TY - JOUR
T1 - A new chance-constrained DEA model with birandom input and output data
AU - Tavana, Madjid
AU - Khanjani Shiraz, Rashed
AU - Hatami-Marbini, Adel
N1 - Funding Information:
Acknowledgements—The authors would like to thank the anonymous reviewers and the editor for their insightful comments and suggestions. Adel Hatami-Marbini also likes to thank the FRS-FNRS for the financial support he received as a chargé de recherches at the Université catholique de Louvain during this research project.
Publisher Copyright:
© 2014 Operational Research Society Ltd.
PY - 2014/1/1
Y1 - 2014/1/1
N2 - The purpose of conventional Data Envelopment Analysis (DEA) is to evaluate the performance of a set of firms or Decision-Making Units using deterministic input and output data. However, the input and output data in the real-life performance evaluation problems are often stochastic. The stochastic input and output data in DEA can be represented with random variables. Several methods have been proposed to deal with the random input and output data in DEA. In this paper, we propose a new chance-constrained DEA model with birandom input and output data. A super-efficiency model with birandom constraints is formulated and a non-linear deterministic equivalent model is obtained to solve the super-efficiency model. The non-linear model is converted into a model with quadratic constraints to solve the non-linear deterministic model. Furthermore, a sensitivity analysis is performed to assess the robustness of the proposed super-efficiency model. Finally, two numerical examples are presented to demonstrate the applicability of the proposed chance-constrained DEA model and sensitivity analysis.
AB - The purpose of conventional Data Envelopment Analysis (DEA) is to evaluate the performance of a set of firms or Decision-Making Units using deterministic input and output data. However, the input and output data in the real-life performance evaluation problems are often stochastic. The stochastic input and output data in DEA can be represented with random variables. Several methods have been proposed to deal with the random input and output data in DEA. In this paper, we propose a new chance-constrained DEA model with birandom input and output data. A super-efficiency model with birandom constraints is formulated and a non-linear deterministic equivalent model is obtained to solve the super-efficiency model. The non-linear model is converted into a model with quadratic constraints to solve the non-linear deterministic model. Furthermore, a sensitivity analysis is performed to assess the robustness of the proposed super-efficiency model. Finally, two numerical examples are presented to demonstrate the applicability of the proposed chance-constrained DEA model and sensitivity analysis.
KW - birandom variables
KW - chance-constrained programming
KW - Data Envelopment Analysis
KW - quadratic constraints
KW - super-efficiency
UR - http://www.scopus.com/inward/record.url?scp=84920996167&partnerID=8YFLogxK
U2 - 10.1057/jors.2013.157
DO - 10.1057/jors.2013.157
M3 - Article
AN - SCOPUS:84920996167
VL - 65
SP - 1824
EP - 1839
JO - Journal of the Operational Research Society
JF - Journal of the Operational Research Society
SN - 0160-5682
IS - 12
ER -