A multicriteria model on calculating the Sustainable Business Excellence Index of a firm with fuzzy AHP and TOPSIS

Application of Modern Digital Systems and Approaches to Business Process Management

In order to adapt to ever-changing customer needs and satisfy them, good Business Process Management (BPM) in Small and Medium-sized Enterprises (SMEs) is crucial. The target group of this research is production SMEs whose BPM can be monitored respecting the values of key performance indicators (KPIs). This paper shows how improving the performance of the observed business processes can improve the level of customer satisfaction. This improvement should lead to the sustainability of SMEs in the market. In this paper, evaluation of business processes performance is defined as a multi-criteria decision problem. The relative importance of considered KPIs and their imprecise values are described by linguistic expressions, which are then modeled by triangular intuitionistic fuzzy numbers (TIFNs). Calculation of KPI weights is done by using the fuzzy analytic hierarchy process (FAHP). Evaluation of BPM success is conducted respecting the obtained KPI weights and KPI values. An optimal solution for BPM success improvement, respecting customer satisfaction indicators, is calculated using the Artificial Neural Network (ANN) and Genetic Algorithm (GA) approaches. By applying the proposed model, managers of production SMEs can determine the management initiatives that will improve their business and the sustainability of their companies.

Integrated approach for finding the causal effect of waste management over sustainability in the organization

Purpose

In developed and developing countries, organizations need to do sustainability reporting. The purpose of this paper is to identify the vital linkages of sustainability, which helps to capture the existing waste management practice in sustainable organizations.

Design/methodology/approach

This paper reports a mixed-method approach for sustainable organization. Initially, the waste management and sustainability factors have been linked together for finding the relation between them through the situation, actor, process, learning, action, performance (SAP-LAP) linkages framework; it has been used as qualitative design details to achieve sustainability in the organization. The waste management and sustainability factors linkages have been used as a reference to guide the cause and effect relationship through decision-making trial and evaluation laboratory (DEMATEL) to upgrade knowledge for a sustainable organization.

Findings

The proposed method has been used to meet the functional requirements of sustainability in the organization. Waste management has been analyzed as the most significant benchmarks to achieve sustainability in the organization. The causal relationship reveals that the social image of an organization as a sustainable organization is the effect of its governmental directives, followed by the organization. The governmental directives is the most influencing dimension, and waste management efficiency and energy consumption are the most related, whereas wastivity is the most flexible dimension of sustainability in the organization. To increase its customer satisfaction, profit share and market value, these factors must be considered as vital factors of organization's sustainable performance.

Research limitations/implications

The scope of the present research has been limited to benchmark sustainability by analyzing eight waste management factors and ten critical sustainability factors that have been grouped into four dimensions in the service sector, which could be generalized. The expert's view has been captured for DEMATEL based on “ratings provided by experts,” which may be biased.

Practical implications

Benchmarked sustainability factors have been proposed to increase the value and performance of the organization. The cause and effect relationship is useful to present the capability of waste management to act as a strong foundation for establishing a sustainable organization, where governmental directives, wastivity, waste management efficiency, and energy consumption act as the benchmarking factors to compare sustainable organization performance in developing the county's viewpoint. The present study considered the fourth dimension of sustainability “government and customer” as the dynamic dimension of sustainability, which can absorb and diffuse the changes in sustainable organization with time and can improvise social acceptance.

Originality/value

The research improves the existing method of measuring the performance of the sustainable organization by using well-established methods.

Revision of Sustainable Road Rating Systems: Selection of the Best Suited System for Hungarian Road Construction Using TOPSIS Method

There are a number of sustainable and environmentally friendly techniques and methods currently available in the construction industry. To promote sustainable development, different rating and certificating systems that evaluate the level of sustainability during the development of infrastructure construction projects have been developed. The aim of the research presented in this paper was to examine the applicability of sustainability rating systems in Hungary and find the most suitable option. After a review of commonly used rating systems, i.e., Greenroads, GreenLITES, I-LAST, Envision, and INVEST, the most suitable existing rating system is selected with the help of the Technique for Order Preference by Similarity to the Ideal Solution (TOPSIS) mathematical decision analysis method. This was achieved by utilizing 12 categories of input data (weights) analyzed through TOPSIS. The input data (weights) of the TOPSIS method were determined by a small research group of industry experts and academic professionals based on Hungarian practices and methodology. As a result of the calculation, the study found that the Envision rating system satisfies the criteria best, closely followed by Greenroads.

