This study aims to measure the performance or the level of existence of practies and condition that exist in a firm to bring success such as, market position, location selection, manufacturing and management. The performance measurement system model developed in this study uses Analytic Hierarchy Process (AHP) in combining separate performance scores of the firm in various areas and obtaining a single overall performance score. AHP is a multi-attribute decision-making approach which constructs a multi-level decision hierarchy and obtains relative weights of components of the hierarchy by making pairwise comparisons among them. In the application of the AHP approach, once the manufacturing system's performance in each lowest-level components of the hierarchy is rated, the weights of the components and scores are combined to get a single score. The developed performance measuremet system can be used to compare a manufacturing firm with its competitors, and especially to detect the areas where the firm's performance is inadequate and needs improvement. The performance measuremet model can be used as an essential tool in manufacturing firm's change and improvement efforts.