Flexible measures in production process: A DEA-based approach

Alireza Amir Amirteimoori · Ali Emrouznejad

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Efficiency Analysis Using DEA Multi-Criteria Decision Making Optimization and Mathematical Programming

Abstract

Data envelopment analysis (DEA) has been proven as an excellent data-oriented efficiency analysis method for comparing decision making units (DMUs) with multiple inputs and multiple outputs. In conventional DEA, it is assumed that the status of each measure is clearly known as either input or output. However, in some situations, a performance measure can play input role for some DMUs and output role for others. Cook and Zhu [Eur. J. Oper. Res. 180 (2007) 692–699] referred to these variables as flexible measures. The paper proposes an alternative model in which each flexible measure is treated as either input or output variable to maximize the technical efficiency of the DMU under evaluation. The main focus of this paper is on the impact that the flexible measures has on the definition of the PPS and the assessment of technical efficiency. An example in UK higher education intuitions shows applicability of the proposed approach.

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References

1978Measuring the efficiency of decision making units 1984Some Models for Estimating Technical and Scale Inefficiencies in Data Envelopment Analysis 1994Data Envelopment Analysis: Theory, Methodology, and Applications 2008Evaluation of research in efficiency and productivity: A survey and analysis of the first 30 years of scholarly literature in DEA 2005Introduction to Data Envelopment Analysis and Its Uses: With DEA-Solver Software and References 2006Introduction to Data Envelopment Analysis and Its Uses 1990Comparing university departments 2000Multicomponent Efficiency Measurement and Shared Inputs in Data Envelopment Analysis: An Application to Sales and Service Performance in Bank Branches

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2022Analysis of China's energy efficiency and influencing factors under carbon peaking and carbon neutrality goals 2013Classifying flexible measures in data envelopment analysis: A slack-based measure 2017A non-radial directional distance method on classifying inputs and outputs in DEA: Application to banking industry 2019Inputs and outputs classification in integer-valued data envelopment analysis

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