Selecting Benchmarking Partners Using Analytical Hierarchy Process Approach

Abstract

Benchmarking is a method to improve performance and improve company competitiveness. This method has been commonly practiced by large companies and has recently been extended to small and medium enterprises (SMEs). However, the implementation between large and SMEs is very different. These differences are debated as an impact of company characteristics, specifically differences in the ability to develop and improve business. Typical SMEs face tough challenges to overcome their resource constraints. This limitation affects the decisions of SMEs in choosing their comparison partners. This research was conducted to fill the research gap regarding the use of the Benchmarking method and the AHP approach to SMEs, especially in determining Benchmark partners using the AHP approach. The use of benchmarking and AHP is illustrated by using SME objects that are engaged in the fashion sector, namely UKM Cotton.Go. The problem faced by UKM Cotton.Go is marketing communication that is not effective in creating sales so it needs to be determined benchmarking partner in making improvements to marketing communication. The use of AHP in determining benchmark partners helps SMEs to find out which benchmark partners have the best marketing communication performance.

Marketing Communication Program Design of Online Travel Agent Kliktrip Using Benchmarking and Analytical Hierarchy Process Methods

“…While benchmarking is used to find out the best practices of benchmark partners. Benchmarking and AHP methods have been popularly used in several studies to design marketing communication program improvements, including Imran et al [8], Firdhausya et al [9], Putra et al [10], and Wulandari et al [11]. Imran et al [8] utilized benchmarking and AHP methods to improve marketing communication on fashion SMEs Bearpath sandal object.…”

“…Then, Putra et al [10] applied benchmarking and AHP methods to improve marketing communication on fashion SMEs Levaya bag object. Another relevant study was conducted by Wulandari et al [11] which explained the selection of benchmark partners using AHP on fashion SMEs Cotton.Go object. In addition, benchmarking and AHP are also widely used on different objects and problems by Singh et al [12], Strojny [13], Singh [14], Jabar et al [15], Kouatli [16].…”

“…Several previous studies that have used benchmarking and AHP methods to improve marketing communication programs are Imran et al [8], Firdhausya et al [9], Putra et al [10], and Wulandari et al [11]. Imran et al [8] utilized benchmarking and AHP methods to improve marketing communication on fashion SMEs Bearpath sandal object.…”

“…Then, Putra et al [10] applied benchmarking and AHP methods to improve marketing communication on fashion SMEs Levaya bag object. Another relevant study was conducted by Wulandari et al [11] which explained the selection of benchmark partners using AHP on fashion SMEs Cotton.Go object.…”

“…Previous research used benchmarking and AHP methods to make improvements and provide decision support. [9] Based on Table 3 regarding State of The Art, it can be seen that benchmarking and AHP methods are very commonly used in various business sectors such as the automobile car service industry [12], polish public administration [13], airline industry [14], hospitality [15], cloud computing environment [16], small and medium-sized enterprise [8] [10] [11], and online music streaming [9], while in the tourism business sector, research has been carried out using the benchmarking method, but not using the AHP method and not researching related to IMC [17]. In addition, in the marketing field, the AHP method was used, but did not use the benchmarking method and did not research related to IMC [18].…”