Finding “Improvement Region” for the Inefficient Units in Data Envelopment Analysis

Authors

Sh. Banihashemi, Department of Mathematics and Computer Science, Faculty of Economics, Allameh Tabataba’i University, Tehran Iran.Follow
M. Sanei, Department of Applied Mathematics, Islamic Azad University, Central Tehran Branch, Tehran, Iran.Follow
A. GholamAbri, Department of Applied Mathematics, Islamic Azad University, Firoozkooh Branch, Firoozkooh, Iran.Follow
F. Sourani, Department of Applied Mathematics, Islamic Azad University, Central Tehran Branch, Tehran, Iran.Follow

Author Country (or Countries)

Tehran Iran.

Abstract

One of the most important issues in data envelopment analysis is sensitivity analysis of efficient and inefficient decision making units (DMUs). Sensitivity analysis of inefficient units has been more studied recently. We know that a specific inefficient DMUcan scarcely reach to the efficient frontier and achieving the score 1 in efficiency but it can easily obtain an efficiency score of a (a is a constant which is usually closed to 1 and defined by the decision maker). In this paper we are going to find a region which named Improvement Region (IR) for a specific inefficient DMU which can obtain at least an efficiency score of a. In this region the inefficient DMU which is under evaluation can satisfy the decision maker and also it can be improved itself to gain a new efficiency score and by these variations it is made more contented for decision maker. The procedure is illustrated by numerical examples.

Digital Object Identifier (DOI)

http://dx.doi.org/10.18576/amis/100335

Recommended Citation

Banihashemi, Sh.; Sanei, M.; GholamAbri, A.; and Sourani, F. (2016) "Finding “Improvement Region” for the Inefficient Units in Data Envelopment Analysis," Applied Mathematics & Information Sciences: Vol. 10: Iss. 3, Article 35.
DOI: http://dx.doi.org/10.18576/amis/100335
Available at: https://digitalcommons.aaru.edu.jo/amis/vol10/iss3/35