An improvement on the Tracy and Chen model ‘A generalized model for weight restrictions in DEA’

Abstract

Recently Tracy and Chen presented a parametric DEA model (PDEA) to assess relative efficiency in the presence of a generalized form of linear weight restrictions. This paper proposes a modification to the PDEA model that avoids the need to resort to searching algorithms to estimate efficiency, and assures that the correct efficiency scores are obtained in a single stage using mathematical programming solvers. The results of this model and the results of Tracy and Chen's PDEA model are compared using the examples reported in their paper. The results confirm the superiority of the model proposed in this paper.

Keywords:

• data envelopment analysis
• relative efficiency
• generalized weight restrictions