic
2008
Balanced Scorecard is a methodology for strategic management with emphasis in strategic, tactic, and operational control. If you don’t measure something, you don’t manage it. Last statement is a way to emphasizes one of the most important assumptions of this methodology that is very well implemented by it. However, BSC can’t express strategy in actions, nor translate verbalization of strategic