Development of FDEA Models to Measure the Performance Efficiencies of DMUs

Abstract

Data envelopment analysis (DEA) is a linear programming-based methodology to measure the relative performance efficiencies of DMUs which produce multiple outputs by consuming multiple inputs. The input data and output data can be considered as a linguistic variables characterized by fuzzy numbers. So, in the present study, we extend DEA to fuzzy DEA (FDEA) in which the input and output data are taken as fuzzy numbers (FNs), in particular triangular FNs. In this paper, we develop two FDEA models to measure the left hand and right hand relative performance efficiencies of each DMU using $$\alpha$$ -cut approach. Further, we propose a ranking method to rank the DMUs based on left hand and right hand efficiencies. Finally, the developed FDEA models and proposed ranking models are illustrated with an example and then compared the results with geometric average efficiency index ranking method. The proposed model is also experimented with a real-life problem.