Using the fuzzy analytic network process (ANP) for Balanced Scorecard (BSC): A case study for a manufacturing firm

Balanced Scorecard (BSC), which is used as a strategic evaluation tool, is a method of determining business performance using lagging and leading indicators on the basis of vision and strategies. The method suggests that business performance should be evaluated not only by using financial indicators...

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Published inExpert systems with applications Vol. 37; no. 2; pp. 1270 - 1278
Main Authors Yueksel, Ihsan, Daodeviren, Metin
Format Journal Article
LanguageEnglish
Published Elsevier Ltd 01.03.2010
Subjects
Online AccessGet full text
ISSN0957-4174
1873-6793
DOI10.1016/j.eswa.2009.06.002

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Abstract Balanced Scorecard (BSC), which is used as a strategic evaluation tool, is a method of determining business performance using lagging and leading indicators on the basis of vision and strategies. The method suggests that business performance should be evaluated not only by using financial indicators but also simultaneously considering non-financial indicators. It has been revealed in the review of relevant literature that despite the satisfying levels achieved in conceptual and theoretical dimension of Balanced Scorecard, the method has some deficiencies in terms of implementation on a quantitative basis and that there remain some problems to be resolved. Subject of this study covered the measurement and evaluation dimension of BSC. In the scope of the study, BSC approach was integrated with fuzzy ANP technique so as to determine the performance level of a business on the basis of its vision and strategies. Proposed model has shown that performance indicators with different structures included in BSC approach can be consolidated with the help of fuzzy ANP technique.
AbstractList Balanced Scorecard (BSC), which is used as a strategic evaluation tool, is a method of determining business performance using lagging and leading indicators on the basis of vision and strategies. The method suggests that business performance should be evaluated not only by using financial indicators but also simultaneously considering non-financial indicators. It has been revealed in the review of relevant literature that despite the satisfying levels achieved in conceptual and theoretical dimension of Balanced Scorecard, the method has some deficiencies in terms of implementation on a quantitative basis and that there remain some problems to be resolved. Subject of this study covered the measurement and evaluation dimension of BSC. In the scope of the study, BSC approach was integrated with fuzzy ANP technique so as to determine the performance level of a business on the basis of its vision and strategies. Proposed model has shown that performance indicators with different structures included in BSC approach can be consolidated with the help of fuzzy ANP technique.
Author Yüksel, İhsan
Dağdeviren, Metin
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Issue 2
Keywords Strategic management
Performance evaluation
Analytic network process (ANP)
Balanced Scorecard (BSC)
Fuzzy evaluation
Linguistic variable
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Snippet Balanced Scorecard (BSC), which is used as a strategic evaluation tool, is a method of determining business performance using lagging and leading indicators on...
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SubjectTerms Analytic network process (ANP)
Balanced Scorecard (BSC)
Fuzzy evaluation
Linguistic variable
Performance evaluation
Strategic management
Title Using the fuzzy analytic network process (ANP) for Balanced Scorecard (BSC): A case study for a manufacturing firm
URI https://dx.doi.org/10.1016/j.eswa.2009.06.002
https://www.proquest.com/docview/35047765
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