Organizational performance measurement by a framework integrating BSC and AHP

Tahere Yaghoobi and Firoozeh Haddadi

International Journal of Productivity and Performance Management, 2016, vol. 65, issue 7, 959-976

Abstract: Purpose - Performance measurement, especially at the enterprise level, requires intense consideration of experts and managers in organizations from both theoretical and practical aspects. The purpose of this paper is to investigate the overall organizational performance by developing a performance evaluation model, based on integrating two methodologies of balanced scorecard (BSC) – a multiple perspective plan for performance assessment – and analytic hierarchy process (AHP) – a structured technique for organizing and analyzing complex decisions. Design/methodology/approach - The method was conducted in Isfahan Telecommunications Company (ITC), in 2013. In total, 27 managers of ITC were invited to participate. First, according to overall firm goals, key performance indicators (KPIs) were established with respect to four perspectives of BSC framework. Then pairwise comparisons were done, through standard AHP questionnaires, to determine the preference weights of each indicator and perspective and give precedence to them. Findings - Organizational performance can be measured by the proposed model in a telecommunications industry. According to the adopted method, company KPIs, relative importance of BSC perspectives and performance evaluation of functional areas were identified. Practical implications - This study provides guidance regarding strategies for improving organizational performance beyond the financial perspective. Originality/value - Previous studies illustrate various applications of joint BSC and AHP. However, this study applies the integrated framework throughout an organization in a new application field and shows not only company’s features but also telecommunications industry features.

Keywords: Balanced scorecard; Business performance; Analytic hierarchy process; Telecom company (search for similar items in EconPapers)
Date: 2016
References: Add references at CitEc
Citations:

Downloads: (external link)
https://www.emerald.com/insight/content/doi/10.110 ... d&utm_campaign=repec (text/html)
https://www.emerald.com/insight/content/doi/10.110 ... d&utm_campaign=repec (application/pdf)
Access to full text is restricted to subscribers

Related works:
This item may be available elsewhere in EconPapers: Search for items with the same title.

Export reference: BibTeX RIS (EndNote, ProCite, RefMan) HTML/Text

Persistent link: https://EconPapers.repec.org/RePEc:eme:ijppmp:v:65:y:2016:i:7:p:959-976

DOI: 10.1108/IJPPM-01-2015-0001

Access Statistics for this article

International Journal of Productivity and Performance Management is currently edited by Dr Luisa Huatuco and Dr Nicky Shaw

More articles in International Journal of Productivity and Performance Management from Emerald Group Publishing Limited
Bibliographic data for series maintained by Emerald Support ().