Determining Ranking Ranges Using Goal Programming in DEA
Abstract
Data Envelopment Analysis (DEA) is a powerful non-parametric method used to evaluate the relative efficiency of Decision-Making Units (DMUs). The cross-efficiency method has been introduced as an extension of DEA, enabling each unit to be evaluated not only by its own optimal weights but also by the weights of its peers. By integrating DEA and the cross-efficiency method, a more reliable ranking of DMUs can be achieved, enhancing the discriminative power of the evaluation and supporting better decision-making. Alcaraz et al. [1] proposed a method to determine the ranking range of DMUs within the cross-efficiency evaluation. Their proposed models were non-linear. In this article, we use the goal-programming method and convert the nonlinear models into LPs to explore the best and worst ranks for each DMU. Our proposed method and the presented linear models are easier to solve and require less time and computation for systems.
Keywords:
Data envelopment analysis, Cross-efficiency, Ranking ranges, Goal-programming, Best and worst rankReferences
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