A stepwise benchmarking approach to DEA with interval scale data

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A stepwise benchmarking approach to DEA with interval scale data. / Nasrabadi, Nasim; Dehnokhalaji, Akram; Korhonen, Pekka; Wallenius, Jyrki.

In: Journal of the Operational Research Society, Vol. 70, No. 6, 03.06.2019, p. 954-961.

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@article{d704c9935c164775bae9e00ecb8eb1f1,
title = "A stepwise benchmarking approach to DEA with interval scale data",
abstract = "The conventional DEA models assume that all variables are measured on a ratio scale. However, in many applications, we have to deal with interval scale data. In Dehnokhalaji, A., Korhonen, P. J., K{\"o}ksalan, M., Nasrabadi, N., & Wallenius, J. (2010). Efficiency analysis to incorporate interval scale data. European Journal of Operational Research 207(2), 1116–1121, we proposed a model for efficiency analysis to incorporate interval scale data in addition to ratio scale data. Our proposed model provides efficiency scores for each unit, but does not suggest target unit(s) for inefficient ones directly. In this paper, we investigate the concept of benchmarking in Dehnokhalaji et al.?s (2010) model. We propose an algorithm which results in a path of targets for each inefficient unit. All units on this path are better than the unit under evaluation in terms of efficiency scores defined for interval scale data. The intermediate targets belong to sequential layers obtained from a layering algorithm and the final unit on the path is an efficient unit.",
keywords = "benchmark, DEA, interval scale data, layering, sequential target setting",
author = "Nasim Nasrabadi and Akram Dehnokhalaji and Pekka Korhonen and Jyrki Wallenius",
year = "2019",
month = "6",
day = "3",
doi = "10.1080/01605682.2018.1471375",
language = "English",
volume = "70",
pages = "954--961",
journal = "Journal of the Operational Research Society",
issn = "0160-5682",
number = "6",

}

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TY - JOUR

T1 - A stepwise benchmarking approach to DEA with interval scale data

AU - Nasrabadi, Nasim

AU - Dehnokhalaji, Akram

AU - Korhonen, Pekka

AU - Wallenius, Jyrki

PY - 2019/6/3

Y1 - 2019/6/3

N2 - The conventional DEA models assume that all variables are measured on a ratio scale. However, in many applications, we have to deal with interval scale data. In Dehnokhalaji, A., Korhonen, P. J., Köksalan, M., Nasrabadi, N., & Wallenius, J. (2010). Efficiency analysis to incorporate interval scale data. European Journal of Operational Research 207(2), 1116–1121, we proposed a model for efficiency analysis to incorporate interval scale data in addition to ratio scale data. Our proposed model provides efficiency scores for each unit, but does not suggest target unit(s) for inefficient ones directly. In this paper, we investigate the concept of benchmarking in Dehnokhalaji et al.?s (2010) model. We propose an algorithm which results in a path of targets for each inefficient unit. All units on this path are better than the unit under evaluation in terms of efficiency scores defined for interval scale data. The intermediate targets belong to sequential layers obtained from a layering algorithm and the final unit on the path is an efficient unit.

AB - The conventional DEA models assume that all variables are measured on a ratio scale. However, in many applications, we have to deal with interval scale data. In Dehnokhalaji, A., Korhonen, P. J., Köksalan, M., Nasrabadi, N., & Wallenius, J. (2010). Efficiency analysis to incorporate interval scale data. European Journal of Operational Research 207(2), 1116–1121, we proposed a model for efficiency analysis to incorporate interval scale data in addition to ratio scale data. Our proposed model provides efficiency scores for each unit, but does not suggest target unit(s) for inefficient ones directly. In this paper, we investigate the concept of benchmarking in Dehnokhalaji et al.?s (2010) model. We propose an algorithm which results in a path of targets for each inefficient unit. All units on this path are better than the unit under evaluation in terms of efficiency scores defined for interval scale data. The intermediate targets belong to sequential layers obtained from a layering algorithm and the final unit on the path is an efficient unit.

KW - benchmark

KW - DEA

KW - interval scale data

KW - layering

KW - sequential target setting

UR - http://www.scopus.com/inward/record.url?scp=85049009235&partnerID=8YFLogxK

U2 - 10.1080/01605682.2018.1471375

DO - 10.1080/01605682.2018.1471375

M3 - Article

VL - 70

SP - 954

EP - 961

JO - Journal of the Operational Research Society

JF - Journal of the Operational Research Society

SN - 0160-5682

IS - 6

ER -

ID: 26775285