Extracting Priorities of Strategic Components of Product Liability Response System using AHP

ABSTRACT Purpose: To develop efficient PL response system, SMEs should decide which component of PL response system is important and implemented with priority under limited resources. To accomplish this goal, we pro-pose strategic priority components of PL response system for SME manufacturer.Methods: We categorize the components of PL response system based on prior research results – System, Organization, Training, Technology, Cost, and Awareness. AHP (Analytic Hierarchy Process) is applied to extract important components of PL response system, which is used in assigning the priority of component. To analyze effects of each components, performance sensitivity analysis is applied. Results: The survey analysis results show Technology is the most important components. Organization and Cost component are follows. As the importance of Technology is changed, we can find Organization, Cost is second and third important components.Conclusion: Our research shows Technology which is related to make a safe product with systematic process, is a basic enabler of PL response system. Also, building a PL team and securing a budget for PL activity should be carry out with limited resources.Key Words: Product Liability (PL), Response System, Analytic Hierarchy Process (AHP), Small and Medium Size Manufacturers (SME)