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author:

Shi, Hai-Liu (Shi, Hai-Liu.) [1] | Chen, Sheng-Qun (Chen, Sheng-Qun.) [2] | Chen, Lei (Chen, Lei.) [3] (Scholars:陈磊) | Wang, Ying-Ming (Wang, Ying-Ming.) [4] (Scholars:王应明)

Indexed by:

SSCI EI Scopus SCIE

Abstract:

Cross-efficiency evaluation methods have long been suggested as an alternative for the ranking of decision making units (DMUs) in data envelopment analysis (DEA). So far, little research on cross-efficiency evaluation takes the bounded rationality of DMUs into account. In this paper, we propose a neutral cross-efficiency evaluation method based on interval reference points (IRPs) to consider bounded rational behavior. As such, we take the prospect value, which reflects the bounded rationality of DMUs when facing gain and loss, as secondary goals. This approach allows us to determine the input and output weights for each DMU from its own point of view. Each reference point (RP) of the prospect value is defined as an elastic interval reference point (IRP), which can degenerate into a precise reference point (PRP) or an IRP by adjusting the parameters. As a result, the proposed cross-efficiency evaluation method not only takes the bounded rational behavior of DMUs into account, but is also more neutral and flexible. Numerical examples are provided to illustrate the applications of the cross-efficiency evaluation method based on IRPs in DEA ranking. (C) 2020 Elsevier B.V. All rights reserved.

Keyword:

Bounded rational behavior Cross-efficiency evaluation Data envelopment analysis Interval reference point (IRP) Neutral attitude

Community:

  • [ 1 ] [Shi, Hai-Liu]Fujian Jiangxia Univ, Sch Elect Informat Sci, Fuzhou 350108, Peoples R China
  • [ 2 ] [Chen, Sheng-Qun]Fujian Business Univ, Sch Informat Engn, Fuzhou 350506, Peoples R China
  • [ 3 ] [Chen, Lei]Fuzhou Univ, Decis Sci Inst, Fuzhou 350116, Peoples R China
  • [ 4 ] [Wang, Ying-Ming]Fuzhou Univ, Decis Sci Inst, Fuzhou 350116, Peoples R China

Reprint 's Address:

  • 王应明

    [Wang, Ying-Ming]Fuzhou Univ, Decis Sci Inst, Fuzhou 350116, Peoples R China

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Source :

EUROPEAN JOURNAL OF OPERATIONAL RESEARCH

ISSN: 0377-2217

Year: 2021

Issue: 3

Volume: 290

Page: 1098-1110

6 . 3 6 3

JCR@2021

6 . 0 0 0

JCR@2023

ESI Discipline: ENGINEERING;

ESI HC Threshold:105

JCR Journal Grade:1

CAS Journal Grade:2

Cited Count:

WoS CC Cited Count: 30

SCOPUS Cited Count: 29

ESI Highly Cited Papers on the List: 0 Unfold All

WanFang Cited Count:

Chinese Cited Count:

30 Days PV: 5

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