Aggregated Ratio Analysis in DEA

Yong Zha and Liang Liang ()
Additional contact information
Yong Zha: School of Management, University of Science and Technology of China, Hefei, Anhui 230026, P. R. China
Liang Liang: School of Management, University of Science and Technology of China, Hefei, Anhui 230026, P. R. China

International Journal of Information Technology & Decision Making (IJITDM), 2015, vol. 14, issue 06, 1285-1297

Abstract: DEA and ratio analysis are commonly viewed as alternatively effective tools in assessing the performance of different DMUs. Many researches have been developed to reveal their inherent relationship and to explore the integration of both methods as well. In this paper, we first question Theorem 1 by Wu et al. (International Journal of Information Technology & Decision Making 4(3) (2005) 369–384) and illustrate a counter example to show the nonequivalence between the aggregated ratio model they proposed and CCR model. The errors which existed in its proof are also indicated. Further, an improved aggregated ratio model is established to better comprehend the inner relationship between the two methods. We demonstrate its equivalence to traditional CCR model, and propose an inference that the observed DMU is ratio efficient if and only if it is CCR efficient. Numerical analysis carefully describes the nontrivial difference between the proposed model and that by Wu et al. (International Journal of Information Technology & Decision Making 4(3) (2005) 369–384), and validates the feasibility of our model.

Keywords: Data envelopment analysis (DEA); aggregated ratio analysis; efficiency (search for similar items in EconPapers)
Date: 2015
References: View references in EconPapers View complete reference list from CitEc
Citations: View citations in EconPapers (1)

Downloads: (external link)
http://www.worldscientific.com/doi/abs/10.1142/S0219622014500114
Access to full text is restricted to subscribers

Related works:
This item may be available elsewhere in EconPapers: Search for items with the same title.

Export reference: BibTeX RIS (EndNote, ProCite, RefMan) HTML/Text

Persistent link: https://EconPapers.repec.org/RePEc:wsi:ijitdm:v:14:y:2015:i:06:n:s0219622014500114

Ordering information: This journal article can be ordered from

DOI: 10.1142/S0219622014500114

Access Statistics for this article

International Journal of Information Technology & Decision Making (IJITDM) is currently edited by Yong Shi

More articles in International Journal of Information Technology & Decision Making (IJITDM) from World Scientific Publishing Co. Pte. Ltd.
Bibliographic data for series maintained by Tai Tone Lim ().