Designing and Analyzing a Novel BSC-Based Strategy Implementation Model Using a Fuzzy Decision-Tree Approach: A Case Study of Soufian Cement Company

Behzad  Jafari; Kamaleddin Rahmani; Reza  Khodayi Mahmodi

Authors

Behzad Jafari Department of Management, Ta.C., Islamic Azad University, Tabriz, Iran Author https://orcid.org/0009-0007-7390-4173
Kamaleddin Rahmani Department of Management, Ta.C., Islamic Azad University, Tabriz, Iran Corresponding author https://orcid.org/0009-0002-0749-9206
Reza Khodayi Mahmodi Department of Management, Mara.C., Islamic Azad University, Marand, Iran Author https://orcid.org/0009-0002-8589-6493

Keywords:

strategy implementation, Balanced Scorecard, fuzzy logic, decision tree, entropy, structural equation modeling

Abstract

This study aimed to develop an applied model for analyzing and implementing organizational strategies based on the Balanced Scorecard (BSC) using a fuzzy decision-tree approach. Organizations employ strategy maps to achieve their overarching objectives, and the Balanced Scorecard is regarded as one of the most important tools used in this domain. Despite the development of numerous BSC-based models, each has certain limitations and weaknesses that reduce its effectiveness in strategy analysis and implementation. In this study, a new model was developed using a fuzzy decision tree. In addition to incorporating the four BSC perspectives—growth and learning, internal processes, customer and market, and financial performance—the model allows other indicators to be incorporated according to organizational requirements. Moreover, by presenting various scenarios, clarifying the relationships among indicators, and classifying them according to the opinions of experts and senior managers, the proposed model provides a basis for operationalizing strategy implementation. Another advantage of the model is its capacity to analyze alternative pathways and assess the extent to which strategic objectives have been achieved. The application of the model was examined at Soufian Cement Company. The results of the questionnaire analysis indicated that the values of the growth and development, internal processes, customer/market, and financial dimensions were 0.63, 0.64, 0.61, and 0.60, respectively. After entering the data into MATLAB, the level of strategy implementation was calculated as 0.611. This result indicates that the achievement of the strategic objectives of Soufian Cement Company was above the average level.

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