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Chinese Journal of Management Science ›› 2005, Vol. ›› Issue (6): 91-96.

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A Generalized Value Efficiency Model for Data Envelopment Analysis

LI Chun-hao, CHEN Xu, LIANG Qiong, SUN Yong-he   

  1. School of Management, Jilin University, Changchun 130025, China
  • Received:2005-01-30 Revised:2005-10-20 Online:2005-12-28 Published:2012-03-07

Abstract: Aiming at overcoming the drawback of unreasonable weight flexibility in Data Envelopment Analysis(DEA),this paper presents an Applicable Generalized Value Efficiency Model(AGVEM)for DEA to measure the value efficiency of decision-making units(DMU).The AGVEM is for cases in which the decision-maker’s preference functions on outputs are nonlinear.The model is given by way of generalizing the basic theorem of DEA to accommodate value preference estimates on DMU’s outputs,through which weight assurance regions for DEA value efficiency analysis could scientifically and reasonably be introduced using the principle of multiple criteria decision making.A data experiment for verifying the AGVEM shows that the model is able to produce more reliable and powerful conclusions on DMU-discrimination.

Key words: Data Envelopment Analysis, value efficiency, multiple criteria decision making, weight assurance region, value preference

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