Strategic Performance Measurement Design using Balanced Scorecard and AHP: A Case Study in the Indonesian Tea Processing Industry

Abstract

Abstract - This paper presents a strategic performance measurement framework for a tea manufacturing company in Indonesia. The model integrates the Balanced Scorecard (BSC) and Analytical Hierarchy Process (AHP) to support structured evaluation and prioritization of key indicators. The framework emphasizes alignment between strategic objectives and measurable outcomes across financial, customer, internal business process, and learning and growth dimensions. Findings indicate that customer-focused metrics are viewed as highly strategic, emphasizing the need for greater responsiveness to market demands. By incorporating stakeholder judgment through AHP, the model provides a basis for assigning strategic weights to indicators, ensuring that managerial attention is directed toward areas of greatest impact. The systems provide a structured mechanism for performance evaluation, strategic coherence, and adaptive improvement, particularly within the agribusiness processing sector. The study underscores the practical value of integrating BSC and AHP to strengthen managerial decision-making and organizational effectiveness, particularly in emerging market environments.

Keywords - performance measurement, balanced scorecard, analytical hierarchy process, key performance indicators, agribusiness industry