Ranking Strategic Objectives in a Strategy Map Based on Logarithmic Fuzzy Preference Programming and Similarity Method
This paper aims to rank strategic objectives in a strategy map to improve the efficiency of strategy implementation. Objectives are ranked based on strategic destinations using the combination of Logarithmic Fuzzy Preference Programming (LFPP) and similarity method. In the first step, the weight of strategic destinations is obtained using LFPP technique; then objectives are ranked by similarity method. Similarity method uses the concept of alternative gradient and magnitude for effectively solving the general multi-criteria analysis problem. Finally, objectives are ranked in an actual strategy map. As a practical and efficient tool, the proposed approach can assist managers and decision-makers in drawing more efficient output from strategy maps. (original abstract)
- R.A. Kaplan, D.P. Norton. "The balanced scorecard-measures that drive performance". Harvard Business Review, vol. 70, no. 1, pp.71-9, 1992.
- R.S. Kaplan and D.P. Norton. "The balanced scorecard: translating strategy into action". Harvard Business Press, 1996.
- C. Jayawardena and A. Sukhu. "Enhancing customer experience in Canadian hotels". International Journal of Services, Economics and Management, vol. 6, no. 2, pp.163-180, 2014.
- R.S. Kaplan and D.P. Norton. "Linking the balanced scorecard to strategy". California management review, vol. 39, no. 1, pp. 53-79, 1996.
- R.S. Kaplan and D.P. Norton. "Strategy maps: Converting intangible assets into tangible outcomes". Harvard Business Press, 2004.
- R. Lawson, D. Desroches and T. Hatch. "Scorecard best practices: design, implementation, and evaluation". John Wiley & Sons, 2008.
- R.S. Kaplan and D.P. Norton. "The balanced scorecard: measures that drive performance". Harvard Business School Publishing, 2005.
- R.D. Banker, H. Chang, and M.J. Pizzini. "The balanced scorecard: Judgmental effects of performance measures linked to strategy". The Accounting Review, vol. 79, no. 1, pp. 1-23, 2004.
- O. Urikova, I. Ivanochko, N. Kryvinska, C. Strauss and P. Zinterhof. "Consideration of aspects affecting the evolvement of collaborative e-business in service organisations". International Journal of Services, Economics and Management, vol. 5, no. 1-2, pp. 72-92, 2013.
- R.S. Kaplan and D.P. Norton. "Putting the balanced scorecard to work". Harvard Business Review, vol. 74, no. 5, pp.134-47, 1993.
- V.H. Haase. "Computer models for strategic business process optimisation". In Euromicro Conference, 2000. pp. 254-260.
- T.Y. Chou and G.S. Liang. "Application of a fuzzy multi-criteria decision-making model for shipping company performance evaluation". Maritime Policy & Management, vol. 28, no. 4, pp. 375-392, 2001.
- W.N. Dilla and P.J. Steinbart. "The effects of alternative supplementary display formats on balanced scorecard judgments". International Journal of Accounting Information Systems, vol. 6, no.3, pp. 159-176, 2005.
- V. Koppen, H. Graubitz, H.K. Arndt and H.J. Lenz. "A procedure to estimate relations in a balanced scorecard". In Data Analysis, Machine Learning and Applications, 2008, pp. 363-371.
- J. Thakkar, S.G. Deshmukh, A.D.Gupta and R. Shankar. "Development of a balanced scorecard: an integrated approach of interpretive structural modeling (ISM) and analytic network process (ANP)". International Journal of Productivity and Performance Management, vol. 56, no. 1, pp. 25-59, 2006.
- P. Chytas, M. Glyka and G. Valiris. "A proactive fuzzy cognitive balanced scorecard." In Fuzzy Systems, 2008. FUZZIEEE 2008. (IEEE World Congress on Computational Intelligence). IEEE International Conference on pp. 1331-1338
- F. Bobillo, M. Delgado, J. Gomez-Romero and E. Lopez."A semantic fuzzy expert system for a fuzzy balanced scorecard". Expert Systems with Applications, vol. 36, no. 1, pp.423-433, 2009.
- L.E. Quezada, F.M. Cordova, P. Palominos, K. Godoy and J. Ross. "Method for identifying strategic objectives in strategy maps". International Journal of Production Economics, vol. 122, no.1, pp. 492-500, 2009.
