Abstract

Decision making units (DMUs) can be ranked using data envelopment analysis (DEA) technologies. This paper develops a new ranking system under the condition of variable returns to scale (VRS) based on a measure of cross-dependence efficiency (MCDE), where the evaluation for an efficient DMU is dependent of the efficiency changes of all inefficient units due to its absence in the reference set, while the appraisal of inefficient DMUs depends on the influence of the exclusion of each efficient unit from the reference set. The infeasibility problem that arises from the conventional super-efficiency models is eliminated. A new approach to ranking inefficient units is embedded in the proposed ranking system. Through an example, advantages of our proposal are demonstrated. A real application illustrates the effectiveness of the cross-dependence based ranking system.

Full Text
Paper version not known

Talk to us

Join us for a 30 min session where you can share your feedback and ask us any queries you have

Schedule a call

Disclaimer: All third-party content on this website/platform is and will remain the property of their respective owners and is provided on "as is" basis without any warranties, express or implied. Use of third-party content does not indicate any affiliation, sponsorship with or endorsement by them. Any references to third-party content is to identify the corresponding services and shall be considered fair use under The CopyrightLaw.