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Identifying Critical Indicators In Sustainable Manufacturing Using Analytic


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Article in Manufacturing and Industrial Engineering · September 2015


DOI: 10.12776/mie.v14i3-4.444

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Identifying critical indicators in sustainable manufacturing using analytic hierarchy process (AHP) Ocampo L, Vergara VG, Impas C, Tordillo JA, Pastoril J

ISSN 1339-2972 (On-line)

Identifying Critical Indicators In Sustainable Manufacturing Using


Analytic Hierarchy Process (AHP)
Lanndon A. Ocampo1 - Van Gaitano N. Vergara2 – Carlito G. Impas, Sr.3 – Jose Arvin S. Tordillo4 – Joey S. Pastoril5
1
Department of Mechanical Engineering, University of San Carlos , Email: laocampo@usc.edu.ph
2
Department of Mechanical Engineering, University of San Carlos, Email: vanvergz@yahoo.com
3
Department of Mechanical Engineering, University of San Carlos, Email: carlitopas@yahoo.com
4
Department of Mechanical Engineering, University of San Carlos, Email: josearvintordillo@yahoo.com
5
Department of Mechanical Engineering, University of San Carlos, Email: jpastoril@yahoo.com

Keywords Abstract
sustainable manufacturing This paper identifies critical indicators for sustainable manufacturing that could be adopted in sustainability assessment at firm level.
sustainability indicators Previous works in literature suffered from either lack of being comprehensive or being operational or both. The manufacturing
sustainability assessment indicator set of the US NIST framework was used because of its detailed and wide-ranging exposition of the triple-bottom line. The
triple-bottom line proposed approach is to attach priorities on the elements of the NIST framework in order to prioritize sustainability indicators.
Analytic Hierarchy Process Following the hierarchical structure of the framework, analytic hierarchy process (AHP) was adopted in this work. Three domain
decision-makers who have sufficient international exposure on manufacturing policy development and experience in managing
manufacturing firms were asked to elucidate judgments on the elements of the framework based on the context of the AHP. The
most critical indicators in sustainable manufacturing are presented in this work. Results show that socio-economic indicators are
highly relevant in sustainable manufacturing.
History Received 26 December 2014 | Revised 17 March 2015 | Accepted 27 April 2015

Category Original Scientific Paper


Article
Ocampo LA, Vergara VGN, Impas CG, Tordillo JAS, Pastoril JS (2015) Identifying critical indicators in sustainable manufacturing using analytic hierarchy process (AHP). Journal
Citation
of Manufacturing and Industrial Engineering, 14(3-4):1-8, http://dx.doi.org/10.12776/mie.v14i3-4.444

INTRODUCTION
Current and emerging issues of sustainability have become of sustainability reporting [6] following the GRI framework
the motivations of various government institutions, legislative recently proposed in practice. Lodhia and Martin [7] argued that
bodies, industries, corporations and businesses in policy-making the vital aspect of initiating sustainability reporting process is a
and strategic decision-making. These issues have radically more focused set of indicators for organizations. It is also widely
changed the way how decisions, which were previously focused pronounced that the use of sustainability indicators is one of the
on economic returns especially in developing countries [1], must main methods in sustainability evaluation [8] because they
be made such that environmental and social issues are provide a quantifiable approach in measuring various aspects of
simultaneously addressed [2]. However, the vagueness sustainability issues. Various sustainability indicators have been
associated with these issues has been overwhelming not to developed by different institutions at different spatial
mention the difficulty of developing their measurement resolutions. See Joung et al. [4] for a review of these indicator
systems. For instance, manufacturing industry, being a sets. Current literature on the other hand has given significant
significant key to sustainable development [3], has coined the attention on the development of sustainability indicators at firm
term ‘sustainable manufacturing’ to emphasize the manufacture level in the context of sustainability assessment, e.g. corporate
of products with processes that conform to the demands of sustainability indicators [7,9], indicators for product service
sustainability [4]. These prompted manufacturing firms to adopt systems [10] and sustainability indicators appropriate at process
initiatives such as cleaner production, life cycle assessment level [5].
(LCA), design for environment, environmentally conscious Two underlying criteria have to be balanced out in
manufacturing, and green technology toward approaches in developing sustainability indicators especially at the firm level:
larger scales such as sustainable supply chain and industrial being comprehensive and operational. The works of Rahdari and
symbiosis. Two important questions are relevant: (i) Given Rostamy [9] and Lodhia and Martin [7] on sustainability
limited resources, what set of initiatives do manufacturing firms indicators at the corporate level fall short of being
implement to maximize sustainability status? (ii) After adopting comprehensive as social sustainability is scarcely addressed. On
these approaches, how is sustainability evaluated? These the other hand, indicators at the process level proposed by
require holistic sustainability assessment approaches. Sundin et al. [10] and Linke et al [11] are limited only in focus.
One particularly famous approach in literature is by the use Widely-known sustainability indicators reviewed by Joung et al.
of sustainability indicators. These indicators can capture the [4] were highly comprehensive but the issue of being
three dimensions of sustainability, i.e. environmental operational was at stake. Bordt [12] provided a map on widely-
stewardship, economic growth and social well-being, on various known indicators and argued that the National Institute of
levels and at different resolutions, e.g. companies, facilities, Standards and Technology (NIST) framework later presented by
processes and products [5] as well as in larger spatial scales such Joung et al. [4] is characterized by indicators that are able to
as economic sectors, cities, etc. At the firm level, the use of address product, process and facilities level. These levels are
sustainability indicators is directly associated with the practice inclined to address the issues of sustainability in manufacturing

