TY - JOUR

T1 - A study of developing an input-oriented ratio-based comparative efficiency model

AU - Wei, Ching K.

AU - Chen, Liang Chih

AU - Li, Rong-Kwei

AU - Tsai, Chih Hung

PY - 2011/3/1

Y1 - 2011/3/1

N2 - Data envelopment analysis (DEA) is a representative method to estimate efficient frontiers and derive efficiency. However, in a situation with weight restrictions on individual input-output pairs, its suitability has been questioned. Therefore, the main purpose of this paper is to develop a mathematical method, which we call the input-oriented ratio-based comparative efficiency model, DEA-R-I, to derive the input-target improvement strategy in situations with weight restrictions. Also, we prove that the efficiency score of DEA-R-I is greater than that of CCR-I, which is the first and most popular model of DEA, in input-oriented situations without weight restrictions to claim the DEA-R-I can replace the CCR model in these situations. We also show an example to illustrate the necessity of developing the new model. In a nutshell, we developed DEA-R-I to replace CCR-I in all input-oriented situations because it sets a more accurate weight restriction and yields a more achievable strategy.

AB - Data envelopment analysis (DEA) is a representative method to estimate efficient frontiers and derive efficiency. However, in a situation with weight restrictions on individual input-output pairs, its suitability has been questioned. Therefore, the main purpose of this paper is to develop a mathematical method, which we call the input-oriented ratio-based comparative efficiency model, DEA-R-I, to derive the input-target improvement strategy in situations with weight restrictions. Also, we prove that the efficiency score of DEA-R-I is greater than that of CCR-I, which is the first and most popular model of DEA, in input-oriented situations without weight restrictions to claim the DEA-R-I can replace the CCR model in these situations. We also show an example to illustrate the necessity of developing the new model. In a nutshell, we developed DEA-R-I to replace CCR-I in all input-oriented situations because it sets a more accurate weight restriction and yields a more achievable strategy.

KW - CCR-I

KW - Data envelopment analysis

KW - DEA-R-I

UR - http://www.scopus.com/inward/record.url?scp=78049528761&partnerID=8YFLogxK

U2 - 10.1016/j.eswa.2010.08.036

DO - 10.1016/j.eswa.2010.08.036

M3 - Article

AN - SCOPUS:78049528761

VL - 38

SP - 2473

EP - 2477

JO - Expert Systems with Applications

JF - Expert Systems with Applications

SN - 0957-4174

IS - 3

ER -