A novel multi-objective mathematical model for designing a strategy map with goal programming approach

Abstract

The advantage of the balances scorecard (BSC) is that it considers financial and non-financial aspects simultaneously so that each of them has corresponding indicators and each indicator supported with one or more initiative(s). Selecting identified objectives in light of the importance by considering organisational constraints (i.e., resources) are important, as well as determining cause and effect relationships between them in different aspects. The purpose of this paper is to select strategic objectives from identified potential strategic objectives and selecting the important relationships between them. This paper presents a goal programming approach to model building strategy map. This model contains three goals, these goals related to relative importance of strategic objectives (G1), number of casual relationships (G2) and relative importance of relationships (G3). Finally, by solving a problem as a real case of a business company with different targets and different weight for objectives, the performance of the developed model has been examined. Results represent the model's efficiency in presenting a suitable strategy map according to the decision makers' want and organisational constraints.