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Weight Restriction Approach in a Two-stage Network Structure: A DEA-based Approach

Author

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  • Azam Pourhabib Yekta
  • Mahnaz Maghbouli

Abstract

The standard data envelopment analysis model aimed to maximize the efficiency scores using the most favourable input/output weights. In two-stage network structures, the presence of intermediate undesirable measures leads to a distinct domain of weight restriction study. In the presence of undesirable intermediate measures and equipped with non-cooperative game theory, this study developes a joint weight restriction approach to derive a common set of weights. Concurrently, the overall efficiency of the system can be evaluated. Numerical instances of 34 OECD countries in 2012 have been presented to elucidate the details and applicability of the proposed method.

Suggested Citation

  • Azam Pourhabib Yekta & Mahnaz Maghbouli, 2024. "Weight Restriction Approach in a Two-stage Network Structure: A DEA-based Approach," Vikalpa: The Journal for Decision Makers, , vol. 49(4), pages 290-301, December.
  • Handle: RePEc:sae:vikjou:v:49:y:2024:i:4:p:290-301
    DOI: 10.1177/02560909241295830
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    References listed on IDEAS

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    1. Roll, Y & Golany, B., 1993. "Alternate methods of treating factor weights in DEA," Omega, Elsevier, vol. 21(1), pages 99-109, January.
    2. Liu, Wenbin & Zhou, Zhongbao & Ma, Chaoqun & Liu, Debin & Shen, Wanfang, 2015. "Two-stage DEA models with undesirable input-intermediate-outputs," Omega, Elsevier, vol. 56(C), pages 74-87.
    3. Cook, Wade D. & Liang, Liang & Zhu, Joe, 2010. "Measuring performance of two-stage network structures by DEA: A review and future perspective," Omega, Elsevier, vol. 38(6), pages 423-430, December.
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    Cited by:

    1. Lívia Mariana Lopes de Souza Torres & Francisco de Sousa Ramos, 2026. "Data envelopment analysis and game theory: Where are we? Where are we going?," Annals of Operations Research, Springer, vol. 358(2), pages 929-983, March.

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