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Resource allocation based on the DEA model

Author

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  • Lei Fang

    (Nankai University)

  • C-Q Zhang

    (Nanjing University)

Abstract

The purpose of this paper is to develop an approach to a resource-allocation problem that typically appears in organizations with a centralized decision-making environment, for example, police stations, banks, and universities. The central unit is assumed to be interested in maximizing both the total efficiency and the efficiency of the individual unit by allocating available resources to them. Building upon this, we present a data envelopment analysis-based model for allocating input resources to DMUs (the decision-making units) under the framework of multiple objective programming. Numerical examples are used to illustrate the approach.

Suggested Citation

  • Lei Fang & C-Q Zhang, 2008. "Resource allocation based on the DEA model," Journal of the Operational Research Society, Palgrave Macmillan;The OR Society, vol. 59(8), pages 1136-1141, August.
    • Handle: RePEc:pal:jorsoc:v:59:y:2008:i:8:d:10.1057_palgrave.jors.2602435
    DOI: 10.1057/palgrave.jors.2602435
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    References listed on IDEAS

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    Cited by:

    1. Kao, Chiang, 2014. "Network data envelopment analysis: A review," European Journal of Operational Research, Elsevier, vol. 239(1), pages 1-16.
    2. Hien Thu Pham & Antonio Peyrache, 2015. "Industry Inefficiency Measures: A Unifying Approximation Proposition," CEPA Working Papers Series WP102015, School of Economics, University of Queensland, Australia.
    3. Akram Dehnokhalaji & Mojtaba Ghiyasi & Pekka Korhonen, 2017. "Resource allocation based on cost efficiency," Journal of the Operational Research Society, Palgrave Macmillan;The OR Society, vol. 68(10), pages 1279-1289, October.
    4. Xiong, Xi & Yang, Guo-liang & Zhou, De-qun & Wang, Zi-long, 2022. "How to allocate multi-period research resources? Centralized resource allocation for public universities in China using a parallel DEA-based approach," Socio-Economic Planning Sciences, Elsevier, vol. 82(PB).
    5. Yongjun Li & Feng Li & Ali Emrouznejad & Liang Liang & Qiwei Xie, 2019. "Allocating the fixed cost: an approach based on data envelopment analysis and cooperative game," Annals of Operations Research, Springer, vol. 274(1), pages 373-394, March.
    6. Peyrache, Antonio, 2015. "Cost constrained industry inefficiency," European Journal of Operational Research, Elsevier, vol. 247(3), pages 996-1002.
    7. Mostafa Davtalab-Olyaie & Hadis Mahmudi-Baram & Masoud Asgharian, 2023. "Measuring individual efficiency and unit influence in centrally managed systems," Annals of Operations Research, Springer, vol. 321(1), pages 139-164, February.
    8. Contreras, I. & Lozano, S., 2020. "Allocating additional resources to public universities. A DEA bargaining approach," Socio-Economic Planning Sciences, Elsevier, vol. 71(C).
    9. Feng Li & Qingyuan Zhu & Liang Liang, 2019. "A new data envelopment analysis based approach for fixed cost allocation," Annals of Operations Research, Springer, vol. 274(1), pages 347-372, March.
    10. Lorenzo Castelli & Raffaele Pesenti & Walter Ukovich, 2010. "A classification of DEA models when the internal structure of the Decision Making Units is considered," Annals of Operations Research, Springer, vol. 173(1), pages 207-235, January.
    11. Luo, Zhengying & Chiu, Yung-Ho & Tang, Lingling & Xu, Yayun & Lu, Ching-Cheng, 2016. "Industrial Enterprises' Innovation Efficiency And The Influence Of Capital Source: Based On Statistical Data Of Industrial Enterprises In Jiangsu Province," Hitotsubashi Journal of Economics, Hitotsubashi University, vol. 57(2), pages 175-193, December.
    12. Ang, Sheng & Liu, Pei & Yang, Feng, 2020. "Intra-Organizational and inter-organizational resource allocation in two-stage network systems," Omega, Elsevier, vol. 91(C).
    13. Fang, Lei, 2013. "A generalized DEA model for centralized resource allocation," European Journal of Operational Research, Elsevier, vol. 228(2), pages 405-412.
    14. Wang Hong Li & Liang Liang & Sonia Valeria Avilés-Sacoto & Raha Imanirad & Wade D. Cook & Joe Zhu, 2017. "Modeling efficiency in the presence of multiple partial input to output processes," Annals of Operations Research, Springer, vol. 250(1), pages 235-248, March.
    15. Mehdi Soltanifar & Farhad Hosseinzadeh Lotfi & Hamid Sharafi & Sebastián Lozano, 2022. "Resource allocation and target setting: a CSW–DEA based approach," Annals of Operations Research, Springer, vol. 318(1), pages 557-589, November.
    16. Afsharian, Mohsen & Ahn, Heinz & Harms, Sören Guntram, 2021. "A review of DEA approaches applying a common set of weights: The perspective of centralized management," European Journal of Operational Research, Elsevier, vol. 294(1), pages 3-15.
    17. Liesiö, Juuso & Andelmin, Juho & Salo, Ahti, 2020. "Efficient allocation of resources to a portfolio of decision making units," European Journal of Operational Research, Elsevier, vol. 286(2), pages 619-636.

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