Abstract
An original DEA model is to evaluate each decision making unit (DMU) with a set of most favorable weights. The efficient DMUs obtained from original DEA construct an efficient (best practice) frontier. Original DEA can be considered as identifying good (efficient) performers in most favorable scenario. For the purpose of identifying bad performers such as bankrupt firms in most adverse scenario, radial worst practice frontier DEA (WPF-DEA) model in which "worst efficient" DMUs construct a worst practice frontier has been proposed. To identify bad performers together with the slack values we formulate another model called WPF-SBM. Then we develop HypoSBM model to distinguish the worst performers from bad performers. Finally, a solution approach is suggested to fully rank worst efficiencies in most adverse scenario.
Original language | English |
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Pages | 796-809 |
Number of pages | 14 |
State | Published - 2006 |
Event | 36th International Conference on Computers and Industrial Engineering, ICC and IE 2006 - Taipei, Taiwan Duration: 20 Jun 2006 → 23 Jun 2006 |
Conference
Conference | 36th International Conference on Computers and Industrial Engineering, ICC and IE 2006 |
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Country/Territory | Taiwan |
City | Taipei |
Period | 20/06/06 → 23/06/06 |
Keywords
- Data envelopment analysis
- Most adverse scenario
- Risk analysis
- Slack-based efficiency measure
- Worst efficiency
- Worst practice frontier