Controlling factor weights in data envelopment analysis

Yaakov Roll, Wade D. Cook, Boaz Golany

Research output: Contribution to journalArticlepeer-review

Abstract

Data Envelopment Analysis (DEA) is a mathematical programming approach to assessing relative efficiencies within a group of Decision Making Units (DMUs). An important outcome of such an analysis is a set of virtual multipliers or weights accorded to each (input or output) factor taken into account. These sets of weights are, typically, different for each of the participating DMUs. A version of the DEA model is offered where bounds are imposed on weights, thus reducing the variation in the importance accorded to the same factor by the various DMUs. Techniques for locating appropriate bounds are suggested and the notion of a common set of weights is examined. Possible interpretations to differences in efficiency ratings obtained with the various models developed are discussed.

Original languageEnglish
Pages (from-to)2-9
Number of pages8
JournalIIE Transactions (Institute of Industrial Engineers)
Volume23
Issue number1
DOIs
StatePublished - Mar 1991
Externally publishedYes

ASJC Scopus subject areas

  • Industrial and Manufacturing Engineering

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