Development of a FAHP Algorithm Based Performance Measurement System for Lean Manufacturing Company

2016 ◽  
Vol 1 ◽  
Author(s):  
Anita Susilawati

<p>For companies that implement Lean Manufacturing, it is essential to measure the<strong> </strong>extent of success in terms of the achievements of optimum performances. This paper describes the development of a Fuzzy Analytical Hierarchy Process (FAHP) algorithm based Performance Measurement System (PMS) application software for lean companies. The PMS software, which was developed using the C++ language, was designed as a decision making system to aid lean manufacturing companies. The software allows decision making analysis based FAHP facilitating data input, pairwise comparisons, weight calculation and lean company scores. A case study of a lean manufacturing is presented to illustrate the theoretical and practical aspects of the PMS software. The case study demonstrated the software tool can assent to a lean company to implement PMS in a much easier manner yielding more accurate and consistent results that include a list of recommended actions to address issues identified. Therefore, it can improve the company performance.</p>

2016 ◽  
Vol 1 (1) ◽  
Author(s):  
Anita Susilawati

<p>For companies that implement Lean Manufacturing, it is essential to measure the<strong> </strong>extent of success in terms of the achievements of optimum performances. This paper describes the development of a Fuzzy Analytical Hierarchy Process (FAHP) algorithm based Performance Measurement System (PMS) application software for lean companies. The PMS software, which was developed using the C++ language, was designed as a decision making system to aid lean manufacturing companies. The software allows decision making analysis based FAHP facilitating data input, pairwise comparisons, weight calculation and lean company scores. A case study of a lean manufacturing is presented to illustrate the theoretical and practical aspects of the PMS software. The case study demonstrated the software tool can assent to a lean company to implement PMS in a much easier manner yielding more accurate and consistent results that include a list of recommended actions to address issues identified. Therefore, it can improve the company performance.</p>


2021 ◽  
Vol 5 (1) ◽  
pp. 43-52
Author(s):  
Vembri Noor Helia ◽  
Wahyudhi Sutrisno ◽  
Afriza Syawal Zaputra ◽  
Qurtubi Qurtubi

XYZ company is one of the small-medium enterprises (SME) engaged in the batik industry with the main focus on making muslim clothes made from printed batik and batik. The company cannot evaluate the cause of the turnover decrease because no performance measurement has been applied. Therefore, a company performance measurement is carried out using the performance prism approach because a company performance appraisal is needed stakeholder contributions using the performance prism approach.  Stakeholders of this company are consumers, employees, community, capital owners, and suppliers. Supporting the performance prism frame­work, the AHP method was used to determine the weighting and hierarchical structure and then carried out a scoring system with the help of OMAX to determine the company's actual score. This design shows that corporate stakeholders, including owners, consumers, employees, suppliers, and the surrounding community, obtained as many as 34 KPIs. From the implementation of the performance measurement system with OMAX scoring obtained the value of company performance based on satisfaction aspects (6.489), contri­bution aspect (6.582), and capability aspect (5.646).  Recommen­dations are also given to improve it.


2008 ◽  
Vol 3 (1) ◽  
pp. 40-70 ◽  
Author(s):  
G. Anand ◽  
Rambabu Kodali

PurposeIn recent years, many manufacturing companies are attempting to implement lean manufacturing systems (LMS) as an effective manufacturing strategy to survive in a highly competitive market. Such a process of selecting a suitable manufacturing system is highly complex and strategic in nature. The paper aims to how companies make a strategic decision of selecting LMS as part of their manufacturing strategy, and on what basis such strategic decisions are made by the managers.Design/methodology/approachA case study of a small‐ and medium‐sized enterprise is presented, in which the managers are contemplating on implementing either computer integrated manufacturing systems (CIMS) or LMS. To supplement the decision‐making process, a multi‐criteria decision making (MCDM) model, namely, the preference ranking organisation method for enrichment evaluations (PROMETHEE) is used to analyse how it will impact the stakeholders of the organisation, and the benefits gained.FindingsAn extensive analysis of PROMETHEE model revealed that LMS was the best for the given circumstances of the case.Research limitations/implicationsThe same problem can be extended by incorporating the constraints (such as financial, technical, social) of the organisation by utilising an extended version of PROMETHEE called the PROMETHEE V. Since, a single case study approach has been utilised, the findings cannot be generalized for any other industry.Practical limitations/implicationsThe methodology of PROMETHEE and its algorithm has been demonstrated in a detailed way and it is believed that it will be useful for managers to apply such MCDM tools to supplement their decision‐making efforts.Originality/valueAccording to the authors’ knowledge there is no paper in the literature, which discusses the application of PROMETHEE in making a strategic decision of implementing LMS as a part of an organisation's manufacturing strategy.


2019 ◽  
pp. 509-527
Author(s):  
Elad Moskovitz ◽  
Adir Even

Performance measurement, as an effective tool for implementing organizational strategy and assisting ongoing control and surveillance, is broadly adopted today. The performance measurement system (PMS) explored in this case study was implemented, using business intelligence (BI) technologies, for a public police force. The system lets police commanders view and analyze the performance scores of their own units and get feedback on the success of their activities. The study examines the system's impact, through analysis of the metric results over a time period of five years. The results show that the vast majority of the metrics examined indeed improved. Further, the results underscore the moderation effect of relative metrics weights, as well as the different behavior of metrics that reflect activity versus those that reflect outcomes. The study underscores both the positive and the negative aspects of those results, and discusses their implications for future PMS implementation with BI technologies.


2014 ◽  
Vol 3 (4) ◽  
pp. 157
Author(s):  
Diana Zidarov ◽  
Lise Poissant ◽  
Claude Sicotte

The literature on organizational change identifies readiness as an important factor for understanding the outcome of implementation. In the context of implementing a performance measurement system (PMS) in a rehabilitation hospital, we conducted a case study to gain an in-depth understanding of the factors that might impede or facilitate readiness to use a PMS. Two data sources were used: key informant interviews with healthcare executives and official organizational documents. Our results indicate that healthcare executives’ readiness for a PMS was high. This state of readiness is influenced by 12 factors that were classified into three main themes: (1) adopters’ attributes, (2) PMS attributes, and (3) organizational attributes. These results are consistent with change management theory as well as the findings of recent empirical research. In the context of implementing a PMS, a readiness assessment can help identify organizational strengths and weaknesses so that strategies necessary for successful implementation can be developed.


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