An Overview of Methodologal Issues in Data Envelopment Analysis: a Primer for Applied Researchers

• Main Authors: Viera Mendelová, Pavol Kráľ
• Format: Article
• Language: English
• Published: Czech Statistical Office 2021-09-01
• Series: Statistika: Statistics and Economy Journal
• Subjects: dea; methodology
• Online Access: https://www.czso.cz/documents/10180/143550799/32019721q3_329-350_mendelova_methodology.pdf/c65f2e5d-3dad-4a7a-b847-b5c6ab3d83f9?version=1.1

Data envelopment analysis (DEA) as a method of measuring the efficiency of decision-making units (DMUs) has become an attractive tool used in managerial decision-making in many real-world applications. However, like other sophisticated methods, the application of DEA to a selected decision problem is not straightforward and requires to be carried out in a sequence of successive phases. Moreover, the practical application of DEA presents a range of procedural issues to be examined and resolved. The paper provides a concise guidance through individual steps of DEA analysis process focusing on applied researchers. It includes comprehensive overview of possible issues together with recommendations and hints of possible solutions supported by references to relevant literature pres nting more details and alternative viewpoints.