Ranking of DMUs Based on Efficiency Intervals
Kochi University, 2-5-1 Akebono, Kochi, Japan
The efficiency of the Interval Data Envelopment Analysis (Interval DEA), we proposed, obtains its bounds from optimistic and pessimistic viewpoints. Intervals represent the uncertainty of given input-output data and the intuitive evaluation of decision makers. The partial order relation that intervals give elements may be complex, especially when elements are numerous. The efficiency measurement we propose combining optimistic and pessimistic efficiency in Interval DEA is comparable because both represent the difference of the analyzed Decision Making Unit (DMU) from the most efficient one. The efficiency measurement is defined as their minimum and determined mainly by pessimistic efficiency. Optimistic efficiency is considered if it is inadequate compared to pessimistic efficiency. Pessimistic efficiency based evaluation resembles natural evaluation and DMUs are arranged linearly.
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