Cost Efficiency Measurement in Data Envelopment Analysis with Dynamic Network Structures: A Relational Model

2017 ◽  
Vol 34 (05) ◽  
pp. 1750023
Author(s):  
Soheila Seyedboveir ◽  
Sohrab Kordrostami ◽  
Behrouz Daneshian ◽  
Alireza Amirteimoori
Keyword(s):  
Data Envelopment Analysis ◽  
Cost Efficiency ◽  
Dynamic Network ◽  
Weighted Average ◽  
Dynamic Effect ◽  
Efficiency Measurement ◽  
Relational Model ◽  
Data Envelopment ◽  
Network Structures ◽  
Dea Models

The “Dynamic-network” version of cost efficiency measurement in Data Envelopment Analysis (DEA) is proposed in this paper. The classical DEA models ignore operations of individual processes within a system; moreover, they compute efficiency at the same time. Therefore, we suggest a relational model to estimate cost efficiency in static network structures. Also, we incorporate the dynamic effect in network structures. The proposed models here evaluate the overall efficiency over the whole periods and indicate it as a weighted average of period efficiencies. The main advantage revealed in this study is recognition of: which divisions at what periods caused the inefficiency of the system, the internal activities of the system over time, considered; moreover, the results obtained here is applicable in, improving the performance of the system. A case study of Iranian banking industry is used to show the applicability of the approach.

scholarly journals Deposit money banks’ efficiency in three years after, during and before the 2004–2005 consolidation in Nigeria: the puzzle on size

2017 ◽  
Vol 12 (3) ◽  
pp. 193-203
Author(s):  
David Mautin Oke ◽  
Isaac A. Ogbuji ◽  
Koye Gerry Bokana
Keyword(s):  
Data Envelopment Analysis ◽  
Central Bank ◽  
Cost Efficiency ◽  
Efficiency Score ◽  
Efficiency Measurement ◽  
Data Consistency ◽  
Data Envelopment ◽  
Fixed Assets ◽  
Cost Efficient ◽  
Interest Payments

In this paper, the authors examined the efficiency of deposit money banks (DMBs) in Nigeria in three years after, during and before the 2004–2005 capital consolidation in Nigeria. This consolidation period was the last period the Central Bank of Nigeria implemented an official recapitalization policy of the deposit money banks in the country. The authors predicated the study on a modified intermediation and efficiency measurement frameworks. It utilizes deposits, fixed assets and employees as inputs, whose costs are interest payments, depreciation and staff expenses. Performing loans and advances, investments and liquid assets constituted the output variables. The authors computed the efficiency scores, using the Data Envelopment Analysis (DEA) approach. The data used were obtained from the DMBs that retained their identities and controlled over 75% of the banking industry’s total assets. They were purposively selected to maintain data consistency, and were size-classified by total assets. The findings show that small banks tend to be more cost efficient than medium and big banks. More so, medium sized banks tend to be more cost efficient than big banks, while big banks take the lead in cost efficiency score in post consolidation period. Cost efficiency of the banks was the highest during consolidation, followed by pre-consolidation and least in three years after consolidation.

Cost efficiency measurement with price uncertainty: a data envelopment analysis

2020 ◽  
Vol 14 (4) ◽  
pp. 387-396
Author(s):  
F. Hosseinzadeh Lotfi ◽  
A. Amirteimoori ◽  
Z. Moghaddas ◽  
M. Vaez-Ghasemi
Keyword(s):  
Data Envelopment Analysis ◽  
Cost Efficiency ◽  
Efficiency Measurement ◽  
Data Envelopment ◽  
Price Uncertainty

Measuring Performance of a Three-Stage Network Structure Using Data Envelopment Analysis and Nash Bargaining Game: A Supply Chain Application

2018 ◽  
Vol 17 (05) ◽  
pp. 1429-1467 ◽  
Author(s):  
Mohammad Amirkhan ◽  
Hosein Didehkhani ◽  
Kaveh Khalili-Damghani ◽  
Ashkan Hafezalkotob
Keyword(s):  
Supply Chain ◽  
Data Envelopment Analysis ◽  
Nash Bargaining ◽  
Data Envelopment ◽  
Second Stage ◽  
Proposed Model ◽  
Nash Bargaining Game ◽  
Dea Models ◽  
Overall Efficiency

