IDEAS home Printed from https://ideas.repec.org/a/spr/grdene/v18y2009i6d10.1007_s10726-008-9112-3.html
   My bibliography  Save this article

Using a Multi-Criteria Group Decision Making Approach to Select Merged Strategies for Commercial Banks

Author

Listed:
  • Tien-Chin Wang

    (I-Shou University)

  • Ying-Ling Lin

    (I-Shou University)

Abstract

This investigation develops an analytic hierarchy framework to help banks choose development strategies according to six main criteria comprising 41 attributes, namely management performance, staff rights and interests, customer orientation, financial analysis, government policy and risk management. Questionnaires are administered to compare the priorities of different criteria and the ratings of feasible developmental strategies amongst decision makers and respondents including bank superintendents (Department of Finance), economists, shareholders, customers, executives and staff of the Bank of Kaohsiung, Taiwan. Additionally, the analytic hierarchy process and consistent fuzzy preference relation are used to improve consistency and effectiveness in decision making. The analytical results reveal that risk management and customer orientation are the most important considerations for the Bank of Kaohsiung in the development of a strategy selection. Furthermore, the staff select the best futuristic policy on “focusing on core business competitiveness to become a specialized and stable bank,” whereas the other five groups choose the strategy of “merging with other finance organizations to become an existing bank.”

Suggested Citation

  • Tien-Chin Wang & Ying-Ling Lin, 2009. "Using a Multi-Criteria Group Decision Making Approach to Select Merged Strategies for Commercial Banks," Group Decision and Negotiation, Springer, vol. 18(6), pages 519-536, November.
    • Handle: RePEc:spr:grdene:v:18:y:2009:i:6:d:10.1007_s10726-008-9112-3
    DOI: 10.1007/s10726-008-9112-3
    as

    Download full text from publisher

    File URL: http://link.springer.com/10.1007/s10726-008-9112-3
    File Function: Abstract
    Download Restriction: Access to the full text of the articles in this series is restricted.
    File URL: https://libkey.io/10.1007/s10726-008-9112-3?utm_source=ideas
    LibKey link: if access is restricted and if your library uses this service, LibKey will redirect you to where you can use your library subscription to access this item
    ---><---

    As the access to this document is restricted, you may want to search for a different version of it.

    References listed on IDEAS

    as
    1. Wei, Chun-Chin & Chien, Chen-Fu & Wang, Mao-Jiun J., 2005. "An AHP-based approach to ERP system selection," International Journal of Production Economics, Elsevier, vol. 96(1), pages 47-62, April.
    2. Mihelis, G. & Grigoroudis, E. & Siskos, Y. & Politis, Y. & Malandrakis, Y., 2001. "Customer satisfaction measurement in the private bank sector," European Journal of Operational Research, Elsevier, vol. 130(2), pages 347-360, April.
    3. Luo, Xueming, 2003. "Evaluating the profitability and marketability efficiency of large banks: An application of data envelopment analysis," Journal of Business Research, Elsevier, vol. 56(8), pages 627-635, August.
    4. Emel, Ahmet Burak & Oral, Muhittin & Reisman, Arnold & Yolalan, Reha, 2003. "A credit scoring approach for the commercial banking sector," Socio-Economic Planning Sciences, Elsevier, vol. 37(2), pages 103-123, June.
    5. Herrera-Viedma, E. & Herrera, F. & Chiclana, F. & Luque, M., 2004. "Some issues on consistency of fuzzy preference relations," European Journal of Operational Research, Elsevier, vol. 154(1), pages 98-109, April.
    6. Wang, Tien-Chin & Chen, Yueh-Hsiang, 2007. "Applying consistent fuzzy preference relations to partnership selection," Omega, Elsevier, vol. 35(4), pages 384-388, August.
    7. James B. Thomson, 1991. "Predicting bank failures in the 1980s," Economic Review, Federal Reserve Bank of Cleveland, vol. 27(Q I), pages 9-20.
    8. Peristiani, Stavros, 1997. "Do Mergers Improve the X-Efficiency and Scale Efficiency of U.S. Banks? Evidence from the 1980s," Journal of Money, Credit and Banking, Blackwell Publishing, vol. 29(3), pages 326-337, August.
    9. Yoram Wind & Thomas L. Saaty, 1980. "Marketing Applications of the Analytic Hierarchy Process," Management Science, INFORMS, vol. 26(7), pages 641-658, July.
    10. Herrera, F. & Herrera-Viedma, E. & Chiclana, F., 2001. "Multiperson decision-making based on multiplicative preference relations," European Journal of Operational Research, Elsevier, vol. 129(2), pages 372-385, March.
    11. Chiclana, F. & Herrera-Viedma, E. & Herrera, F. & Alonso, S., 2007. "Some induced ordered weighted averaging operators and their use for solving group decision-making problems based on fuzzy preference relations," European Journal of Operational Research, Elsevier, vol. 182(1), pages 383-399, October.
    Full references (including those not matched with items on IDEAS)

