Cheng, Gang and Zervopoulos, Panagiotis (2012): A proxy approach to dealing with the infeasibility problem in super-efficiency data envelopment analysis.
Download (395kB) | Preview
Super-efficiency data envelopment analysis (SE-DEA) models are expressions of the traditional DEA models featuring the exclusion of the unit under evaluation from the reference set. The SE-DEA models have been applied in various cases such as sensitivity and stability analysis, measurement of productivity changes，outliers’ identification，and classification and ranking of decision making units (DMUs). A major deficiency in the SE-DEA models is their infeasibility in determining super-efficiency scores for some efficient DMUs when variable, non-increasing and non-decreasing returns to scale (VRS, NIRS, NDRS) prevail. The scope of this study is the development of an oriented proxy approach for SE-DEA models in order to tackle the infeasibility problem. The proxy introduced to the SE-DEA models replaces the original infeasible DMU in the sample and guarantees a feasible optimal solution. The proxy approach yields the same scores as the traditional SE-DEA models to the feasible DMUs.
|Item Type:||MPRA Paper|
|Original Title:||A proxy approach to dealing with the infeasibility problem in super-efficiency data envelopment analysis|
|Keywords:||Data envelopment analysis (DEA); Super-efficiency (SE); Infeasibility; Orientation|
|Subjects:||C - Mathematical and Quantitative Methods > C0 - General > C02 - Mathematical Methods
C - Mathematical and Quantitative Methods > C6 - Mathematical Methods ; Programming Models ; Mathematical and Simulation Modeling > C61 - Optimization Techniques ; Programming Models ; Dynamic Analysis
C - Mathematical and Quantitative Methods > C6 - Mathematical Methods ; Programming Models ; Mathematical and Simulation Modeling > C67 - Input-Output Models
|Depositing User:||Panagiotis Zervopoulos|
|Date Deposited:||19. Oct 2012 22:59|
|Last Modified:||01. Mar 2013 16:51|
Andersen, P., & Petersen, N. C. (1993). A procedure for ranking efficient units in data envelopment analysis. Management Science, 39, 1261-1265.
Bal, H., Örkcü, H. H., & Çelebioglu, S. (2010). Improving the discrimination power and weights dispersion in the data envelopment analysis. Computers & Operations Research, 37, 99-107.
Banker, R. D., Charnes, A., & Cooper, W. W. (1984). Some models for estimating technical and scale inefficiencies in data envelopment analysis. Management Science, 30, 1078-1092.
Banker, R. D., Das, S., & Datar, S. (1989). Analysis of cost variances for management control in Hospitals. Research in Governmental and Nonprofit Accounting, 5, 268-291.
Chambers, R. G., Chung, Y., & Färe, R. (1996). Benefit and Distance Functions. Journal of Economic Theory, 70, 407-419.
Charnes, A., Cooper, W. W., & Rhodes, E. (1978). Measuring the efficiency of decision making units. European Journal of Operational Research, 2, 429-444.
Chen, J.-X., Deng, M., & Gingras, S. (2011). A modified super-efficiency measure based on simultaneous input–output projection in data envelopment analysis. Computers & Operations Research, 38, 496-504.
Chen, Y. (2005). Measuring super-efficiency in DEA in the presence of infeasibility. European Journal of Operational Research, 161, 545-551.
Cook, W. D., Liang, L., Zha, Y., & Zhu, J. (2009). A modified super-efficiency DEA model for infeasibility. Journal of the Operational Research Society, 60, 276-281.
Dula, J. H., & Hickman, B. L. (1997). Effects of excluding the column being scored from the DEA envelopment LP technology matrix. Journal of the Operational Research Society, 48, 1001-1012.
Lee, H.-S., Chu, C.-W., & Zhu, J. (2011). Super-efficiency DEA in the presence of infeasibility. European Journal of Operational Research, 212, 141-147.
Lovell, C. A. K., & Rouse, A. P. B. (2003). Equivalent standard DEA models to provide superefficiency scores. Journal of the Operational Research Society, 54, 101-108.
Ray, S. C. (2008). The directional distance function and measurement of super-efficiency: an application to airlines data. Journal of the Operational Research Society, 59, 788-797.
Seiford, L. M., & Zhu, J. (1999). Infeasibility of super-efficiency data envelopment analysis models. Infor, 37, 174-187.
Xue, M., & Harker, P. T. (2002). Note: Ranking DMUs with infeasible super-efficiency DEA models. Management Science, 48, 705-710.