Implementing the balanced scorecard using the analytic hierarchy process & the analytic network process

L C Leung (), K C Lam and D Cao
Additional contact information
L C Leung: The Chinese University of Hong Kong
K C Lam: The Chinese University of Hong Kong
D Cao: University of Quebec at Trois-Rivieres

Journal of the Operational Research Society, 2006, vol. 57, issue 6, 682-691

Abstract: Abstract The balanced scorecard (BSC) is a multi-attribute evaluation concept that highlights the importance of non-financial attributes. By incorporating a wider set of non-financial attributes into the measurement system of a firm, the BSC captures not only a firm's current performance, but also the drivers of its future performance. Although there is an abundance of literature on the BSC framework, there is a scarcity of literature on how the framework should be properly implemented. In this paper, we use the analytic hierarchy process (AHP) and its variant the analytic network process (ANP) to facilitate the implementation of the BSC. We show that the AHP and the ANP can be tailor-made for specific situations and can be used to overcome some of the traditional problems of BSC implementation, such as the dependency relationship between measures and the use of subjective versus objective measures. Numerical examples are included throughout.

Keywords: AHP; ANP; balanced scorecard; performance measurement (search for similar items in EconPapers)
Date: 2006
References: View references in EconPapers View complete reference list from CitEc
Citations: View citations in EconPapers (23)

Downloads: (external link)
http://link.springer.com/10.1057/palgrave.jors.2602040 Abstract (text/html)
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:pal:jorsoc:v:57:y:2006:i:6:d:10.1057_palgrave.jors.2602040

Ordering information: This journal article can be ordered from
http://www.springer. ... search/journal/41274

DOI: 10.1057/palgrave.jors.2602040

Access Statistics for this article

Journal of the Operational Research Society is currently edited by Tom Archibald and Jonathan Crook

More articles in Journal of the Operational Research Society from Palgrave Macmillan, The OR Society
Bibliographic data for series maintained by Sonal Shukla () and Springer Nature Abstracting and Indexing ().