An alternative 2-phase method for evaluating of DMUs using DEA

Document Type : Research Article

Author

• Mohammadreza Alirezaee

School of Mathematics, Iran University of Sciences and Technology, Tehran, Iran.

10.22067/ijnao.v3i1.18824

Abstract

Computationally, selection of a proper numerical value for infinitesimal non Archimedean epsilon in DEA models has some difficulties. Although there are several algorithms for selecting the proper non-Archimedean epsilon, it is important to introduce methods in order to calculate the efficiency of DMUs without using epsilon. One of these methods is a two-phase method, which obtains the efficiency of each DMU through solving two LPs, which the second LP is depended to the first. This paper proposes a method, which is able to compute the efficiency of DMUs by two LPs, which are not depended to each other and computationally can solve in a parallel computation. The major of this method is to find two references for each unit and combine them to obtain actual reference.

Keywords

• Data Envelopment Analysis (DEA)
• Decision Making Units (DMUs)
• Non-Archimedean
• Two-phase method
• Reference point

20.1001.1.24236977.2013.3.1.5.6

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