this paper presents a deterministic approach for performance assessment of different province’s road safety level at iran. a data envelopment analysis (dea) model considering undesirable input and output indices and a multivariate statistical method, principle component analysis (pca) are used in this paper, while previous studies do not use composite pca-dea method and undesirable input and ou...

This research further develops the combined use of principal component analysis (PCA) and data envelopment analysis (DEA). The aim is to reduce the curse of dimensionality that occurs in DEA when there is an excessive number of inputs and outputs in relation to the number of decision-making units. Three separate PCA–DEA formulations are developed in the paper utilising the results of PCA to dev...

this paper presents an integrated data envelopment analysis (dea) – principal component analysis (pca) – analytical hierarchy process (ahp) to achieve the efficiency scores and ranks of the insurance companies. fourteen insurance companies with thirteen input and output variables have been considered for the purpose of this study. since the dea model is sensitive to the number of variables in c...

In this study, Data Envelopment Analysis (DEA) and Principal Component Analysis (PCA) were compared when these two methods are used for ranking Decision Making Units (DMU) with multiple inputs and outputs. DEA, a nonstatistical technique, is a methodology using a linear programming model for evaluating and ranking DMU’s performance. PCA, a multivariate statistical method, uses new measures defi...

Model misspecification has significant impacts on Data Envelopment Analysis (DEA) efficiency estimates. This paper discusses the four most widely-used approaches to guide variable specification in DEA. We analyze Efficiency Contribution Measure (ECM), Principal Component Analysis (PCA-DEA), a regression-based test, and bootstrapping for variable selection via Monte Carlo simulations to determin...

Within the data envelopment analysis context, problems of discrimination between efficient and inefficient decision-making units often arise, particularly if there are a relatively large number of variables with respect to observations. This paper applies Monte-Carlo simulation to generalize and compare two discrimination-improving methods; principal component analysis applied to data envelopme...

This paper analyzes the relationship between efficiency and innovation activity in Spanish industrial service sectors by introducing a new methodology framework. A model combining principal component analysis (PCA) data envelopment (DEA) is applied order to obtain an score. To achieve more comprehensive evaluation, large dataset included, but number of variables compared with decision-making un...