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Research on Multi-Index Network DEA Model

Ling Li, Jianyong Liu, Yuan Wang

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Abstract

In view of the defect that network DEA (data envelopment analysis) can not establish the model of multi-index synchronously, we proposed multi-index network DEA evaluation method. Cost-type, fixed-type and income-type indices were managed suitably to form inputs and outputs. The linear programming model and its dual model of multi-index network DEA were set up. The correlative definition and theorem of the hybrid model were given. The paper proved that the decision making unit (DMU) being multi-index network DEA efficient is also multi-index DEA efficient when the model doesn’t consider the subsystems, and the subsystems of the DMU are all multi-index DEA efficient synchronously. These results enrich DEA efficient theory further. An example indicated that the hybrid evaluation method can solve multi-index problem efficiently, it can also provide improved information between inefficient DMU and optimum values. The new measure can be a good tool of systems analysis.

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What this paper is about

In view of the defect that network DEA (data envelopment analysis) can not establish the model of multi-index synchronously, we proposed multi-index network DEA evaluation method. Cost-type, fixed-type and income-type indices were managed suitably to form inputs and outputs. The linear programming model and its dual model of multi-index network DEA were set up. The correlative definition and theorem of the hybrid model were given. The paper proved that the decision making unit (DMU) being multi-index network DEA efficient is also multi-index DEA efficient when the model doesn’t consider the subsystems, and the subsystems of the DMU are all multi-index DEA efficient synchronously. These results enrich DEA efficient theory further. An example indicated that the hybrid evaluation method can solve multi-index problem efficiently, it can also provide improved information between inefficient DMU and optimum values. The new measure can be a good tool of systems analysis.

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Available abstract

In view of the defect that network DEA (data envelopment analysis) can not establish the model of multi-index synchronously, we proposed multi-index network DEA evaluation method. Cost-type, fixed-type and income-type indices were managed suitably to form inputs and outputs. The linear programming model and its dual model of multi-index network DEA were set up. The correlative definition and theorem of the hybrid model were given. The paper proved that the decision making unit (DMU) being multi-index network DEA efficient is also multi-index DEA efficient when the model doesn’t consider the subsystems, and the subsystems of the DMU are all multi-index DEA efficient synchronously. These results enrich DEA efficient theory further. An example indicated that the hybrid evaluation method can solve multi-index problem efficiently, it can also provide improved information between inefficient DMU and optimum values. The new measure can be a good tool of systems analysis.

Key concepts: Data envelopment analysis, Index (typography), Measure (data warehouse), Set (abstract data type), Computer science, Mathematical optimization, Dual (grammatical number), Linear programming

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