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Ocampo L, Vergara VG, Impas C, Tordillo JA, Pastoril J Identifying critical indicators in sustainable manufacturing using analytic hierarchy process (AHP)

at firm level. However, the large number of indicators listed in To address various concerns on the sustainability of
the NIST framework prompts difficulty for firms to monitor all of manufacturing, several approaches spanning management and
these indicators thus making it hardly operational. design and engineering of manufactured products and
To address this issue, this paper aims to prioritize significant manufacturing processes have emerged in literature such as
sustainability indicators in the NIST framework. This is relevant environmental collaboration, life cycle assessment, sustainable
in offering a set of indicators which is comprehensive and product design, and techniques that address materials, energy
operational. Due to the hierarchical structure of the NIST and wastes. Development of these approaches has been
framework, this work adopts an analytic hierarchy process (AHP) regarded as a global concern [22]. See Ocampo and Ocampo
approach proposed by Saaty [13] in attaching priorities to the [23] for this discussion. While these approaches were developed
elements in the structure necessary to identify highly relevant to address a specific aspect of sustainability, assessing their
sustainability indicators. The contribution of this work in the impact at firm level remains a significant issue in current
literature of sustainable manufacturing is the identification of literature. In fact, Ocampo and Clark [24] noted in a case study
significant indicators that could be used in sustainability that the strategies adopted by a manufacturing firm lack a clear
assessment at firm level. direction on which sustainability drivers they attempt to address
in the context of the triple bottom-line. Nevertheless, it has
been pointed out that firms adopting sustainability initiatives
LITERATURE REVIEW yield better product quality, higher market share, and increased
profit and these initiatives are positively related with
SUSTAINABLE MANUFACTURING competitive outcomes [25].