    Most related items

    These are the items that most often cite the same works as this one and are cited by the same works as this one.
    1. Liu Fang & Peng Yanan & Zhang Weiguo & Pedrycz Witold, 2017. "On Consistency in AHP and Fuzzy AHP," Journal of Systems Science and Information, De Gruyter, vol. 5(2), pages 128-147, April.
    2. Wu, Desheng Dash, 2009. "Performance evaluation: An integrated method using data envelopment analysis and fuzzy preference relations," European Journal of Operational Research, Elsevier, vol. 194(1), pages 227-235, April.
    3. Zhou-Jing Wang & Yuhong Wang & Kevin W. Li, 2016. "An Acceptable Consistency-Based Framework for Group Decision Making with Intuitionistic Preference Relations," Group Decision and Negotiation, Springer, vol. 25(1), pages 181-202, January.
    4. Wu, Zhibin & Huang, Shuai & Xu, Jiuping, 2019. "Multi-stage optimization models for individual consistency and group consensus with preference relations," European Journal of Operational Research, Elsevier, vol. 275(1), pages 182-194.
    5. Tien-Chin Wang & Hsiu-Chin Hsieh & Xuan-Huynh Nguyen & Chin-Ying Huang & Jen-Yao Lee, 2022. "Evaluating the Influence of Criteria Revitalization Strategy Implementation for the Hospitality Industry in the Post-Pandemic Era," World, MDPI, vol. 3(2), pages 1-18, April.
    6. Liu, Fang & Zhang, Wei-Guo & Zhang, Li-Hua, 2014. "Consistency analysis of triangular fuzzy reciprocal preference relations," European Journal of Operational Research, Elsevier, vol. 235(3), pages 718-726.
    7. Fan, Zhi-Ping & Ma, Jian & Jiang, Yan-Ping & Sun, Yong-Hong & Ma, Louis, 2006. "A goal programming approach to group decision making based on multiplicative preference relations and fuzzy preference relations," European Journal of Operational Research, Elsevier, vol. 174(1), pages 311-321, October.
    8. Huayou Chen & Ligang Zhou, 2012. "A Relative Entropy Approach to Group Decision Making with Interval Reciprocal Relations Based on COWA Operator," Group Decision and Negotiation, Springer, vol. 21(4), pages 585-599, July.
    9. Wang, Ying-Ming & Parkan, Celik, 2008. "Optimal aggregation of fuzzy preference relations with an application to broadband internet service selection," European Journal of Operational Research, Elsevier, vol. 187(3), pages 1476-1486, June.
    10. Xu, Zeshui & Chen, Jian, 2008. "Some models for deriving the priority weights from interval fuzzy preference relations," European Journal of Operational Research, Elsevier, vol. 184(1), pages 266-280, January.
    11. Fedrizzi, Michele & Giove, Silvio, 2007. "Incomplete pairwise comparison and consistency optimization," European Journal of Operational Research, Elsevier, vol. 183(1), pages 303-313, November.
    12. Zhen Zhang & Chonghui Guo, 2017. "Deriving priority weights from intuitionistic multiplicative preference relations under group decision-making settings," Journal of the Operational Research Society, Palgrave Macmillan;The OR Society, vol. 68(12), pages 1582-1599, December.
    13. Paul Tae-Woo Lee & Cheng-Wei Lin & Yi-Shih Chung, 2014. "Comparison analysis for subjective and objective weights of financial positions of container shipping companies," Maritime Policy & Management, Taylor & Francis Journals, vol. 41(3), pages 241-250, May.
    14. Jacinto González-Pachón & Carlos Romero, 2007. "Inferring consensus weights from pairwise comparison matrices without suitable properties," Annals of Operations Research, Springer, vol. 154(1), pages 123-132, October.
    15. Xunjie Gou & Zeshui Xu & Xinxin Wang & Huchang Liao, 2021. "Managing consensus reaching process with self-confident double hierarchy linguistic preference relations in group decision making," Fuzzy Optimization and Decision Making, Springer, vol. 20(1), pages 51-79, March.
    16. B. Ahn & S. Choi, 2012. "Aggregation of ordinal data using ordered weighted averaging operator weights," Annals of Operations Research, Springer, vol. 201(1), pages 1-16, December.
    17. Tien-Chin Wang & Chia-Nan Wang & Xuan Huynh Nguyen, 2016. "Evaluating the Influence of Criteria to Attract Foreign Direct Investment (FDI) to Develop Supporting Industries in Vietnam by Utilizing Fuzzy Preference Relations," Sustainability, MDPI, vol. 8(5), pages 1-14, May.
    18. Neha Dimri & Himanshu Kaul & Daya Gupta, 2018. "MetaXplorer: an intelligent and adaptable metasearch engine using a novel ordered weighted averaging operator," International Journal of System Assurance Engineering and Management, Springer;The Society for Reliability, Engineering Quality and Operations Management (SREQOM),India, and Division of Operation and Maintenance, Lulea University of Technology, Sweden, vol. 9(6), pages 1315-1325, December.
    19. Hasan Dinçer & Ozlem Olgu Akdeniz & Umit Hacioglu, 2018. "Competitive strategy selection in the European banking sector using a hybrid decision-making approach," Zbornik radova Ekonomskog fakulteta u Rijeci/Proceedings of Rijeka Faculty of Economics, University of Rijeka, Faculty of Economics and Business, vol. 36(1), pages 213-242.
    20. F A F Ferreira & S P Santos & P M M Rodrigues, 2011. "Adding value to bank branch performance evaluation using cognitive maps and MCDA: a case study," Journal of the Operational Research Society, Palgrave Macmillan;The OR Society, vol. 62(7), pages 1320-1333, July.

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:spr:grdene:v:18:y:2009:i:6:d:10.1007_s10726-008-9112-3. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    If CitEc recognized a bibliographic reference but did not link an item in RePEc to it, you can help with this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: Sonal Shukla or Springer Nature Abstracting and Indexing (email available below). General contact details of provider: http://www.springer.com .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.