Use of Analytic Hierarchy Process method in determination of performance indicators: The case of Turkish textile industry

The aim of this study is to determine performance indicators used by the firms operating in textile sector, taking the basis of their significance levels with AHP method, and to create a set of common performance indicators to be used in the sector. The research was conducted with 28 firms participating in the study, of 42 firms that could be determined active and that registered to Konya Chamber of Commerce, operating in textile manufacture in Konya city. Literature review was performed primarily for the research, samples were selected randomly, performance indicators of 8 firms were ascertained by the executives and these indicators were classified on the basis of business functions. Survey forms were prepared in accordance with these classifications, and then the executives were asked to line up indicator types and performance indicators in each indicator type, according to their significance levels. The surveys were carried out for executives face-to-face and e-mail ways. Since more than one executive take part in decision process, geometric mean was taken for the answers that 28 executives gave in accordance with evaluation scale and a single number was obtained for each comparison. Within this scope, the indicators were weighted via Analytic Hierarchy Process (AHP) method on the basis of main and sub-criteria, and a common set of performance indicators that can be used in organizational performance measurement for firms manufacturing in textile sector was generated according to their significance levels.