Development of a three-tier assessment model: a case study

Purpose The purpose of this paper is to propose a three-tier assessment model (TAM), aiming to identify and evaluate the competitiveness level of companies. The existing problem is that companies find it difficult to choose a proper model which can be deployed to benchmark with competitors in terms of their competiveness level in the marketplace. Most of the available models are not appropriate or easy to use. The proposed assessment model is able to provide an insight for better planning and preparation so as to gain a better chance of success comparing with their competitors. Most importantly, the proposal model adopts a pragmatic approach and can be implemented without going through tedious mathematical calculations and analysis. Design/methodology/approach TAM embraces three different approaches deployed in various stages of the application process. The first stage is to identify the relevant criteria using hierarchical holographic modeling and the second stage is to assess the associated weightings of these criteria used to rate the potential competitiveness of related companies. The technique used in stage two is known as fuzzy analytic hierarchy process (FAHP) which is a combination of two well-established methods including fuzzy logic and analytical hierarchical programming. In stage three, a technique known as technique for order preference by similarity to the ideal solution (TOPSIS) is adopted to benchmark the level of competitiveness covering several companies in the same industry. Findings In this paper, a case study is conducted in order to validate the feasibility and practicality of the proposed model. Results indicate that TAM can be easily applied in various industrial settings by practitioners in the field for supporting operations management practices. Research limitations/implications Significant amount of work is needed to ensure that the proposed model can be practically deployed in real industrial settings. Practical implications This proposed model is able to capitalize on the benefits of the HMM, FAHP and TOPSIS methods and offset their deficiencies. Most importantly, it can be applied to various industries without complex modification. Originality/value This paper suggests a hybrid model to assess competitiveness level embracing three different techniques with the unique feature which is able to provide an insight for better planning and preparation in order to excel competitors. Companies may be able to follow the procedures and steps suggested in the paper to implement the model which is proven to be pragmatic and can be applied in real situations.