Assessment of the stakeholders' importance using AHP method: Modeling and application

Abstract

Attention to takeholders, which means that companies bear responsibility for the implications of their actions, is emerging as a critical strategic issue. Hence, meeting legitimate stakeholders' requests would enhance the reputation of a company and increase its competitiveness on product markets. That is why an accurate identification of stakeholders and assessment of their importance is so significant for the companies. Through an integration of the earlier models of excellence, models for identification and classification of stakeholders, models for assessing the quality of a company and the AHP method, widely applicable in various fields, a new model for assessment of stakeholders' significance is proposed in this paper. The model also provides an assessment of a company based on the degree of the importance and satisfaction of stakeholders. The results of this model could be useful for companies and their management when it comes to defining a proper business strategy, monitoring the system changes over time, creating a basis for comparison with other similar systems or with itself. A practical example is given to demonstrate the effectiveness of the model.