The foundation of sustainable manufacturing is based from


the definition of sustainable development provided by the SUSTAINABILITY ASSESSMENT AND INDICATORS
report of Brundtland [14] claiming that sustainable development
both meets the needs of the present and future generations. Sustainability assessment is defined as “a generic term for a
Formally, sustainable manufacturing is defined as “the creation methodology that aims to assist decision-making by identifying,
of manufactured products that use processes that minimize measuring and comparing the social, economic and
negative environmental impacts, conserve energy and natural environmental implications of a project, program, or policy
resources, are safe for employees, communities and consumers option” [26]. The main goals of sustainability assessment as
and are economically sound” [4]. This implies that the design of pointed out by Guijt and Moiseev [27] are the following: (1) an
products and processes and their impact to the stakeholders input to strategic planning and decision-making in various
along the products’ life cycle stages must be consistent with the institutions, (2) information for monitoring, evaluation and
issues associated with the economy, environment and society – impact analysis of any policy, strategy or initiative, (3) a source
widely-known as the triple-bottom line [15]. for reporting on the state of the environment, and (4) a process
Sustainable manufacturing came into the limelight following to raise awareness about sustainability issues. Several
the global awareness on potential role of manufacturing in approaches in sustainability assessment are available in
sustainable development. It has become a very important issue literature. The use of value stream mapping (VSM) which was
among industries worldwide [16]. It has been recognized as a previously used in lean manufacturing has been regarded as a
critical need because of the increasing consumption of non- viable tool in sustainability assessment. For instance, Faulkner
renewable resources, stricter regulations on key environmental and Baburdeen [28] introduced sustainable value stream
issues and occupational health and safety, and the collective mapping in assessing processes in terms of their environmental
consumer preference for environmentally-benign products [17]. and societal impact along with the traditional metrics of lean
For instance, Hassine et al. [18] claimed that manufacturing manufacturing. Brown et al. [29] reported the application of
industries consume around 30% of global energy demand while sustainability VSM (Sus-VSM) in three different studies to assess
the same emit around 36% of global carbon dioxide emissions. its versatility of its use. Bilge et al. [30] on the other hand,
This pattern of energy consumption entails adverse presented an approach in measuring and monitoring a firm's
environmental impact and degradation of natural resources success and sustainability performance by assessing value
[18]. It is also expected that the five-fold increase of GDP per creation. Garbie [31] proposed an optimization model that
capita in the next fifty years would imply ten-fold increase in minimizes sustainable time and sustainable cost in the context
material usage, energy consumption and waste generation [19] of sustainability indices. Taisch et al. [32] presented a reference
and these impacts are closely associated with the manufacturing model that attempts to support decision-makers in managing
sector as main users of materials and energy and producers of manufacturing improvement programs with environmental and
wastes. Rashid et al. [19] highlighted that the manufacturing social focus such that sustainability becomes a manufacturing
sector serves as the “backbone” of the well-being of nations strategy. Zhang and Haapala [33] performed sustainability
being the leading employment sector and main contributor of assessment at the production work cell level using a set of
global GDP. Sustainable manufacturing gained several interests measures. A thorough review of sustainability assessments was
both in industry and academia for a couple of decades and done by Moldavska and Welo [34] and Lee and Lee [35]
inspired leading developed economies in terms of research proposed a depository of research articles in manufacturing
allocation and policy development [20]. Siemieniuch et al. [21] sustainability assessment that allows easy access for decision-
presented a high level discussion on the impact of global drivers makers.
in global sustainability and the roles of sustainable Dizdaroglu [36] presented three categories of sustainability
manufacturing in mitigating these impacts. The novel argument assessment and noted that indicator-based sustainability
implies that sustainability requires significant input from assessment is increasingly recognized as a useful tool in the
ergonomics and human factors in some expansion in the level of planning process by determining the state of local sustainability,
thinking. thus making sustainability measurable and manageable,

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Identifying critical indicators in sustainable manufacturing using analytic hierarchy process (AHP) Ocampo L, Vergara VG, Impas C, Tordillo JA, Pastoril J

