TY - CHAP
T1 - Network data envelopment analysis with fuzzy data
AU - Kao, Chiang
PY - 2014/1/1
Y1 - 2014/1/1
N2 - Conventional data envelopment analysis (DEA) treats a system as a whole unit when measuring efficiency, ignoring the operations of the component processes. Network DEA, on the other hand, takes the component processes into consideration, with results that are more representative and can be used to identify inefficient components. This paper discusses network DEA for fuzzy observations. Two approaches, the membership grade and the α-cut, are proposed for measuring the system and process efficiencies via two-level mathematical programming. The model associated with the latter approach is transformed into a conventional one-level program so that the existing solution methods can be applied. Since the data is fuzzy, the measured efficiencies are also fuzzy. The property of the system efficiency slack being the sum of the process efficiency slacks, which holds in the deterministic case, was found to hold for the fuzzy case as well. A simple network system with three processes is used to illustrate the proposed idea.
AB - Conventional data envelopment analysis (DEA) treats a system as a whole unit when measuring efficiency, ignoring the operations of the component processes. Network DEA, on the other hand, takes the component processes into consideration, with results that are more representative and can be used to identify inefficient components. This paper discusses network DEA for fuzzy observations. Two approaches, the membership grade and the α-cut, are proposed for measuring the system and process efficiencies via two-level mathematical programming. The model associated with the latter approach is transformed into a conventional one-level program so that the existing solution methods can be applied. Since the data is fuzzy, the measured efficiencies are also fuzzy. The property of the system efficiency slack being the sum of the process efficiency slacks, which holds in the deterministic case, was found to hold for the fuzzy case as well. A simple network system with three processes is used to illustrate the proposed idea.
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U2 - 10.1007/978-3-642-41372-8_9
DO - 10.1007/978-3-642-41372-8_9
M3 - Chapter
AN - SCOPUS:84958529322
SN - 9783642413711
T3 - Studies in Fuzziness and Soft Computing
SP - 191
EP - 206
BT - Performance Measurement with Fuzzy Data Envelopment Analysis
PB - Springer Verlag
ER -