Calculating Cost Efficiency with Integer Data in the Absence of Convexity
محورهای موضوعی : International Journal of Data Envelopment Analysis
Arezoo Khoshgova
1
(Master’s Degree in Applied Mathematics, Science and Research Branch , Islamic Azad University, Tehran, Iran.)
Mohsen Rostamy-Malkhalifeh
2
(Associate Professor, Department of Applied Mathematics, Science and Research Branch Islamic Azad University, Tehran, Iran.)
کلید واژه: Data envelopment analysis (DEA, cost efficiency, integer data, convexity,
چکیده مقاله :
One of the new topics in DEA is the data with integer values. In DEA classic models, it is assumed that input and output variables have real values. However, in many cases, some inputs or outputs can have integer values. Measuring cost efficiency is another method to evaluate the performance and assess the capabilities of a single decision-making unit for manufacturing current products at a minimum cost with its input prices. In this paper, we proposed a model which is capable of calculating the cost efficiency in the absence of convexity when some of the input parameters have integer values, and then we implemented the mentioned model with a numerical example and discussed the results.
[1] Charnes, A., Cooper, W.W., & Rhodes, E.(1978).Measuring the efficiency of decision making units. European Journal of Operational Research, 2(6), 429–444
[2] Farrell, M. J.(1957).The measurement of productive efficiency. Journal of the Royal Statistical Society, Series
[3] Banker, R.D., Charnes, A.,& Cooper, W.W.(1984).Some models for estimating technical and scale inefficiencies in data envelopment analysis. Management Science, 30,1078–1092