Corporate Sustainability Strategies and Decision Support Methods: A Bibliometric Analysis

Sustainability is becoming an increasing issue for decision-makers and scholars worldwide and many managers understand the significance of the strategic approach of corporate sustainability. However, they face difficulties in aligning sustainable development and strategic management as well as to implement it in practice. Thus, the purpose of this paper is to conduct a bibliometric analysis exploring the integration of strategic management, decision-making and corporate sustainability, providing a framework of interrelated issues according to the current literature in this area. 72 peer-reviewed papers were analyzed based on Webster’s and Watson’s (2002) methodology. The results of this review revealed that the number of publications in this domain has increased in the last decade, and there is a need to foster research (especially empirical) in this field because managers should find out ways to implement, in action, corporate sustainability strategies and integrate their action plans with their business strategy. This review concludes with a framework that includes the most commonly addressed issues of this topic and provides opportunities and challenges for further research.

Distributed manufacturing

Purpose

The purpose of this paper is to develop a preliminary conceptual scale for the measurement of distributed manufacturing (DM) capacity of manufacturing companies operating in rubber and plastic sectors.

Design/methodology/approach

A two-step research methodology is employed. In first step, the dimensions of DM and different levels of each dimension have been defined. In second step, an empirical analysis (cluster analysis) of database firms is performed by collecting the data of 38 firms operating in Italian mould manufacturing sector. Application case studies are then analyzed to show the use of the proposed DM conceptual scale.

Findings

A hyperspace, composed of five dimensions of DM, i.e. manufacturing localization; manufacturing technologies; customization and personalization; digitalization; and democratization of design, is developed and a hierarchy is defined by listing the levels of each dimension in an ascending order. Based on this hyperspace, a conceptual scale is proposed to measure the positioning of a generic company in the DM continuum.

Research limitations/implications

The empirical data are collected from Italian mould manufacturing companies operating in rubber and plastic sectors. It cannot be assumed that the industrial sectors in different parts of the world are operating under similar operational, regulatory and economic conditions. The results, therefore, might not be generalized to manufacturing companies operating in different countries (particularly developing countries) under different circumstances.

Originality/value

This is first preliminary scale of its kind to evaluate the positioning of companies with respect to their DM capacity. This scale is helpful for companies to compare their capacity with standard profiles and for decision making to convert the existing manufacturing operations into distributed operations.

People-process-performance benchmarking technique in cloud computing environment

Purpose

Cloud computing is relatively a new type of technology demanding a new method of management techniques to attain security and privacy leading to customer satisfaction regarding “Business Protection” measure. As cloud computing businesses are usually composed of multiple colocation sites/departments, the purpose of this paper is to propose a benchmark operation to measure and compare the overall integrated people-process-performance (PPP) among different departments within cloud computing organization. The purpose of this paper is to motivate staff/units to improve the process performance and meet the standards in a competitive approach among business units.

Design/methodology/approach

The research method was conducted at Cirrus Ltd, which is a cloud computing service provider where a focus group consists of six IT professionals/managers. The objective of the focus group was to investigate the proposed technique by selecting the best practices relevant criteria, with the relevant sub-criteria as a benchmarking performance tool to measure PPP via an analytic hierarchy processing (AHP) approach. The standard pairwise comparative AHP scale was used to measure the performance of three different teams defined as production team, user acceptance testing team and the development team.

