Prioritizing strategic business units in the face of innovation performance: Combining fuzzy AHP and BSC

Behrooz Noori ()
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Behrooz Noori: Department of Industrial Engineering, West Tehran Branch, Islamic Azad University, Tehran, Iran

No 802059, Proceedings of International Academic Conferences from International Institute of Social and Economic Sciences

Abstract: Large corporations may be composed of multiple strategic business units (SBUs), each of which is responsible for its own profitability. Innovation performance management of SBUs boosts corporation business results. In the present work, SBU ranking based on innovation performance was addressed. The contribution of the proposed model was threefold: (1) it proposed a fuzzy analytic hierarchy process (AHP) for SBU ranking with triangular fuzzy numbers; (2) it provided a comprehensive and systematic framework that combined balanced scorecard (BSC) and fuzzy AHP; and (3) it explored practical application and illustrated the efficacy of the procedures and algorithms. It used a real-world case study in a large steel manufacturing company to present the applicability of the system. Finding SBU priorities would help the corporations to develop strategies and policies to manage and improve SBU performance.

Keywords: strategic business unit; innovation performance; SBU performance; balanced scorecard; fuzzy analytic hierarchy process; steel sector (search for similar items in EconPapers)
JEL-codes: C44 L21 L25 (search for similar items in EconPapers)
Pages: 23 pages
Date: 2014-10
New Economics Papers: this item is included in nep-cse and nep-ino
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Published in Proceedings of the Proceedings of the 13th International Academic Conference, Antibes, Oct 2014, pages 381-403

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Persistent link: https://EconPapers.repec.org/RePEc:sek:iacpro:0802059

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