An Integrated Strategic Performance Management Model using the Balanced Scorecard, AHP and Fuzzy QFD

Subject Areas : Industrial Management

Mohsen  Jahanbazy ¹ (MSc, Industrial Management, Najaf Abad Branch, Islamic Azad University, Najaf Abad,Iran)
Majid  Rashidkaboli ² (Assistant Professor, Faculty Member of Esfahan University)

Received: 2016-01-22 Accepted : 2016-07-18 Published : 2016-08-25

Keywords:

Abstract :

This article aims to help the construction companies to move towards achieving their long-term goals and excellence in operations in all strategic and operational aspects using optimal and efficient strategic management system. The statistical population consisted of Behsaz Kashaneh Tehran Construction Company. After developing SWOT strategies and strategic objectives, Balanced Scorecards were designed in four perspectives including financial, customer, internal processes, and learning and growth. In this regard, AHP was employed for weighting due to the different importance of these perspectives. Fuzzy QFD model was employed in the process of drawing a strategic map in four mentioned strategic perspectives. Finally, balanced scorecard was designed in four mentioned perspectives and for each of strategic objectives. Company performance was then measured based of the figures. The results show that not only correct design and application of Balanced Scorecards by AHP increase the performance in growth and learning (97%), and internal processes (87%) but also such cause-and-effect relationship permeates through the customers' indicators (83/8%) and financial perspective (113%).

References:

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2. Bentes, A, Carneiro, J, Silva, J, Kimura, H. (2012). Multidimensional assessment of organizational performance: Integrating BSC and AHP, Journal of Business Research, 65 ,1790–1799


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7. Gunduz, M., Simsek, B. (2007). A strategic safety management framework through balanced scorecard and quality function deployment, Canadian Journal of Civil Engineering, 34(5): 622-630.


8. Ip, Y.K., Koo, L.C. (2004) BSQ Strategic Formulation Framework A Hybrid of Balanced Scorecard, SWOT analysis and quality function deployment. Managerial Auditing Journal 19(4), 533-543.


9. Jin, Z, Deng, F., Li., H., Skitmore, M. (2013). Practical Framework for Measuring Performance of International Construction Firms. J. Constr. Eng. Manage., 10.1061/(ASCE)CO.1943-7862.0000718, 1154-1167.


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12. Khatami Firoozabadi, A., & Izadkhah, M. (2012). Development of a strategic model to evaluate the performance of construction companies with the combination of BSC and AHP, Organizational Culture Management under 11 (3), 27-5.


13. Ko, A.S.O., Lee S.F. (2000). Implementing the Strategic Formulation Framework for the Banking Industry of Hong Kong, Managerial Auditing Journal, 15(9), 469-477.


14. Nouri, A., Asadi, B., Rezazadeh, A. (2007). The assessment of teaching quality by fuzzy MCDM techniques, knowledge management, 78, 139-160.


15. Rezaie K., Hosseini, Ashtiani, HR., Hoshyar, M. (2001). QFD customer-oriented approach to design and improve product quality, Tehran Iran Participation Publishing Co. (RWTUV) in collaboration with the publication of Atena.


16. Rohm, Howard. (2002). Developing and Using Balanced Scorecard Performance Systems, U.S. Foundation for Performance Measurement.


17. Tavana, M., Mousavi, N., and Golara, S. (2013). A fuzzy-QFD approach to balanced scorecard using an analytic network process. Int. J. Information and Decision Sciences, 5. 4, 331–363.


18. Williams, S. (2001) Drive your business forward with the Balance scorecard, Manage. Services 45(6), 28-30.

1. Azar, A, Faraji, H. (2001). Fuzzy Management Science, Tehran: the community press.


2. Bentes, A, Carneiro, J, Silva, J, Kimura, H. (2012). Multidimensional assessment of organizational performance: Integrating BSC and AHP, Journal of Business Research, 65 ,1790–1799


3. Bevilacqua, M., and Ciarapica, F.E. (2006). A Fuzzy- QFD approach to Supplier Selection, Journal of Purchasing and Supply Management, 12, 14-27.


4. Chen. C. H., Chou, S.Y., (2006). A BSC Framework for Air Cargo Terminal Design: Procedure and Case Study, Journal of Industrial Technology, 22.


5. Faraj pour,G ,Hadian pour, M. (2015). Manufacturing company's strategy to enter international markets by combining BSC and EFQM and QFD, Adv. in Nat. Appl. Sci., 9(4): 47-60.


6. Ghodsi-Pour, SH. (2001). Analytic Hierarchy Process AHP, Amirkabir University of Technology Publications.


7. Gunduz, M., Simsek, B. (2007). A strategic safety management framework through balanced scorecard and quality function deployment, Canadian Journal of Civil Engineering, 34(5): 622-630.


8. Ip, Y.K., Koo, L.C. (2004) BSQ Strategic Formulation Framework A Hybrid of Balanced Scorecard, SWOT analysis and quality function deployment. Managerial Auditing Journal 19(4), 533-543.


9. Jin, Z, Deng, F., Li., H., Skitmore, M. (2013). Practical Framework for Measuring Performance of International Construction Firms. J. Constr. Eng. Manage., 10.1061/(ASCE)CO.1943-7862.0000718, 1154-1167.


10. Kaplan, R.S., Norton, D.P. (2004). Strategy Maps: Converting Intangible Assets into Tangible Outcomes. Harvard Business School Press, Boston.


11. Kaplan, R.S., Norton, D.P.)2001). The Strategy Focused Organization, Harvard Business School Press, Harvard.


12. Khatami Firoozabadi, A., & Izadkhah, M. (2012). Development of a strategic model to evaluate the performance of construction companies with the combination of BSC and AHP, Organizational Culture Management under 11 (3), 27-5.


13. Ko, A.S.O., Lee S.F. (2000). Implementing the Strategic Formulation Framework for the Banking Industry of Hong Kong, Managerial Auditing Journal, 15(9), 469-477.


14. Nouri, A., Asadi, B., Rezazadeh, A. (2007). The assessment of teaching quality by fuzzy MCDM techniques, knowledge management, 78, 139-160.


15. Rezaie K., Hosseini, Ashtiani, HR., Hoshyar, M. (2001). QFD customer-oriented approach to design and improve product quality, Tehran Iran Participation Publishing Co. (RWTUV) in collaboration with the publication of Atena.


16. Rohm, Howard. (2002). Developing and Using Balanced Scorecard Performance Systems, U.S. Foundation for Performance Measurement.


17. Tavana, M., Mousavi, N., and Golara, S. (2013). A fuzzy-QFD approach to balanced scorecard using an analytic network process. Int. J. Information and Decision Sciences, 5. 4, 331–363.


18. Williams, S. (2001) Drive your business forward with the Balance scorecard, Manage. Services 45(6), 28-30.