Title: Developing a neutral slacks-based measure for production line selection

Authors: Majid Azadi; Reza Farzipoor Saen

Addresses: Faculty of Management and Economics, Islamic Azad University – Science and Research Branch, Tehran, Iran ' Faculty of Management and Accounting, Department of Industrial Management, Islamic Azad University – Karaj Branch, P.O. Box 31485-313, Karaj, Iran

Abstract: Production line selection has a strategic importance for every company. One of the techniques that can be used for selecting production line is data envelopment analysis (DEA). Traditional DEA models such as Charnes-Cooper-Rhodes and Banker-Charnes-Cooper can only measure radial efficiency (weak efficiency). To measure strong efficiency in DEA, Tone (2001) proposed slacks-based measure (SBM). This model deals directly with the input excesses and output shortfalls. The objective of this paper is to propose a neutral SBM for selecting the best production line. A case study demonstrates the application of the proposed model.

Keywords: production line selection; DEA; data envelopment analysis; cross-efficiency models; slacks-based measure; NSBM; neutral SBM; aggressive model; benevolent model; modelling.

DOI: 10.1504/IJOR.2012.050145

International Journal of Operational Research, 2012 Vol.15 No.4, pp.359 - 370

Published online: 11 Jan 2015 *

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