Use of AHP in decision-making for flexible manufacturing systems

Purpose – To provide a good insight into the use of analytic hierarchy process (AHP) that is a multiple criteria decision-making methodology in evaluating flexible manufacturing systems (FMSs). Design/methodology/approach – In this study AHP is used to the decision by a tractor manufacturing plant to implement FMS. Also sensitivity analysis is conducted to see how realistic the final outcome is. Findings – Information on the use of AHP in assessing advanced manufacturing technologies is provided and an AHP model is proposed to guide the management of tractor manufacturing plant. Most important factors, and their relative importance and influences on the objective of the decision-making model are found. By performing a sensitivity analysis, it is also found that the final outcome remained stable in all cases when the weights of the main criteria affecting the decision are varied up and down by 5 percent in all possible combinations. Research limitations/implications – When there are dependencies and interactions among the criteria in a decision-making model, analytic network process is more appropriate methodology; yet AHP assumes linear independence of criteria and alternatives. Originality/value – Proposes a decision-making model to guide managers for assessing advanced manufacturing technologies such as FMS. Also sensitivity analysis conducted in this study is very important for practical decision-making.