providing feedback on the progress during the implementation literature is that these indicators must be integrated in industry-
stage of sustainable development, and identifying the specific processes order to provide an understanding of the
advantages and disadvantages of different alternatives to help linkage between the triple bottom-line such that a holistic
determine win–win situations. Joung et al. [4] defined an evaluation of sustainability issues is achieved [7]. With this, a
indicator as “as a measure or an aggregation of measures from number of indicator sets of sustainability have been proposed
which conclusions on the phenomenon of interest can be by international institutions, individual companies and private
inferred”. Use of indicators is one category of sustainability institutions. A review of these indicator sets was done by Joung
assessment tools and techniques [37]. They are useful in et al. [4]. However, identifying a suitable set of sustainability
tracking progress of sustainability over time, identifying indicators remains a main challenge [46]. There are issues
problems for improvement, and identifying issues that may be associated with its use. For example, Lehtonen et al. [48]
overlooked from previous analysis [12]. They are considered as presented trade-offs and ambiguities in relation to the use and
more holistic measurement and important for comprehensive development of sustainable development indicators in policy
firm valuations [38]. processes. With this number of indicator sets, Bordt [12]
Sustainability indicators have been widely used in described a map of these sets in terms of their technical details
sustainability assessment at different spatial resolutions. For and application domain as shown in Fig 1.
instance, Zhou et al. [39] introduced a methodology in
identifying sustainable urbanization indicators by determining
departments in a city who assume responsibilities over key
areas while reviews on urban sustainability indicators were
performed separately by Braulio-Gonzalo [40] and by Michael et
al. [41]. Domingues et al. [42] developed a conceptual
framework to define a sustainability label for local public
services by adopting the criteria of EU Ecolabel initiative for
environmental aspects and the criteria of Global Reporting
Initiative (GRI) for other sustainability aspects. Agol et al. [43]
explored the challenges and opportunities in the application of
sustainability indicators for impact evaluation of development
and conservation projects in developing countries. Dizdaroglu
[36] proposed micro-level urban ecosystem indicators for
monitoring the sustainability of residential developments. Since Figure 1 A map of different indicator sets showing technical details
against application domains
development of these indicators are quite expensive, Rivera et
al. [44] interestingly developed text mining framework to
Fig 1 shows that the US National Institute of Standards and
identify sustainability indicators from digital news articles with a
baseline sustainability reports in a particular locality. Technology (NIST) framework has high technical details that are
applicable to product and process applications. These domains
Current literature on the other hand has given ample
attention on the development of sustainability indicators at firm constitute the core of sustainable manufacturing as described in
its definition. This makes the framework more appealing and
level in the context of sustainability assessment. With limited
resources, sustainability indicators provide firms an approach appropriate to manufacturing at firm level. The complete
for analyzing sustainability. Firms can assess their actual indicator set of the NIST framework was published by Joung et
situation with the indicators, raise their awareness and set their [4]. The strength of this framework is in its hierarchical
goals [45]. Rahdari and Rostamy [9] developed a general set of representation of the triple bottom-line with significant breadth
and depth. The framework is the result of a careful integration
sustainability indicators at the corporate level. Particularly
applicable in small and medium enterprises (SMEs), Tan et al. of eleven widely known indicators with a total of 212 indicators:
77 from environmental stewardship, 23 for economic growth,
[46] developed a 40-indicator framework from internationally-
known indicator frameworks. Lodhia and Martin [7] developed and 70 for social well-being dimension, 30 for performance
management and 12 for technological advancement
company specific corporate sustainability indicators (CSI) and
investigated their practical application and appropriateness to a management. The repository of these indicators is found in
certain company and its stakeholders. Sundin et al. [10] NIST’s Sustainable Manufacturing Indicator Repository (SMIR)
identified a set of indicators appropriate in developing product website. This framework is used in current literature [2,49-50].
service systems (PSS). These indicators were then used in However, Roca and Searcy [51] noted that few studies have
focused on developing general sets of sustainability indicators.
sustainability assessment or as a part of firm’s measurement
system. For example, Nappi and Rozenfeld [47] attempted to While generality of sets is important, Sundin et al. [10]
emphasized that indicators must be adjusted to each company’s
incorporate sustainability indicators in firms’ performance
measurement system. On higher resolution, Linke et al. [11] need and to limit the number of indicators as less as possible to
minimize extra work required in evaluating and monitoring
identified relevant sustainability indicators and used them in
assessing sustainability in process level and particularly in them. Thus, the challenge now is to identify critical indicators of
finishing operations based on process performance and part sustainable manufacturing without losing too much on the
quality [5]. generality of these indicators. This is significant as it determines
The strength of sustainability indicators lies in providing the limited number of indicators that firms must monitor in
order to promote better sustainability. This supports resource
better simplification, quantification, analysis and
communicating information from the perspectives of the triple allocation decisions and policy development at firm level. The
approach promoted in this paper is to identify the critical
bottom-line. Rahdari and Rostamy [9] emphasized that various
studied have tried to develop industry specific sets of indicators identified by the NIST framework.
sustainability indicators. The general contention in current

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Ocampo L, Vergara VG, Impas C, Tordillo JA, Pastoril J Identifying critical indicators in sustainable manufacturing using analytic hierarchy process (AHP)

knowledge and experience of the problem under consideration.


