×

A mathematical model for dynamic efficiency using data envelopment analysis. (English) Zbl 1079.91053

Summary: We propose a data envelopment analysis (DEA) based method for assessing the comparative efficiencies of units operating production processes where input-output levels are inter-temporally dependent. One cause of inter-temporal dependence between input and output levels is capital stock which influences output levels over many production periods. Such units cannot be assessed by traditional or ‘static’ DEA which assumes input-output correspondences are contemporaneous in the sense that the output levels observed in a time period are the product solely of the input levels observed during that same period. The method developed in the paper overcomes the problem of inter-temporal input-output dependence by using input-output ‘paths’ mapped out by operating units over time as the basis of assessing them. As an application we compare the results of the dynamic and static model for a set of UK universities. The paper is suggested that dynamic model capture the efficiency better than static model.

MSC:

91B38 Production theory, theory of the firm
91B62 Economic growth models

Software:

DEA
PDF BibTeX XML Cite
Full Text: DOI

References:

[1] Abel, A.B.; Mankiw, N.G.; Summer, L.H.; Zeckhauser, R.J., Assessing dynamic efficiency: theory and evidence, Review of economics studies, 56, 1-20, (1989) · Zbl 0661.90019
[2] Banker, R.D.; Charnes, A.; Cooper, W.W., Some models for estimating technical and scale inefficiency in data envelopment analysis, Management science, 30, 9, 1078-1092, (1984) · Zbl 0552.90055
[3] Beasley, J.E., Comparing university departments, OMEGA international journal of management science, 18, 2, 171-183, (1989)
[4] Burmeister, E., Capital theory and dynamics, (1980), Cambridge University Press Cambridge
[5] ()
[6] Charnes, A.; Cooper, W.W.; Rhodes, E., Measuring the efficiency of decision making units, European journal of operational research, 2, 6, 429-444, (1978) · Zbl 0416.90080
[7] Färe, R.; Grosskopf, Sh.; Lindgren, B.; Roos, P., Productivity changes in swedish pharmacies 1980-1989: a non-parametric Malmquist approach, Journal of productivity analysis, 3, 85-101, (1992)
[8] HESA Publications, 1994-1999. Resources of Higher Education Institutions, Available from <www.hesa.ac.uk> · Zbl 1324.68206
[9] Sengupta, K., Dynamics of data envelopment analysis: theory of system efficiency, (1995), Kluwer Academic Publishers Dordrecht, London · Zbl 0873.90004
[10] Thanassoulis, E., Introduction to the theory and application of data envelopment analysis: A foundation text with integrated software, (2001), Kluwer Academic Publishers Boston
[11] Tulkens, H.; Eeckant, P.V., Nonparametric efficiency: progress and regress measures for panel data. methodological aspects, European journal of operational research, 80, 3, 474-499, (1995) · Zbl 0928.91028
This reference list is based on information provided by the publisher or from digital mathematics libraries. Its items are heuristically matched to zbMATH identifiers and may contain data conversion errors. It attempts to reflect the references listed in the original paper as accurately as possible without claiming the completeness or perfect precision of the matching.