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A note on “The cross-efficiency in the optimistic–pessimistic framework”

Author

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  • I. Contreras

    (Pablo de Olavide University)

  • M. A. Hinojosa

    (Pablo de Olavide University)

Abstract

This note considers the model developed by Khodabakhshi and Aryavash (Oper Res Int J 17:619–632, 2017); in which the authors propose a new model for cross-efficiency in Data Envelopment Analysis. This procedure proposes the determination of the maximum and the minimum efficiency scores of each unit under the assumption that the sum of the efficiency values of all the units is equal to unity. A ranking of units is constructed on the basis of a score obtained as a combination of these maximum and minimum scores. In the present note, we show that the model developed in the aforementioned studied requires the inclusion of additional conditions in order to guarantee that the efficiency scores are properly computed, and the correct ranking is obtained.

Suggested Citation

  • I. Contreras & M. A. Hinojosa, 2021. "A note on “The cross-efficiency in the optimistic–pessimistic framework”," Operational Research, Springer, vol. 21(2), pages 1393-1401, June.
    • Handle: RePEc:spr:operea:v:21:y:2021:i:2:d:10.1007_s12351-019-00484-2
    DOI: 10.1007/s12351-019-00484-2
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    References listed on IDEAS

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    1. Charnes, A. & Cooper, W. W. & Rhodes, E., 1978. "Measuring the efficiency of decision making units," European Journal of Operational Research, Elsevier, vol. 2(6), pages 429-444, November.
    2. M. Khodabakhshi & K. Aryavash, 2014. "The fair allocation of common fixed cost or revenue using DEA concept," Annals of Operations Research, Springer, vol. 214(1), pages 187-194, March.
    3. Mohammad Khodabakhshi & Kourosh Aryavash, 2017. "The cross-efficiency in the optimistic–pessimistic framework," Operational Research, Springer, vol. 17(2), pages 619-632, July.
    4. R. D. Banker & A. Charnes & W. W. Cooper, 1984. "Some Models for Estimating Technical and Scale Inefficiencies in Data Envelopment Analysis," Management Science, INFORMS, vol. 30(9), pages 1078-1092, September.
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    Keywords

    DEA; Cross-efficiency; Ranking;
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