Group Performance Evaluation, An Application of Data Envelopment Analysis

The contribution of this paper is to provide an approach for evaluating the performance of a group of decision making units (DMUs) based on the production technology. Group evaluation is an application of data envelopment analysis (DEA). DEA uses linear programming to provide a suitable technique to estimate a multiple-input/multiple-output empirical e.cient function. In this paper, an approach for evaluating the performance of a group of DMUs is proposed. Suppose A is a subset of J. On the basis of the observed inputs-outputs of DMUs in A and under the five assumptions, the respective PPS of A is denoted by T A and defined as follows:TA (1)where, for convenience, instead of DMUj A, we write j A. The output distance function of the input-output vector (X, Y ) related to set A is defined as