| Article ID: | iaor19972573 |
| Country: | Japan |
| Volume: | 39 |
| Issue: | 4 |
| Start Page Number: | 604 |
| End Page Number: | 613 |
| Publication Date: | Dec 1996 |
| Journal: | Journal of the Operations Research Society of Japan |
| Authors: | Tone Kaoru |
| Keywords: | performance, programming: linear, programming: multiple criteria, measurement |
This paper will present a simple method for deciding the local returns-to-scale characteristics of DMUs (Decision Making Units) in Data Envelopment Analysis. This method proceeds as follows: first, solve the BCC (Banker Charnes-Cooper) model and find the returns-to-scale of BCC-efficient DMUs and a reference set to each BCC-inefficient DMU. The paper can then decide the local returns-to-scale characteristics of each BCC-inefficient DMU by observing only the returns-to-scale characteristics of DMUs in their respective reference sets. No extra computation is required. The paper can apply this method to the output-oriented model and to the additive model as well.