The Application of the Analytical Hierarchy Process in Performance Evaluation in Commercial Bank
The proper performance evaluation relies on the construction of the scientific, reasonable, and feasible indices system. The balanced score card (BSC) works as good basis for the strategy of the commercial bank. It is a series of financial evaluation indices and non-financial evaluation system which provides prompt, overall, and objective support for managements to understand the operation situation. The AHP, a hierarchy weighted decision method, is used for complicated, over-ruled and un-quantified problems, it will relate the objective evaluation with the decision maker’s subjective judgment and reasoning, quantify the reasoning of the decision maker, avoid the logic mistakes the decision maker might make when dealing with complicated, or multiple projects. Using AHP with the basis of the evaluation indices of the BSC will form a whole construction of the evaluation system which reflects the basic situation of the commercial bank clearly.
J. T. Wang and Y. Qiu, "The Application of the Analytical Hierarchy Process in Performance Evaluation in Commercial Bank", Applied Mechanics and Materials, Vols. 20-23, pp. 105-109, 2010