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Super efficiency and sensitivity analysis of the Indian hotels and restaurants

Author

Listed:
  • Neha Sharma

    (Chandigarh University)

  • Sandeep Kumar Mogha

    (Chandigarh University)

Abstract

Over the course of COVID-19, the global growth of the hospitality and restaurant (H&Rs) sector has been declined. “Indian H&R industry has also faced the same consequences of covid-19 To emerge from this situation, industry need to employ fresh approaches to capture the untapped potential and get past the obstacles As the resources are scare so one needs to utilize these in proper manner and for this, one of the difficulties is to be figuring out how to evaluate H&Rs' efficiency using different factors and highlight the areas where improvement is required In this study performance evaluation has been done for the 45 Large scale Indian H&R businesses by applying the Data Envelopment Analysis (DEA) methodology As basic DEA models calculate radial efficiency only, they do not demonstrate the improvement in capabilities of different DMUs This paper examines the efficiency of 45 large-scale Indian H&Rs using the New Slack Model (NSM) of DEA The NSM model directly deals with the input and output slacks This study is based on data collected from Centre for Monitoring Indian Economy’s Prowess database A study found that only 65.58% of H&Rs are technically efficient. This indicates that some of the resources are underutilized, and therefore a significant amount of improvement is possible Using sensitivity analysis, the super efficiency is also tested in order to determine whether the results are stable.

Suggested Citation

  • Neha Sharma & Sandeep Kumar Mogha, 2024. "Super efficiency and sensitivity analysis of the Indian hotels and restaurants," OPSEARCH, Springer;Operational Research Society of India, vol. 61(4), pages 2131-2157, December.
    • Handle: RePEc:spr:opsear:v:61:y:2024:i:4:d:10.1007_s12597-024-00781-1
    DOI: 10.1007/s12597-024-00781-1
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