Measurement of simultaneous scale and mix changes in inputs and outputs using DEA facets and RTS

Measurement of simultaneous scale and mix changes in inputs and outputs using DEA facets and RTS

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Article ID: iaor20125956
Volume: 223
Issue: 3
Start Page Number: 752
End Page Number: 761
Publication Date: Dec 2012
Journal: European Journal of Operational Research
Authors: ,
Keywords: statistics: data envelopment analysis, manufacturing industries
Abstract:

We show a new use of the efficient facets in DEA. Specifically, once we have identified all facets of the DEA technology, we are able to estimate the potential changes in some inputs and outputs, while fixing other inputs and outputs, ranges of simultaneous scale and mix changes in inputs and outputs, while proportionally increasing or decreasing other inputs and outputs, and, finally, the RTS. The proposed algorithms are applied to corporate planning processes of chemical companies.

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