Journal
OMEGA-INTERNATIONAL JOURNAL OF MANAGEMENT SCIENCE
Volume 61, Issue -, Pages 35-48Publisher
PERGAMON-ELSEVIER SCIENCE LTD
DOI: 10.1016/j.omega.2015.07.005
Keywords
Data envelopment analysis; Network DEA; Multi-stage processes; Composition paradigm
Funding
- European Union
- Greek national funds through the Operational Program Education and Lifelong Learning of the National Strategic Reference Framework (NSRF)-Research Funding Program: THALES-Investing in knowledge society through the European Social Fund
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We present in this paper a general network DEA approach to deal with efficiency assessments in multi-stage processes. Our approach complies with the composition paradigm, where the efficiencies of the stages are estimated first and the overall efficiency of the system is obtained ex post. We use multi-objective programming as modeling framework. This provides us the means to assess unique and unbiased efficiency scores and, if required, to drive the efficiency assessments effectively in line with specific priorities given to the stages. A direct comparison with the multiplicative decomposition approach on data drawn from the literature brings into light the advantages of our method and some critical points that one should be concerned about when using the multiplicative efficiency decomposition. (C) 2015 Elsevier Ltd. All rights reserved.
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