There are some specific features of the non-radial DEA (data envelopment analysis) models which cause some problems under the returns to scale measurement. In the scientific literature on DEA, some methods were suggested to deal with the returns to scale measurement in the non-radial DEA models. These methods are based on using Strong Complementary Slackness Conditions in the optimization theor...

Data Envelopment Analysis (DEA) is a non-parametric method for evaluating the efficiency of Decision Making Units (DMUs) with multiple inputs and outputs. In the traditional DEA models, the DMU is allowed to use its most favorable multiplier weights to maximize its efficiency. There is usually more than one efficient DMU which cannot be further discriminated. Evaluating DMUs with different mult...

• We compute estimates of inefficiency when its distribution is unknown in Stochastic Frontier Models (SFMs) and Data Envelopment Analysis (DEA). Our procedure based on the Fast Fourier Transform (FFT) utilizes empirical characteristic function. The new techniques perform well Monte Carlo experiments. They deliver reasonable results an application to large U.S. banks. Deconvolution DEA scores w...

This paper presents aggregated cost efficiency scores for a balanced panel of British and Irish credit institutions and relates these scores to loan loss reserves as a first step in investigating their usefulness as possible indicators of financial fragility. The efficiency scores are obtained using the two most popular methods of efficiency measurement – data envelopment analysis (DEA) and the...

In Chen, Cook, Kao, and Zhu (2013), it is demonstrated, as a network DEA pitfall, that while the multiplier and envelopment DEA models are dual models and equivalent under the standard DEA, such is not necessarily true for the two types of network DEAmodels in deriving divisional efficiency scores and frontier projections. As a reaction to this work, we demonstrate that the duality in the stand...

Optimisation of facility layout design problem with safety and environmental factors by stochastic DEA and simulation approach A. Azadeh, T. Nazari & H. Charkhand a School of Industrial and Systems Engineering and Center of Excellence for Intelligent Based Experimental Mechanics, University College of Engineering, University of Tehran, Tehran, Iran b HSE Department, National Petrochemical Compa...

Data Envelopment Analysis (DEA) is traditionally based on the axiom of convex production possibility sets. In many research situations this axiom is considered overly restrictive, and recent research has focused on finding suitable ways of relaxing it. Unfortunately, there currently is no consensus in the DEA field on why and how to account for non-convexities. This paper explores empirical evi...

This paper uses the DEA models to rank the efficiency of Indian non-life insurance firms over the period 2008-2013 with Expenses, Capital, Premium and Investment income variables in the modelling. These basic DEA models identify adequately the inefficient firms, but are weak in discriminating among those found to be efficient. To improve the discrimination, we used the Cross-Efficiency and the ...