Prioritizing Strategic Objectives of Balanced Scorecard using Quantitative Approaches of SWOT and Fuzzy Multiple-Criteria Decision Making Method

Abstract

Strategic planning is necessary for success and creating competitive advantage in a complex and dynamic environment of today's organizations. Balanced Scorecard is a relatively new tool for planning strategies and implementing strategy. One of the main stages related to the Balanced Scorecard deployment in organizations or companies, is prioritization of strategic objectives in the strategy map. In this paper, prioritized strengths, weaknesses, opportunities and threats of the organization are considered as criteria for evaluating strategic goals. There are different approaches for strategic objective prioritization. In this paper, strengths, weakness, opportunities, and threats were considered as criteria of a decision matrix. Then Fuzzy Technique for Ordering Preferences Similarity to Ideal Solution (TOPSIS) technique, one of the best techniques in Multi-Criteria Decision Making, was used for prioritization of strategic objectives. Using Fuzzy TOPSIS needs to weight of criteria. According to the internal relationships between strengths, weakness, opportunities, and threats, Analytical Network Process (ANP) was used to weight them. Finally, a case study is provided to illustrate the effectiveness of the proposed method.

Keywords

• strategic objectives
• fuzzy topsis
• balanced scorecard
• anp
• swot matrix