Evaluation of intercity road passenger transportation using a novel double-frontier game-regret-cross-efficiency

Abstract

The Cross-Efficiency (CE) method, based on Data Envelopment Analysis (DEA), is a commonly used approach to measure the efficiency of Decision-Making Units (DMUs). Various secondary goal models can yield different efficiency results. The recently developed Game CE (GCE) method aims to address this issue and achieve convergence efficiencies. However, the conventional GCE was developed under the unrealistic assumption that Decision Makers (DMs) are perfectly rational, as it relies on the arithmetic mean aggregation method. Additionally, the GCE evaluates DMUs based on efficient reference points, disregarding the pessimistic perspective. The study introduces a new aggregation method called Regret-Consensus Aggregation (RCA) that captures the subjective preferences of DMs. GCE-RCA scores are obtained by incorporating RCA into the GCE. A new method called Game Cross In-Efficiency (GCIE) with RCA (GCIE-RCA) has been developed to incorporate anti-efficient reference points into the evaluation process. A Double-Frontier GCE based on the RCA (DFGCE-RCA) is developed from two perspectives. The DFGCE-RCA is implemented to evaluate the performance of the Iranian Inter-City Road Passenger Transportation (IC-RPT) system based on six key performance indicators. DFGCE-RCA has several advantages in addition to those of GCE. Firstly, considering two perspectives provides more comprehensive results. Additionally, it can capture the subjective perspectives of DMs. Lastly; it enables the aggregation process to reach a consensus.