SUSTAINABLE INDICATORS PRIORITIZATION AND ANALYTIC Decision components and elements are usually a combination of
HIERARCHY PROCESS (AHP) both objective and subjective ones, with measurements in
different and multiple dimensions.
Sustainability indicators are based on measured and/or esti-
mated data that must undergo normalization, scaling and 2. Eliciting judgment in paired comparisons
aggregation [52]. The aggregation process is usually carried out
by computing an index – a single score that represents the Through experts’ knowledge, pairwise comparisons of elements
aggregation of indicators using weight-based mathematical in the same level with respect to an element in the immediate
methods [4]. This is used as an overall performance of a process, higher level are carried out in the AHP. The generic question in
product or a firm. Examples in literature include a product making pairwise comparisons goes like this: “Given a parent
sustainability index [53], product sustainability assessment element and given a pair of elements, how much more does a
using a weight fuzzy assessment method [54], a sustainable given member of the pair dominate other member of the pair
manufacturing index at firm level [49]. This list is not intended with respect to a parent element?” [57]. To achieve a uni-
to be comprehensive. dimensional scaling property of the comparisons, Saaty [13]
The normalization and scaling processes involve placing a established the famous Saaty fundamental 9-point scale as
relative weight to each sustainability indicator. Following the shown in Table 1.
hierarchical structure of the NIST framework, the use of analytic
hierarchy process (AHP) is found to be more appropriate. AHP is Table 1 Saaty fundamental scale
a powerful tool in multi-criteria decision-making (MCDM) in Rate Definition Explanation
which the decision problem is described in a hierarchy. Central 1 Equal importance Two elements contribute equally to
the objective
to the theory of AHP is the pairwise comparisons approach [13]
2 Weak between equal and moderate
where decision-makers elicit judgment by comparing any two 3 Moderate Experience and judgment slightly
elements with respect to a higher, immediate element in the importance favor one element over another
hierarchy. The strength of AHP is in capturing subjective 4 Moderate plus between moderate and strong
judgments of decision-makers and integrating them in the 5 Strong importance Experience and judgment strongly
decision-making process. AHP is widely used in sustainability favor one element over another
assessment. Jawahir et al. [55] applied AHP to assess product 6 Strong plus between strong and very strong
sustainability using life cycle approach. Sudarsan et al. [56] 7 Very strong or An element is favored very strongly
emphasized the use AHP in manufacturing sustainability demonstrated over another; its dominance
assessment. Ziout et al. [1] implemented a sustainability importance demonstrated in practice
assessment of manufacturing system reuse from a point of view 8 Very, very strong between very strong and extreme
9 Extreme The evidence favoring one element
of the triple-bottom line using AHP. Amrina and Vilsi [16]
importance over another is one of the highest
proposed a set of key performance indicators and use AHP to possible order or affirmation
prioritize these indicators.
The gap identified in this study is the identification of
sustainability indicators that are critical in sustainable
manufacturing. This work attempts to apply AHP in normalizing Suppose, aijk represents the decision of k th decision-maker on
and scaling sustainability indicators identified by Joung et al. [4]. the influence of element i on j . To aggregate individual
The NIST framework of Joung et al. [4] provides
judgments, Saaty [13] proposed the weighted geometric mean
a comprehensive set of sustainability indicators while AHP
method (WGMM) as shown in (1):
prioritizes critical indicators as input to product and process
design, strategy development and policy-making.

k
  k
aij  aijk (1)

METHODOLOGY
wihere aij iss the aggregated judgment,  k is the decision-
ANALYTIC HIERARCHY PROCESS maker’s importance to the decision making process with
 k 0 and   k 1 . The values of aij i , j form the pairwise
Generally, the procedure of AHP can be described as follows: k
comparisons matrix.
1. Structuring the decision problem In pairwise comparisons, reciprocity is maintained. Priority
vectors (w) are obtained from the pairwise comparison matrix
In AHP, decision problems are structured hierarchically in a top- (A) by solving an eigenvalue problem in the following equation:
down approach [13]. Oftentimes in many selection problems,
there is an explicit definition and representation of goal, criteria Awmax w (2)
and alternatives components. In various cases, criteria
component is described in more than two levels so that further
where max is the maximum eigenvalue of the positive
details of criteria are explicitly presented in the decision
structure. The decision of the inclusion of components and reciprocal square matrix (A). The approach also provides a way
alternatives is usually carried out either through a critical review to measure the consistency of judgments in the pairwise
of literature with regard to the facets of the decision problem or comparison matrix. When decision-making in the pairwise
through an expert or group of experts who have sufficient comparisons matrix is consistent max n ; otherwise, max n

