TY - JOUR
T1 - Suppliers ranking in the presence of undesirable outputs
AU - Noorizadeh, Abdollah
AU - Mahdiloo, Mahdi
AU - Saen, Reza Farzipoor
PY - 2012/3
Y1 - 2012/3
N2 - In conventional usage of Data Envelopment Analysis (DEA) for supplier selection, it is assumed that producing more outputs relative to fewer inputs is a criterion of efficiency. However, in the presence of undesirable outputs, suppliers with more good (desirable) outputs and less bad (undesirable) outputs relative to fewer inputs should be recognised as efficient. In addition, to get a complete ranking among suppliers and also eliminate unrealistic weighting schemes among them, this paper proposes a cross-efficiency formulation of DEA, which can treat undesirable outputs. A numerical example demonstrates the application of the proposed model in supplier ranking context.
AB - In conventional usage of Data Envelopment Analysis (DEA) for supplier selection, it is assumed that producing more outputs relative to fewer inputs is a criterion of efficiency. However, in the presence of undesirable outputs, suppliers with more good (desirable) outputs and less bad (undesirable) outputs relative to fewer inputs should be recognised as efficient. In addition, to get a complete ranking among suppliers and also eliminate unrealistic weighting schemes among them, this paper proposes a cross-efficiency formulation of DEA, which can treat undesirable outputs. A numerical example demonstrates the application of the proposed model in supplier ranking context.
KW - Cross-efficiency
KW - Data envelopment analysis
KW - DEA
KW - Suppliers ranking
KW - Undesirable outputs
UR - http://www.scopus.com/inward/record.url?scp=84859069006&partnerID=8YFLogxK
UR - http://www.scopus.com/inward/citedby.url?scp=84859069006&partnerID=8YFLogxK
U2 - 10.1504/IJLSM.2012.045918
DO - 10.1504/IJLSM.2012.045918
M3 - Article
AN - SCOPUS:84859069006
SN - 1742-7967
VL - 11
SP - 354
EP - 374
JO - International Journal of Logistics Systems and Management
JF - International Journal of Logistics Systems and Management
IS - 3
ER -