Abstract
This work exploits links between Data Envelopment Analysis (DEA) and multicriteria decision analysis (MCDA), with decision making units (DMUs) playing the role of decision alternatives. A novel perspective is suggested on the use of the additive DEA model in order to overcome some of its shortcomings, using concepts from multiattribute utility models with imprecise information. The underlying idea is to convert input and output factors into utility functions that are aggregated using a weighted sum (additive model of multiattribute utility theory), and then let each DMU choose the weights associated with these functions that minimize the difference of utility to the best DMU. The resulting additive DEA model with oriented projections has a clear rationale for its efficiency measures, and allows meaningful introduction of constraints on factor weights.
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Acknowledgements
The authors wish to thank the remarks of an anonymous referee. This research was partially supported by FCT/FEDER Grants POSI/SRI/37346/2001 and POCI/EGE/58371/2004.
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Gouveia, M., Dias, L. & Antunes, C. Additive DEA based on MCDA with imprecise information. J Oper Res Soc 59, 54–63 (2008). https://doi.org/10.1057/palgrave.jors.2602317
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DOI: https://doi.org/10.1057/palgrave.jors.2602317