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A fuzzy quantitative VRIO‐based framework for evaluating organizational activities

Chinho Lin (Department of Industrial and Information Management & Institute of Information Management, College of Management, National Cheng Kung University, Taiwan, ROC)
Hua‐Ling Tsai (Department of Industrial and Information Management, College of Management, National Cheng Kung University, Taiwan, ROC)
Ya‐Jung Wu (Department of Industrial and Information Management, College of Management, National Cheng Kung University, Tainan, Taiwan, ROC and Department of International Business, Kao Yuan University, Taiwan, ROC)
Melody Kiang (Information Systems Department, College of Business Administration, California State University, Long Beach, California, USA)

Management Decision

ISSN: 0025-1747

Article publication date: 31 August 2012

18149

Abstract

Purpose

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The study aims to shed light on how to identify drivers of sustainable competitive advantage under a turbulent and uncertain environment, one of the most crucial challenges faced by resource‐based strategists.

Design/methodology/approach

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This study introduces a VRIO‐based framework to evaluate a firm's internal activities, in which the fuzzy set and utilities functions are adopted to identify the competitive advantage of available resources based on resource‐based theory. A case study is conducted to illustrate how the framework can be applied as a tool for exploring the potential competitiveness of a firm's core resources.

Findings

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The quantitative VRIO‐based framework is a useful tool to assist top management to identify a list of potential competitive advantages of the available sources.

Originality/value

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The VRIO‐based framework is built through the integration of quantitative and qualitative methods, and this innovative approach is proposed to bridge the gap between resource‐based theory and its application.

Keywords

Citation

Lin, C., Tsai, H., Wu, Y. and Kiang, M. (2012), "A fuzzy quantitative VRIO‐based framework for evaluating organizational activities", Management Decision, Vol. 50 No. 8, pp. 1396-1411. https://doi.org/10.1108/00251741211261999

Publisher

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Emerald Group Publishing Limited

Copyright © 2012, Emerald Group Publishing Limited

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