Quantitative model for performance measurement system: an analytic hierarchy process approach

This paper describes work on developing a quantitative model for performance measurement using cognitive maps, cause and effect diagrams, tree diagrams, and the analytic hierarchy process. It will describe how the technique can be used to quantify the interaction of factors affecting performance. The process starts with identifying factors affecting performance and their relationships, then structuring them hierarchically, and finally quantifying the effect of each factors on performance. An example of the application of the method to model 'on time delivery' performance of a collaborator company is presented. Finally, further techniques are outlined which extend the model for prioritisation of performance measures, and on resource allocation.