Ranking production units by their impact on structural efficiency
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Ranking production units by their impact on structural efficiency. / Zhu, Ning; Hougaard, Jens Leth; Ghiyasi, Mojtaba .
In: Journal of the Operational Research Society, Vol. 70, No. 5, 2019, p. 783-792.Research output: Contribution to journal › Journal article › Research › peer-review
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TY - JOUR
T1 - Ranking production units by their impact on structural efficiency
AU - Zhu, Ning
AU - Hougaard, Jens Leth
AU - Ghiyasi, Mojtaba
PY - 2019
Y1 - 2019
N2 - League tables associated with various forms of service activities from schools to hospitals illustrate a public need for ranking institutions by their productive performance. We present a new approach for ranking production units which is based on each unit’s marginal contribution in terms of structural efficiency. The approach is radically different from conventional methods based on super-efficiency indexes in Data Envelopment Analysis. We illustrate the mechanics of our method by numerical examples as well as an empirical illustration. We further demonstrate that our new indexes inherit all relevant and desirable properties of the Farrell efficiency index upon which they are constructed.
AB - League tables associated with various forms of service activities from schools to hospitals illustrate a public need for ranking institutions by their productive performance. We present a new approach for ranking production units which is based on each unit’s marginal contribution in terms of structural efficiency. The approach is radically different from conventional methods based on super-efficiency indexes in Data Envelopment Analysis. We illustrate the mechanics of our method by numerical examples as well as an empirical illustration. We further demonstrate that our new indexes inherit all relevant and desirable properties of the Farrell efficiency index upon which they are constructed.
U2 - 10.1080/01605682.2018.1457486
DO - 10.1080/01605682.2018.1457486
M3 - Journal article
VL - 70
SP - 783
EP - 792
JO - Journal of the Operational Research Society
JF - Journal of the Operational Research Society
SN - 0160-5682
IS - 5
ER -
ID: 196260954