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Incorporating the learning effect into data envelopment analysis to measure MSW recycling performance

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  • Chang, Dong-Shang
  • Liu, Wenrong
  • Yeh, Li-Ting

Abstract

The effect of organizational learning, which results in continuous improvement of organizational performance over time, has been widely discussed. The cumulative learning effect may form as a source of intellectual capital. Thus far, the static data envelopment analysis (DEA) model has not been used to examine the longitudinal learning effect. Therefore, a two-stage approach is developed together with the estimation of a latent learning effect using time-series data; the estimated learning effect is then used as an input in the DEA Slacks-Based Measure (SBM) model. The proposed DEA SBM model can be used to investigate the efficiency of the organizational learning effect of Municipal Solid Waste (MSW) recycling systems.

Suggested Citation

  • Chang, Dong-Shang & Liu, Wenrong & Yeh, Li-Ting, 2013. "Incorporating the learning effect into data envelopment analysis to measure MSW recycling performance," European Journal of Operational Research, Elsevier, vol. 229(2), pages 496-504.
    • Handle: RePEc:eee:ejores:v:229:y:2013:i:2:p:496-504
    DOI: 10.1016/j.ejor.2013.01.026
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