Findings

Based on best practice performance measurement (reviewed in this paper) of cloud computing, the proposed AHP model was implemented in a local medium-sized cloud service provider named “Cirrus” with their single site data center. The actual criteria relevant to Cirrus was an adaptation of the “Best practice” described in the literature. The main reason for the adaptation of criteria was that the principle of PPP assumes multiple departments/datacenters located in a different geographical area in large service providers. As Cirrus is a type of SMEs, the adaptation of performance measurement was based on teams within the same data center location. Irrelevant of this adaptation, the objective of measuring vendors KPI using the AHP technique as a specific output of PPP is also a valid situation.

Practical implications

This study provides guidance for achieving cloud computing performance measurement using the AHP technique. Hence, the proposed technique is an integrated model to measure the PPP under monitored cloud environment.

Originality/value

The proposed technique measures and manages the performance of cloud service providers that also implicitly act as a catalyst to attain trust in such high information-sensitive environment leading to organizational effectiveness of managing cloud organizations.

Multi-Criteria Decision Making for Sustainability and Value Assessment in Early PSS Design

Sustainability is increasingly recognized as a key innovation capability in the organization. However, it is not always evident for manufacturers how sustainability targets shall be “mixed and matched” with more traditional objectives—such as quality, time, cost, and performances—when designing and developing solutions. The emergence of “servitization” and product-service systems (PSS) further emphasizes the need for making thoughtful trade-offs between technical aspects, business strategies, and environmental benefits of a design. The objective of this paper is to investigate how multi-criteria decision making (MCDM) models shall be applied to down-select PSS concepts from a value perspective, by considering sustainability as one of the attributes of a design contributing to the overall value of a solution. Emerging from the findings of a multiple case study in the aerospace and construction sector, the paper presents a five-step iterative process to support decision making for sustainable PSS design, which was further applied to design an electrical load carrier. The findings show that the proposed approach creates a “hub” where argumentations related to “value” and “sustainability” of PSS solution concepts can be systematically captured in a way that supports the discussion on the appropriate quantification strategy.

Developing a strategic performance scoring system for healthcare nonprofit organisations

Purpose

Using the BSC as the starting point, the purpose of this paper is to present a theory on nonprofit performance management and describes how an overall performance index (OPI) was empirically developed to assess the strategic performance of a nonprofit organisation (NPO).

Design/methodology/approach

A conceptual model was developed from the literature. This was refined into a testable theoretical model using case studies. Thereafter, the theoretical model and an accompanying measurement model on OPI were validated using quantitative data (n=223) collected from a sample of healthcare NPOs in Australasia.

Findings

The measurement model was found to be a good fit to data. The model parameters (weights) pertaining to the OPI represent six PM dimensions (Mission; Strategy; Organisational Capabilities, Infrastructure and People Development; Financial Health; Processes; and Stakeholder Satisfaction) and 13 sub-dimensions. These parameters provide a tenable scoring system to assess the strategic performance of a NPO.

Research limitations/implications

The parameters (hence the scoring system) were estimated from data collected from a particular sector (healthcare) and a region (Australasia).

Practical implications

The findings can be used for comparative benchmarking (e.g. by managers and major donors) of NPOs, better governance and to initiate major performance improvement initiatives.

Originality/value

This study is the first empirical study that has been undertaken to develop an OPI for NPOs. The findings can be readily used by the practitioners.

Sustainability performance assessment of an aircraft manufacturing firm

Purpose

The purpose of this paper is to develop a composite index (CI) to evaluate the sustainability performance of an aircraft manufacturing firm using Fuzzy Best Worst Multi Criteria (FBWM) decision-making approach. It identifies a wide range of sub-dimensions and their attributes to measure sustainability in a multi-echelon supply chain.

Design/methodology/approach

FBWM, a hybrid multi-criteria decision making method, relies on multiple sub-dimensions and attributes for assessment of sustainability. Sub-dimensions and attributes are identified from a detailed literature review and inputs from 17 experts. The weights are evaluated using best worst method (BWM). Quantitative measurements are very difficult for attributes like living conditions, noise emission, etc., so the performance of attributes are assessed using Fuzzy logic. The proposed methodology is validated with the case study of a single unit of an Indian aircraft manufacturing firm.

