Choosing action plans for strategic manufacturing objectives using AHP: Analysis of the path and pitfalls encountered – an exploratory case study

The purpose of this paper is to investigate whether the analytic hierarchy process (AHP) methodology can help in the decision-making process of choosing action plans linked to manufacturing strategy. The research also analyses the path which some managers followed for defining and selecting the action plans as well as the organisational obstacles and pitfalls the managers encountered.

The authors conducted an exploratory case study in a medium-sized Italian manufacturing company. The authors collected, coded and discussed data from the AHP implementation. Furthermore, during the observation of how the managers dealt with the decision-making path, the authors collected, coded and discussed the qualitative data.

Results showed that AHP made the decision-making process of choosing between alternative plans more objective. However, the authors observed obstacles and pitfalls mainly linked to organisational aspects such as creating team and staff’s awareness, involvement and commitment as well as staff’s skills. Other interesting findings are linked to the creation of managers’ consensus and the top manager’s managerial style and how the latter could affect the AHP consistency ratio.

This research is based on a case study. The findings need to be tested by other scholars and practitioners in different organisations. Moreover, issues such as management consensus and negotiation in manufacturing organisations and managerial style need further research.

AHP methodology can help practitioners who are dealing with the deployment of strategic manufacturing objectives and who are trying to employ methods for choosing the right action plan. Besides, practitioners are aware of specific organisational obstacles and pitfalls encountered on the strategic deployment path.

This paper proposes for the first time the use of the AHP methodology for choosing between action plans derived from strategic manufacturing objectives.