Using data envelopment analysis to compare project efficiency in a multi-project environment

Using data envelopment analysis to compare project efficiency in a multi-project environment

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Article ID: iaor2007639
Country: United Kingdom
Volume: 24
Issue: 4
Start Page Number: 323
End Page Number: 329
Publication Date: May 2006
Journal: International Journal of Project Management
Authors: , ,
Keywords: statistics: data envelopment analysis
Abstract:

Data envelopment analysis (DEA) is currently applied to ongoing organizations such as hospitals, police stations, schools, etc. This paper investigates the possibility of using the DEA approach for evaluating the performances of projects in a multi-project environment, where each project is usually a one-time non-repeated event. Projects are evaluated by the earned value management system (EVMS) and the multidimensional control system (MPCS) methods. In this environment, it is usually necessary to reduce the number of outputs and inputs not to exceed the number of projects. This paper deals with a method for their reduction. The paper illustrates a detailed example on how to apply and interpret the DEA method in a multi-project environment.

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