Equivalence relationship between the general combined-oriented CCR model and the weighted minimax MOLP formulation

Abstract

In many applications, finding target unit is required, particularly when decision maker (DM) wants to search along the efficient frontier to locate the most preferred solution. Wong et al. [Wong, Y.H., Luque, M., Yang, J.B., 2009. Using interactive multiple objective methods to solve DEA problem with value judgments. Computers and Operations Research 36, 623–636] established an equivalence model between output-oriented dual DEA models and multiple objective linear programming (MOLP). In a similar vein, the aim of this paper is to establish an equivalence model between the general combined-oriented CCR model and multiple objective linear programming and also using Zionts–Wallenius’s method to integrate combined-oriented CCR performance assessment and target setting such that the DM’s preference can be taken into account in an interactive fashion. Our proposed model gives the most preferred solution for DM with trade off analysis on both input and output values of DMUs. The applicability of the proposed equivalence model is illustrated, using a real data set as a case study, which consists of 20 bank branches.

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