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Identifying critical indicators in sustainable manufacturing using analytic hierarchy process (AHP) Ocampo L, Vergara VG, Impas C, Tordillo JA, Pastoril J

where n is the number of elements being compared. The all parents for each element in the lower level. This is referred
Consistency Index (CI), as a measure of degree of consistency, to as the distributive mode of the AHP. This can be represented
was calculated using the formula in the form for two levels in a hierarchy

CI  max n / n1 (3) WT Xm


T T
 T

3 X m 2 I X m1I (5)

The consistency ratio (CR) is computed as


where W is is the global (synthesized) weight vector of the
CRCI / RI (4) elements in the lowest (or third level in this case), X m3 is the
local priority vector of the third level elements (the lowest
where RI is the mean random consistency. Acceptable CR values level), X m 2 is the local priority vector of the second level
must be less than 0.1. Decision-makers were asked to repeat the elements, X m1 is the local priority vector of the first level
pairwise comparisons for CR values greater than 0.1.
elements, and I is an identity matrix.
3. Synthesizing judgments

Saaty [13] described that synthesizing judgments in AHP is


done by weighting the elements being compared in the lower
level to an element in the next immediate level, referred to as
the parent element, by the priority of that element and adding

Figure 2 Sustainable manufacturing hierarchal structure


point fundamental scale shown in Table 1. In this study,
three experts were asked to perform pairwise comparisons.
PROCEDURE These experts were selected based on their expertise in
manufacturing and sustainable development projects.
The procedure adopted in this paper is as follows: 4. Aggregate judgments from three decision-makers using (1).
These form single decision-maker pairwise comparisons
1. Use the hierarchical structure of the NIST framework on matrices.
sustainable manufacturing. Instead of five dimensions as 5. Compute for the local eigenvectors using (2) along with CR
shown in Joung et al. [4], this work adopts the first three values using (4).
dimensions which are consistent with the triple-bottom 6. Synthesize judgments using (5) and this yields a global
line. The hierarchical structure is presented in Fig. 2 which priority vector of level 3 elements. Rank these elements in
is composed of four levels denoted as level 0, 1, 2, 3. Each decreasing order and obtain the top 10 elements.
element of level 3 element is composed of sustainability 7. List down the sustainability indicators associated with the
indicators. See SMIR website for these indicators. top 10 level 3 elements. These are considered as critical
2. Construct the pairwise comparisons matrices of the level 3 elements in sustainable manufacturing. These sustainability
elements with respect to their level 2 parent element, level indicators must be given high priority by manufacturing
2 elements with respect to their level 1 parent element, firms.
and level 1 elements with respect to their level 0 parent
element. See Saaty [13] for this discussion.
3. Decision-makers elicit judgments on the pairwise
comparisons matrices. Judgments are based on the Saaty 9-

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Ocampo L, Vergara VG, Impas C, Tordillo JA, Pastoril J Identifying critical indicators in sustainable manufacturing using analytic hierarchy process (AHP)

