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A comment on multi-stage DEA methodology. (English) Zbl 1016.91022

Summary: T. Coelli [ibid. 23, 143-149 (1998; Zbl 0963.91032)] introduced a Multi-Stage (MS-) DEA methodology that represents an interesting alternative for the treatment of slacks remaining after proportional correction in inputs or outputs. By solving a sequence of radial models, one thus arrives at the identification of “more representative efficient points” (in terms of similar input/output mixes). We show that “most representative efficient points” can be found using a direct approach and may differ from those obtained by MS-DEA. Nevertheless, MS-DEA remains very attractive in view of its economic (intrinsic price) legitimation.

MSC:

91B06 Decision theory
90B50 Management decision making, including multiple objectives
90C08 Special problems of linear programming (transportation, multi-index, data envelopment analysis, etc.)
90C29 Multi-objective and goal programming

Citations:

Zbl 0963.91032
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References:

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