Performance evaluation of Turkish retail firms using the fuzzy AHP, PROMETHEE, ELECTRE and VIKOR methods


Bölükbaş U. , Çelik E., Güneri A. F.

10th International Fuzzy Logic and Intelligent Technologies inNuclear Science Conference, FLINS 2012, İstanbul, Türkiye, 26 - 29 Ağustos 2012, cilt.7, ss.243-248 identifier

  • Cilt numarası: 7
  • Basıldığı Şehir: İstanbul
  • Basıldığı Ülke: Türkiye
  • Sayfa Sayıları: ss.243-248

Özet

The performance evaluation of firms has important results for creditors, investors and stakeholders because it determines capabilities of firms to compete in the sector and has a critical importance for the development of the sector. In this study, a fuzzy multi-criteria decision model is proposed to evaluate the performances of retail trade firms.

The eight Turkish Retail firms are analyzed and firms are evaluated in terms of ten different financial ratios in six separate groups including ratios in liquidity, operation activity, capital intensity, leverage, solvency, profitability and equity productivity that are beneficial indicators. Fuzzy Analytic Hierarchy Process (FAHP), Preference Ranking Organization Method for Enrichment Evaluation (PROMETHEE), Elimination Et Choix Traduisant la Realité (ELECTRE) and VIKOR (Multicriteria Optimization and Compromise Solution) methods are integrated in the proposed model. A hierarchical financial performance evaluation model is structured based on the 10 financial performance measures that are selected by the decision makers.

Fuzzy analytic hierarchy process (FAHP) is used to determine the weights of the criteria. These criteria weights and financial ratio values are input to the PROMETHEE, ELECTRE and VIKOR method to rank the firms. In this study, financial tables of the eight Turkish Retail firms from Istanbul Stock Exchange are used to evaluate the firm performance. Then the rankings of the firms are determined according to three different methods. The results of methods are compared to each other’s in the conclusion.