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Route-based data envelopment analysis models

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  • Chiou, Yu-Chiun
  • Lan, Lawrence W.
  • Yen, Barbara T.H.

Abstract

This paper proposes two novel route-based data envelopment analysis (DEA) models that jointly measure the route-level and company-level efficiencies amongst transport carriers. The core logics comprise a three-stage procedure that determines company efficiency, route efficiency and optimal allocation ratios for the common inputs. We prove that the ranking order of company performance determined by the route-based DEA model is identical to that determined by the company-based DEA model. An empirical case demonstrates the superiority of the proposed models in identifying the less efficient routs/companies as well as in reducing the input slacks without subjective conjectures.

Suggested Citation

  • Chiou, Yu-Chiun & Lan, Lawrence W. & Yen, Barbara T.H., 2012. "Route-based data envelopment analysis models," Transportation Research Part E: Logistics and Transportation Review, Elsevier, vol. 48(2), pages 415-425.
    • Handle: RePEc:eee:transe:v:48:y:2012:i:2:p:415-425
    DOI: 10.1016/j.tre.2011.10.006
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