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A novel multilevel network slacks-based measure with an application in electric utility companies

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  • Mahmoudabadi, Mohammad Zarei
  • Azar, Adel
  • Emrouznejad, Ali

Abstract

In this paper, we developed an alternative Network Slacks-Based Data Envelopment Analysis Measure (NSBM) wherein the overall efficiency is expressed as a weighted average of the efficiencies of the individual processes. The advantage of this new model is that both overall efficiency and multi-divisional efficiencies have been calculated with a unified framework. The major merits of the proposed model are its ability to provide appropriate measure of efficiency, obtaining weight of processes from model, simultaneous assessment of intermediate variables considering them as both input and output. Finally, an application in electric power companies shows the practicality of the proposed model.

Suggested Citation

  • Mahmoudabadi, Mohammad Zarei & Azar, Adel & Emrouznejad, Ali, 2018. "A novel multilevel network slacks-based measure with an application in electric utility companies," Energy, Elsevier, vol. 158(C), pages 1120-1129.
    • Handle: RePEc:eee:energy:v:158:y:2018:i:c:p:1120-1129
    DOI: 10.1016/j.energy.2018.05.161
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    Cited by:

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    2. Mahmoudabadi, Mohammad Zarei & Emrouznejad, Ali, 2019. "Comprehensive performance evaluation of banking branches: A three-stage slacks-based measure (SBM) data envelopment analysis," International Review of Economics & Finance, Elsevier, vol. 64(C), pages 359-376.
    3. Meng, Ming & Pang, Tingting, 2022. "Operational efficiency analysis of China's electric power industry using a dynamic network slack-based measure model," Energy, Elsevier, vol. 251(C).
    4. Mohammad Zarei Mahmoudabadi & Ali Emrouznejad, 2024. "Balanced performance assessment under uncertainty: an integrated CSW-DEA and balanced scorecard (BSC)," Annals of Operations Research, Springer, vol. 341(1), pages 539-554, October.
    5. Yanhong Tang & Yingwen Chen & Rui Yang & Xin Miao, 2020. "The Unified Efficiency Evaluation of China’s Industrial Waste Gas Considering Pollution Prevention and End-Of-Pipe Treatment," IJERPH, MDPI, vol. 17(16), pages 1-27, August.
    6. Ming-Fu Hsu & Ying-Shao Hsin & Fu-Jiing Shiue, 2022. "Business analytics for corporate risk management and performance improvement," Annals of Operations Research, Springer, vol. 315(2), pages 629-669, August.
    7. Joohwan Kim & Hwayoung Kim, 2021. "Evaluation of the Efficiency of Maritime Transport Using a Network Slacks-Based Measure (SBM) Approach: A Case Study on the Korean Coastal Ferry Market," Sustainability, MDPI, vol. 13(11), pages 1-17, May.
    8. Xiao Shi & Ali Emrouznejad & Minyue Jin & Feng Yang, 2020. "A new parallel fuzzy data envelopment analysis model for parallel systems with two components based on Stackelberg game theory," Fuzzy Optimization and Decision Making, Springer, vol. 19(3), pages 311-332, September.

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