A Robust Data Envelopment Analysis Method with Bounded Data for Ranking Operations Strategies

Mohamad Amin Kaviani and Mehdi Abbasi
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Mohamad Amin Kaviani: Department of Industrial Engineering, College of Engineering, Shiraz branch, Islamic Azad University, Shiraz, Iran
Mehdi Abbasi: Department of Industrial Engineering, College of Engineering, Shiraz branch, Islamic Azad University, Shiraz, Iran

International Journal of Strategic Decision Sciences (IJSDS), 2015, vol. 6, issue 3, 49-64

Abstract: This paper introduces a new robust data envelopment analysis (RDEA) approach for analyzing and ranking the organizations' operations strategies. In the proposed RDEA method, pessimistic and optimistic efficiencies of decision making units (DMUs) obtained from the robust counterpart of the envelopment form and the optimistic counterpart of the multiplier form of DEA are introduced. The inputs and outputs data are assumed to be bounded data (interval numbers) in the proposed models. A case study in the cement industry is presented to demonstrate the applicability of the proposed RDEA approach. The results obtained from the authors' proposed RDEA approach is more robust and their method provides a more complete ranking of the DMUs compared to conventional Likert-based DEA model.

Date: 2015
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