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Additive super-efficiency in integer-valued data envelopment analysis

Author

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  • Du, Juan
  • Chen, Chien-Ming
  • Chen, Yao
  • Cook, Wade D.
  • Zhu, Joe

Abstract

Conventional data envelopment analysis (DEA) methods assume that input and output variables are continuous. However, in many real managerial cases, some inputs and/or outputs can only take integer values. Simply rounding the performance targets to the nearest integers can lead to misleading solutions and efficiency evaluation. Addressing this kind of integer-valued data, the current paper proposes models that deal directly with slacks to calculate efficiency and super-efficiency scores when integer values are present. Compared with standard radial models, additive (super-efficiency) models demonstrate higher discrimination power among decision making units, especially for integer-valued data. We use an empirical application in early-stage ventures to illustrate our approach.

Suggested Citation

  • Du, Juan & Chen, Chien-Ming & Chen, Yao & Cook, Wade D. & Zhu, Joe, 2012. "Additive super-efficiency in integer-valued data envelopment analysis," European Journal of Operational Research, Elsevier, vol. 218(1), pages 186-192.
    • Handle: RePEc:eee:ejores:v:218:y:2012:i:1:p:186-192
    DOI: 10.1016/j.ejor.2011.10.023
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    References listed on IDEAS

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    2. Shih-Heng Yu & Chia-Wei Hsu, 2020. "A unified extension of super-efficiency in additive data envelopment analysis with integer-valued inputs and outputs: an application to a municipal bus system," Annals of Operations Research, Springer, vol. 287(1), pages 515-535, April.
    3. Pätäri, Eero & Karell, Ville & Luukka, Pasi & Yeomans, Julian S, 2018. "Comparison of the multicriteria decision-making methods for equity portfolio selection: The U.S. evidence," European Journal of Operational Research, Elsevier, vol. 265(2), pages 655-672.
    4. Chunhua Chen & Jianwei Ren & Lijun Tang & Haohua Liu, 2020. "Additive integer-valued data envelopment analysis with missing data: A multi-criteria evaluation approach," PLOS ONE, Public Library of Science, vol. 15(6), pages 1-20, June.
    5. Mansour Zarrin, 2023. "A mixed-integer slacks-based measure data envelopment analysis for efficiency measuring of German university hospitals," Health Care Management Science, Springer, vol. 26(1), pages 138-160, March.
    6. Taleb, Mushtaq & Khalid, Ruzelan & Ramli, Razamin & Ghasemi, Mohammad Reza & Ignatius, Joshua, 2022. "An integrated bi-objective data envelopment analysis model for measuring returns to scale," European Journal of Operational Research, Elsevier, vol. 296(3), pages 967-979.

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