Models for Identifying Target Units in Data Envelopment Analysis: Comparison and Extension.
In addition to the efficiency scores, Data Envelopment Analysis also provides the inefficient DMUs with information on reference units which lie on the efficient frontier. Reference units are traditionally found by projecting the inefficient DMUs radially to the efficient surface. However, there may exist some other efficient solutions, which are better targets. This means that it is possible to find an input-output mix that is more suitable for example from a managerial point of view. The purpose of this paper is to compare and contrast existing models for searching the most preferred reference units as targets for inefficient units, and based on that to present a dynamic and interactive way to provide these targets in Data Envelopment Analysis based on Multiple Objective Linear Programming.
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