Multiparametric sensitivity analysis of the additive model in data envelopment analysis |
| |
Authors: | Sanjeet Singh |
| |
Affiliation: | Indian Institute of Management Calcutta, D.H. Road, Joka, Kolkata 700104, IndiaE‐mail: sanjeet@iimcal.ac.in |
| |
Abstract: | In this paper, we study multiparametric sensitivity analysis of the additive model in data envelopment analysis using the concept of maximum volume in the tolerance region. We construct critical regions for simultaneous and independent perturbations in all inputs/outputs of an efficient decision making unit. Necessary and sufficient conditions are derived to classify the perturbation parameters as “focal” and “nonfocal.” Nonfocal parameters can have unlimited variations because of their low sensitivity in practice and these parameters can be deleted from the final analysis. For focal parameters a maximum volume region is characterized. Theoretical results are illustrated with the help of a numerical example. |
| |
Keywords: | data envelopment analysis additive model linear programming sensitivity analysis tolerance approach parametric analysis maximum volume region |
|
|