Using DEA Cross-efficiency Evaluation for Suppliers Ranking in the Presence of Dual-role Factors

Abdollah Noorizadeh, Lappeenranta University of Technology, Finland
Mahdi Mahdiloo, University of Wollongong
Reza Farzipoor Saen, Islamic Azad University

Document Type Journal Article

Noorizadeh, A., Mahdiloo, M. & Saen, R. Farzipoor. (2012). Using DEA Cross-efficiency Evaluation for Suppliers Ranking in the Presence of Dual-role Factors. Trends in Applied Sciences Research, 7 (4), 314-323.

Abstract

For selecting suppliers, Data Envelopment Analysis (DEA), as a multiple criteria decision making tool, has been applied for several times. However, sometimes in supplier selection problem, there may exist some criteria which may be classified either an input or an output. These factors are known as dual-role factors. However, in traditional treatment of dual-role factors in DEA, free reign is given when deciding for each Decision Making Unit (DMU) which outputs and inputs to emphasize, many different avenues are present by which a DMU can appear efficient. Therefore, it is common to have many DMUs that are relatively efficient. In addition, since each DMU has its own set of weights, all of its weight might be put on a single output and input. Therefore, to overcome these drawbacks, this paper proposes a cross-efficiency model which is able to consider dual-role factors. A numeri

 

Link to publisher version (DOI)

http://dx.doi.org/10.3923/tasr.2012.314.32