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Local resource reallocation considering practical feasibility: a centralized data envelopment analysis approach

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  • Chih-Ching Yang

Abstract

Many studies have addressed resource allocation issues by using centralized data envelopment analysis models. However, few of them provided a local resource reallocation plan which may be carried out more easily. This article proposes two models to get such plans. The first one considers an acceptable percentage of changes in resources to ensure practical feasibility. The second one further considers a situation where resources can only be allowed to shift within specific units. The proposed models are applied to an empirical study based on a hospital system in Taiwan. To demonstrate the practical feasibility of the suggested plans, we compare our reallocation suggestions to a plan that can make the whole system be perfectly efficient. The main conclusion is that the plans derived from our models are more practically feasible than that with perfect efficiency.

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  • Chih-Ching Yang, 2017. "Local resource reallocation considering practical feasibility: a centralized data envelopment analysis approach," Applied Economics, Taylor & Francis Journals, vol. 49(56), pages 5709-5721, December.
    • Handle: RePEc:taf:applec:v:49:y:2017:i:56:p:5709-5721
    DOI: 10.1080/00036846.2017.1332754
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    Cited by:

    1. Gupta, Anshu & Pachar, Nomita & Jain, Akansha & Govindan, Kannan & Jha, P.C., 2023. "Resource reallocation strategies for sustainable efficiency improvement of retail chains," Journal of Retailing and Consumer Services, Elsevier, vol. 73(C).
    2. Contreras, I. & Lozano, S., 2020. "Allocating additional resources to public universities. A DEA bargaining approach," Socio-Economic Planning Sciences, Elsevier, vol. 71(C).
    3. Lozano, Sebastián & Contreras, Ignacio, 2022. "Centralised resource allocation using Lexicographic Goal Programming. Application to the Spanish public university system," Socio-Economic Planning Sciences, Elsevier, vol. 84(C).

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