This article explains how data envelopment analysis can be used as a decision support system to perform financial statement analysis and demonstrates the benefits DEA offers over traditional financial statement analysis techniques. A major advantage of the DEA approach is that it clearly identifies the factors contributing to the performance of company over its competitors.

introduction: establishing improvement in every organization requires assessment of organizational performance, planning and goal-setting to improve the performance. despite remarkable progresses occurred in recent years on designing the frameworks and performance evaluation systems, many organizations still rely on traditional criteria. therefore, according to the importance of performance eva...