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13 - Costs and Benefits of Improving Quality Management in a Multicriteria Framework

from PART III - Application of the AHP in Connection with Other Methods

Published online by Cambridge University Press:  01 February 2018

Anna Gręda
Affiliation:
Jagiellonian University, Institute of Economics and Management
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Summary

Key words: quality management, food economy, Analytic Hierarchy Process, cost –benefit analysis, questionnaire with interview

Abstract

This paper presents the 2003 results of empirical research carried into effect by using the questionnaire with interview method in one of the leading enterprises of the nutritive sector in Poland. The aim of this exploration was to define an influence of chosen factors, which results from initiating and certifying systems of quality management on the costs and benefits of improvement quality management. Besides, indication which from accepted variants that present adequate quality systems, best satisfy all analyzed factors, simultaneously supplies the biggest benefits to enterprise. To solve this problem, the Analytic Hierarchy Process (AHP) method with cost – benefit analysis was applied allowing for complex formulation of a given problem. The author's intention was to show the utility of these methods in the solution of this problem and in similar multicriteria decision problems.

INTRODUCTION

In the last decade the meaning of the function of quality has grown significantly. It is considered that the 21st century will be the era in which management will be undertaken under its primacy. Quality is not only the most important weapon in international trade; it is the best defense against environmental threats (Janicki, 2001). However, quality is not an ideal state, but an objective subject to change and evolution that must always be pursued. Consequently, we often define it as “a port of destination”. Achieving this aim is a difficult task, because it is accompanied by uncertainty and risk. Moreover, we need also to deal with lack of reliable information, disbelief and fear of the unknown (Skrzypek, 2002).

QUALITY AS A COMPETITIVE ELEMENT IN THE ECONOMY MARKET

Poland's recent integration with the European Union (EU) and its status as the biggest importer and exporter of food products in the world will attract more attention towards competitive problems. While Marczak (2002) supports this notion, he argues that it is simply a matter of economic ability (or any their element) to derive profit over costs from economic activity. However, since the effectiveness of competitive policy instruments is dependent not only on the government, but also on producers, manufacturing enterprises will be required to introduce considerable changes.

Type
Chapter
Information
The Analytic Hierarchy and Network Processes
Application in Solving Multicriteria Decision Problems
, pp. 195 - 208
Publisher: Jagiellonian University Press
Print publication year: 2009

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