Ranking DMUs on the benchmark line with equal shadow prices

M. Toloo*, S. Ghorbani, Z. Molaee

*Corresponding author for this work

Research output: Chapter in Book/Report/Conference proceedingConference contribution

Abstract

Data envelopment analysis (DEA) with considering the best condition for each decision making unit (DMU) assesses the relative efficiency for it and divides a homogenous group of DMUs into two categories: efficient and inefficient, but traditional DEA models can not rank efficient DMUs. Although some models were introduced for ranking efficient DMUs, Franklin Lio & Hsuan peng (2008), proposed a common weights analysis (CWA) approach for ranking them. These DMUs are ranked according to the efficiency score weighted by the common set of weights and shadow prices. This study shows there are some cases that shadow prices of efficient DMUs are equal, hence this method is not applicable for ranking them. Next, we propose a new method for ranking units with equal shadow prices.

Original languageEnglish
Title of host publication40th International Conference on Computers and Industrial Engineering
Subtitle of host publicationSoft Computing Techniques for Advanced Manufacturing and Service Systems, CIE40 2010
DOIs
Publication statusPublished - 2010
Externally publishedYes
Event40th International Conference on Computers and Industrial Engineering, CIE40 2010 - Awaji, Japan
Duration: Jul 25 2010Jul 28 2010

Publication series

Name40th International Conference on Computers and Industrial Engineering: Soft Computing Techniques for Advanced Manufacturing and Service Systems, CIE40 2010

Conference

Conference40th International Conference on Computers and Industrial Engineering, CIE40 2010
Country/TerritoryJapan
CityAwaji
Period7/25/107/28/10

Keywords

  • Benchmark line
  • Common weight analysis
  • Data envelopment analysis
  • Shadow price

ASJC Scopus subject areas

  • Computational Theory and Mathematics
  • Software

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