- J.C.T Wu, H.T. Tsai, M.H. Shih and H.H. Fu. "Government performance evaluation using a balanced scorecard with a fuzzy linguistic scale". The Service Industries Journal, vol. 30, no. 3, pp. 449-462, 2010.
- F. Buytendijk, T. Hatch and P. Micheli. "Scenario-based strategy maps". Business Horizons, vol. 53, no. 4, pp. 335-347, 2010.
- H. Tohidi, A. Jafari and A.A. Afshar. "Strategic planning in Iranian educational organizations". Procedia-Social and Behavioral Sciences, vol. 2, no. 2, pp. 3904-3908, 2010.
- M.L. Tseng. "Implementation and performance evaluation using the fuzzy network balanced scorecard". Computers & Education, vol. 55, no. 1, pp.188-201, 2010.
- J. Jassbi, F. Mohamadnejad and H. Nasrollahzadeh. "A Fuzzy DEMATEL framework for modeling cause and effect relationships of strategy map". Expert systems with Applications, vol. 38, no. 5, pp. 5967-5973, 2011.
- H.Y. Wu. "Constructing a strategy map for banking institutions with key performance indicators of the balanced scorecard". Evaluation and Program Planning, vol. 35, no. 3, pp.303-320, 2012.
- L.A.Zadeh."Fuzzy sets". Information and control, vol. 8, no. 3, pp. 338-353,1965.
- Kazemi, M.Y.N. Attari and M. Khorasani. "Evaluating service quality of airports with integrating TOPSIS and VIKOR under fuzzy environment". International Journal of Services, Economics and Management, vol. 7, no. 2-4, pp. 154-166, 2016.
- P.J.M. Van Laarhoven and W. Pedrycz. "A fuzzy extension of Saaty's priority theory". Fuzzy sets and Systems, vol. 11, no. 1-3, pp. 229-241, 1983.
- Kaufmann and M.M. Gupta. "Introduction to fuzzy arithmetic". New York: Van Nostrand Reinhold Company, 1991.
- Kaufmann and M.M. Gupta. "Fuzzy mathematical models in engineering and management science". Elsevier Science Inc., 1998.
- Y.M. Wang and K.S. Chin. "Fuzzy analytic hierarchy process: A logarithmic fuzzy preference programming methodology". International Journal of Approximate Reasoning, vol. 52, no. 4, pp. 541-553, 2011.
- Carlsson and R. Fuller. "Multiple criteria decision making: the case for interdependence". Computers & Operations Research, vol. 22, no. 3, pp. 251-260, 1995.
- K. Zeleny. "Multiple criteria decision making: Eight concepts of optimality". Human Systems Management, vol. 17, no. 2, pp. 97-107, 1998.
- C.N. Vijeyamurthy and R. Panneerselvam. "Literature review of covering problem in operations management". International Journal of Services, Economics and Management, vol. 2, no. 3-4, pp. 267-285, 2010.
- J.L. Cohon. Multi-objective Programming and Planning. Academic Press, New York, 1978
- H. Deng, C.H. Yeh and R.J. Willis. "Inter-company comparison using modified TOPSIS with objective weights". Computers & Operations Research, vol. 27, no. 10, pp. 963-973, 2000.
- M.F. Shipley, A. de Korvin and R. Obid. "A decision making model for multi-attribute problems incorporating uncertainty and bias measures". Computers & operations research, vol. 18, no. 4, pp. 335-342, 1991.
- E. Shevtshenko, T. Karaulova., S.Kramarenko, S., Y.Wang,: "IDSS used as a framework for collaborative projects in conglomerate enterprises". Journal of Achievements in Materials and Manufacturing Engineering, pp. 89-92, 2007.
- I. Polyantchikov, E.Shevtshenko, T. Karaulova, T. Kangilaski, L. Camarinha-Matos, "Virtual enterprise formation in the context of a sustainable partner network", Industrial Management & Data Systems, Vol. 117 (7), pp. 1446-1468, 2017.
- S. Kaganski; J. Majak; K. Karjust; S. Toompalu, (2017). Implementation of key performance indicators selection model as part of the Enterprise Analysis Model. Procedia CIRP, 63: The 50th CIRP Conference on Manufacturing Systems (CMS). 03.05-05.05 Taichung City, Taiwan. Elsevier, pp. 283-288.
- A. Sunder, (2019). Process Optimization and NVA Reduction by Network Analysis and Resequencing. Journal of Applied Industrial Engineering, vol. 6, no. 1, DOI: 10.4018/IJAIE.2019010102.