Pitfalls in the application of analytic hierarchy process to performance measurement

Pitfalls in the application of analytic hierarchy process to performance measurement Purpose – The paper seeks to show pitfalls in the application of analytic hierarchy process (AHP) to efficiency analysis and performance measurement as well as ways to steer clear of these pitfalls. Design/methodology/approach – The paper outlines guidelines for avoiding pitfalls in the application of the AHP to efficiency analysis and performance measurement. Findings – The pitfalls discussed in the paper can be understood as a type of critical reflection of best practice, since they stem from the experiences of the application of the AHP in the area of efficiency analysis and performance measurement. Research limitations/implications – The pitfalls discussed are based on a limited number of projects covering only a few industries. Further work may be required to test the general validity of these findings. Practical implications – The ways to steer clear of these pitfalls can guide a decision maker to a proper application of the AHP in the area of efficiency analysis and performance measurement. Originality/value – The paper goes beyond the multi criteria decision‐making literature where only general criticism of the AHP is found and the area of efficiency analysis and performance measurement is neglected. http://www.deepdyve.com/assets/images/DeepDyve-Logo-lg.png Management Decision Emerald Publishing

Pitfalls in the application of analytic hierarchy process to performance measurement

Management Decision, Volume 46 (7): 13 – Aug 1, 2008

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Publisher
Emerald Publishing
Copyright
Copyright © 2008 Emerald Group Publishing Limited. All rights reserved.
ISSN
0025-1747
DOI
10.1108/00251740810890203
Publisher site
See Article on Publisher Site

Abstract

Purpose – The paper seeks to show pitfalls in the application of analytic hierarchy process (AHP) to efficiency analysis and performance measurement as well as ways to steer clear of these pitfalls. Design/methodology/approach – The paper outlines guidelines for avoiding pitfalls in the application of the AHP to efficiency analysis and performance measurement. Findings – The pitfalls discussed in the paper can be understood as a type of critical reflection of best practice, since they stem from the experiences of the application of the AHP in the area of efficiency analysis and performance measurement. Research limitations/implications – The pitfalls discussed are based on a limited number of projects covering only a few industries. Further work may be required to test the general validity of these findings. Practical implications – The ways to steer clear of these pitfalls can guide a decision maker to a proper application of the AHP in the area of efficiency analysis and performance measurement. Originality/value – The paper goes beyond the multi criteria decision‐making literature where only general criticism of the AHP is found and the area of efficiency analysis and performance measurement is neglected.

Journal

Management DecisionEmerald Publishing

Published: Aug 1, 2008

Keywords: Analytical hierarchy process; Performance measurement; Decision making

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