The issue of efficiency analysis of network and multi-stage systems, as one of the most interesting fields in data envelopment analysis (DEA), has attracted much attention in recent years. A pure serial three-stage (PSTS) process is a specific kind of network in which all the outputs of the first stage are used as the only inputs in the second stage and in addition, all the outputs of the second stage are applied as the only inputs in the third stage. In this paper, a new three-stage DEA model is developed using the concept of three-player Nash bargaining game for PSTS processes. In this model, all of the stages cooperate together to improve the overall efficiency of main decision-making unit (DMU). In contrast to the centralized DEA models, the proposed model of this study provides a unique and fair decomposition of the overall efficiency among all three stages and eliminates probable confusion of centralized models for decomposing the overall efficiency score. Some theoretical aspects of proposed model, including convexity and compactness of feasible region, are discussed. Since the proposed bargaining model is a nonlinear mathematical programming, a heuristic linearization approach is also provided. A numerical example and a real-life case study in supply chain are provided to check the efficacy and applicability of the proposed model. The results of proposed model on both numerical example and real case study are compared with those of existing centralized DEA models in the literature. The comparison reveals the efficacy and suitability of proposed model while the pitfalls of centralized DEA model are also resolved. A comprehensive sensitivity analysis is also conducted on the breakdown point associated with each stage.

scholarly journals A Range Adjusted Measure of Super-Efficiency in Integer-Valued Data Envelopment Analysis with Undesirable Outputs

2021 ◽  
Vol 9 (4) ◽  
pp. 378-398
Author(s):  
Chunhua Chen ◽  
Haohua Liu ◽  
Lijun Tang ◽  
Jianwei Ren
Keyword(s):  
Data Envelopment Analysis ◽  
Transportation Systems ◽  
Decision Makers ◽  
Data Envelopment ◽  
Undesirable Outputs ◽  
Super Efficiency ◽  
Dea Model ◽  
Dea Models ◽  
Analysis Models ◽  
Transport Accidents

Abstract DEA (data envelopment analysis) models can be divided into two groups: Radial DEA and non-radial DEA, and the latter has higher discriminatory power than the former. The range adjusted measure (RAM) is an effective and widely used non-radial DEA approach. However, to the best of our knowledge, there is no literature on the integer-valued super-efficiency RAM-DEA model, especially when undesirable outputs are included. We first propose an integer-valued RAM-DEA model with undesirable outputs and then extend this model to an integer-valued super-efficiency RAM-DEA model with undesirable outputs. Compared with other DEA models, the two novel models have many advantages: 1) They are non-oriented and non-radial DEA models, which enable decision makers to simultaneously and non-proportionally improve inputs and outputs; 2) They can handle integer-valued variables and undesirable outputs, so the results obtained are more reliable; 3) The results can be easily obtained as it is based on linear programming; 4) The integer-valued super-efficiency RAM-DEA model with undesirable outputs can be used to accurately rank efficient DMUs. The proposed models are applied to evaluate the efficiency of China’s regional transportation systems (RTSs) considering the number of transport accidents (an undesirable output). The results help decision makers improve the performance of inefficient RTSs and analyze the strengths of efficient RTSs.

scholarly journals The Efficiency of Waste Sector in Italy: An Application by Data Envelopment Analysis

2020 ◽  
Vol 24 (3) ◽  
pp. 225-238
Author(s):  
Massimo Gastaldi ◽  
Ginevra Virginia Lombardi ◽  
Agnese Rapposelli ◽  
Giulia Romano
Keyword(s):  
Data Envelopment Analysis ◽  
Environmental Performance ◽  
Returns To Scale ◽  
Sustainable Growth ◽  
Waste Reduction ◽  
Data Envelopment ◽  
Environmental Legislation ◽  
Dea Models ◽  
Developed Nations ◽  
Variable Returns To Scale

AbstractWith growing environmental legislation and mounting popular concern for the need to pursuing a sustainable growth, there has been an increasing recognition in developed nations of the importance of waste reduction, recycling and reuse maximization. This empirical study investigates both ecological and economic performances of urban waste systems in 78 major Italian towns for the years 2015 and 2016. To this purpose the study employs the non-parametric approach to efficiency measurement, represented by Data Envelopment Analysis (DEA) technique. More specifically, in the context of environmental performance we implement two output-oriented DEA models in order to consider both constant and variable returns to scale. In addition, we include an undesirable output – the total amount of waste collected – in the two models considered. The results show that there is variability among the municipalities analysed: Northern and Central major towns show higher efficiency scores than Southern and Islands ones.

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