Findings

Economic concerns emerge as the most influential dimension of sustainability in the aerospace sector. The results reveal that the firm considered in the case study is “Very Sustainable.” Firm’s performance ratings are excellent in three out of 79 attributes considered for the study. Further, 24 weaker (least performing) attributes are identified with the help of fuzzy performance index. These require managerial action for improvements.

Research limitations/implications

The present study is based on inputs from a small group of managers in a single firm in India. It can be extended to a large group of executives in other firms like Boeing, Airbus, etc. for testing the validity of the proposed methodology and generalization of the findings.

Practical implications

Managers, consultants and audit agencies can use the proposed CI developed in this paper for evaluating the sustainability performance of a firm. It assists managers to identify weaker attributes for which they may plan and prioritize their activities for improvements.

Originality/value

To the best of the authors’ knowledge, this is the first paper to measure sustainability in an aircraft manufacturing firm. The paper proposes a novel framework based on fuzzy BWM, for assessing sustainability performance.

Influence of bank’s corporate social responsibility (CSR) initiatives on consumer attitude and satisfaction in India

Purpose

Research on corporate social responsibility (CSR) activities and consumer perception of CSR activities is increasing over the recent past. The purpose of this paper is to gain an understanding of the consumer perceptions of CSR activities of banks in India. It provides insights on whether consumers want their banks to take up CSR initiatives and would these perceptions influence their attitude towards the bank.

Design/methodology/approach

Self-report questionnaires were personally administered by the researchers and their team. Respondents’ responses were based on their awareness of their bank’s involvement in CSR initiatives. The study uses convenience sampling, given the resource limitations. The research was conducted in the city of Nashik, India during June–October 2015.

Findings

The results of the study show that consumer perception towards the CSR activities of the bank influenced their attitude and satisfaction. Though consumers expressed a need for their bank’s taking up CSR initiatives, this need did not influence their attitude towards the bank, contradicting studies in the past. Consumer perception of the bank’s involvement in the CSR activities was moderate, indicating that banks need to increase their communication about the CSR initiatives undertaken by them.

Practical implications

Unique contribution of current research is that the CSR reputation and CSR concern of consumers in the Indian context have been investigated for their influence on consumer attitude. Unlike previous studies, CSR concern does not influence consumer attitude or satisfaction. Findings provide important insights for practitioners and academicians focussing on the banking sector in India.

Originality/value

Little research is reported on consumer perception of CSR in banking sector. Current research tries to fill this gap.

Integrated SEM-FTOPSIS framework for modeling and prioritization of risk sources in medical device development process

Purpose

The purpose of this paper is to outline and prioritizes risk sources in medical device development (MDD) process using an integrated “structural equation modeling” (SEM) and fuzzy “technique for order performance by similarity to ideal solution (TOPSIS)” framework.

Design/methodology/approach

Risk sources which deter MDD process are explored through literature review. Initial structural model is proposed, factor loadings are determined by exploratory factor analysis and model fit is established by confirmatory factor analysis. Further, the sources are ranked using FTOPSIS, and sensitivity analysis is carried to check robustness of results.

Findings

The sources of risks have catastrophic effect on MDD process. The initial SEM model developed based on survey of experts is found reliable and valid which breaks up the risk sources into three categories – internal sources of risks, user-related sources of risks and third-party-related sources of risks. The risk sources are ranked and prioritized based on perspective of experts from the categories using FTOPSIS; unmet user needs/requirements is found as the most important source of risk. Results of sensitivity analysis confirm that the factors are relatively less sensitive to criteria weights confirming reliability of initial solution.

Research limitations/implications

The proposed methodology combines qualitative and quantative approaches, making it little complex and lengthy, but results in dual confirmation.

Practical implications

The outcomes of this research will be of prime use for MDD industries to mitigate risk sources. It will help to increase the success rate of MDD.

Originality/value

Integrated SEM-FTOPSIS provides a unique and effective structural modeling-based decision support tool. The framework can be effectively utilized in other domains, and failure events of medical devices can be potentially controlled by applying risk mitigation measures.