RESULTS AND DISCUSSION


Three sets of pairwise comparisons were performed by Table 7 Sample aggregated type 3 pairwise comparisons matrix
decision-makers: (type 1) level 3 elements with respect to level Sustainable manufacturing (a1) (a2) (a3) Priority vector
2 parent element, (type 2) level 2 elements with respect to level (a1) Environmental stewardship 0.248 0.296 0.1140
(a2) Economic growth 2.392 0.5801
1 parent element, and (type 3) level 1 elements with respect to (a3) Social well-being 0.3059
level 0 parent element. These sum up to 14 pairwise
CR  0.052
comparisons matrices. Table 2 shows a sample of type 1
pairwise comparison matrices by a single decision-maker. Table
Using (5) to compute for the global priority vector of level 3
3 shows a sample of type 2 and Table 4 shows a sample of type
elements, Table 8 presents the list of level 3 elements with their
3.
corresponding global priorities.
Table 2 Sample type 1 pairwise comparisons matrix
Pollution (a1) (a2) (a3) (a4) (a5)
Table 8 Global priority vector of level 3 elements
(a1) Toxic substances 1 3 5 3
Level 3 elements Priorities Rank
(a2) Greenhouse gas emissions 3 5 3
Toxic substance 0.014578 18
(a3) Ozone depletion gas emissions 2 1
Greenhouse gas emissions 0.012578 20
(a4) Noise 1/2 Ozone depletion gas emissions 0.007187 23
(a5) Acidification substance Noise 0.005165 29
Acidification substance 0.004741 30
Effluent 0.009651 21
Air emissions 0.013685 19
Table 3 Sample type 2 pairwise comparisons matrix Solid waste emissions 0.007213 22
Environmental stewardship (a1) (a2) (a3) (a4) Waste energy emissions 0.002234 33
(a1) Pollution 1 3 2 Water consumption 0.003960 31
Material consumption 0.003036 32
(a2) Emission 3 2
Energy/electrical consumption 0.006350 25
(a3) Resource consumption 2 Land use 0.005373 28
(a4) Natural habitat conservation Biodiversity management 0.006713 24
Natural habitat quality 0.006156 26
Habitat management 0.005405 27
Revenue 0.123208 1
Table 4 Sample type 3 pairwise comparisons matrix
Profit 0.112194 2
Sustainable manufacturing (a1) (a2) (a3) Materials acquisition 0.098543 3
(a1) Environmental stewardship 1/2 1/2 Production 0.058263 5
(a2) Economic growth 1 Product transfer to customer 0.032955 13
End-of-service-life product handling 0.050722 6
(a3) Social well-being
Research and development 0.040135 9
Community development 0.064100 4
Employees health and safety 0.033757 12
In aggregating judgments of three decision-makers, (1) is Employees career development 0.034856 11
Employee satisfaction 0.021455 17
used with 10.5 ,  2 0.3 and 3 0.2 . When the aggregated Health and safety impacts from manufacturing/product use 0.045944 8
pairwise comparisons matrix yield CR0.10 , then 10.7 , Customer satisfaction from operations and products 0.046978 7
Inclusion of specific rights to customer 0.027960 15
 2 0.2 and 3 0.2 . Table 5 shows a sample of aggregated Product responsibility 0.027508 16
Justice/equity 0.029352 14
pairwise comparisons matrix of type 1. Table 6 shows a sample
Community development programs 0.038046 10
of type 2 and Table 7 shows a sample of type 3. Local priority
vectors and CR values were presented in these samples.
Table 8 shows that the top 10 level 3 elements are
Table 5 Sample aggregated type 1 pairwise comparisons matrix
Priority
concentrated in economic growth and social well-being
Pollution (a1) (a2) (a3) (a4) (a5) dimensions. This shows that socio-economic issues are highly
vector
(a1) Toxic substances 1.516 1.620 3.389 2.625 0.3294 relevant in sustainable manufacturing. Environmental
(a2) Greenhouse gas stewardship elements can be treated as consequences in
1.407 1.816 4.899 0.2842
emissions
(a3) Ozone depletion
addressing socio-economic issues. For instance, addressing
1.219 1.196 0.1624 health and safety impacts from manufacturing/product use in
gas emissions
(a4) Noise 0.922 0.1167 the social well-being dimension implies eliminating or reducing
(a5) Acidification the use of toxic substance in the environmental stewardship
0.1072
substance
dimension. From this priority listing of level 3 elements, top 10
CR0.036 elements were obtained and their indicators were listed in Table
8. These indicators were based from the work of Joung et al.
(2013).
Table 6 Sample aggregated type 2 pairwise comparisons matrix
Table 9 presents the critical sustainability indicators firms
Priority
Environmental stewardship (a1) (a2) (a3) (a4) must monitor in order to promote sustainability efficiently and
vector
(a1) Pollution 1.817 2.269 1.853 0.3881 comprehensively.
(a2) Emission 2.269 1.853 0.2875
(a3) Resource consumption 1.288 0.1642
(a4) Natural habitat conservation 0.1603
CR  0.027

6 http://dx.doi.org/10.12776/mie.v14i3-4.444
Identifying critical indicators in sustainable manufacturing using analytic hierarchy process (AHP) Ocampo L, Vergara VG, Impas C, Tordillo JA, Pastoril J

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