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Using Analytic Hierarchy Process for Exploring Prioritization of Functional Strategies in Auto Parts Manufacturing SMEs of Pakistan

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  • Yasir Ahmad
  • Danial Saeed Pirzada

Abstract

This article uses analytical hierarchy process (AHP) to find prioritization of functional strategies (manufacturing, marketing, human resource, and financial management) by small and medium enterprises (SMEs) operating in auto parts manufacturing sector of Pakistan. SMEs are major part of the industrial structure and have significant contribution toward generating jobs in Pakistan. These enterprises are generally family-owned businesses, and this study provides concrete insights into the mind-set of owners toward different functional strategies. The AHP implementation steps are performed using commercially available software “Expert Choice®.†Marketing strategy is considered to be the most important strategy, while manufacturing management strategy is the second most important strategy. There is little emphasis on the financial and human resource management which is a serious cause of concern. The study would help policy makers to understand the business behaviors of this sector and consequently formulate policies to enhance their performance.

Suggested Citation

  • Yasir Ahmad & Danial Saeed Pirzada, 2014. "Using Analytic Hierarchy Process for Exploring Prioritization of Functional Strategies in Auto Parts Manufacturing SMEs of Pakistan," SAGE Open, , vol. 4(4), pages 21582440145, November.
    • Handle: RePEc:sae:sagope:v:4:y:2014:i:4:p:2158244014553560
    DOI: 10.1177/2158244014553560
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    2. Jaffar Abbas & Saqlain Raza & Mohammad Nurunnabi & Mohd Sobri Minai & Shaher Bano, 2019. "The Impact of Entrepreneurial Business Networks on Firms’ Performance Through a Mediating Role of Dynamic Capabilities," Sustainability, MDPI, vol. 11(11), pages 1-28, May.
    3. Radhwan Sneesl & Yusmadi Yah Jusoh & Marzanah A. Jabar & Salfarina Abdullah & Umar Ali Bukar, 2022. "Factors Affecting the Adoption of IoT-Based Smart Campus: An Investigation Using Analytical Hierarchical Process (AHP)," Sustainability, MDPI, vol. 14(14), pages 1-21, July.
    4. Islam , Mohammad Muzahidul & Akter , Laizu & Pervez , A.K.M. Kanak & Nabi , Md. Nur & Uddin , Md. Momin & Arifin, Zakaria, 2020. "Application of Combined SWOT and AHP for Strategy Development: Evidence from Pottery Industry of Bangladesh," Asian Journal of Agriculture and Rural Development, Asian Economic and Social Society (AESS), vol. 10(01), January.
    5. Lu Lin Zhou & James Onuche Ayegba & Emmanuel Onu Ayegba & Peace Maina Ayegba & Zhang Xin Jie, 2021. "Impact of dynamic capacities on the performance of food and beverage enterprises in Lagos, Nigeria," Journal of Innovation and Entrepreneurship, Springer, vol. 10(1), pages 1-24, December.

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