A new benchmarking method to advance the two-model DEA approach: Evidence from a nursing home application

Dong Shang Chang, Fu Chiang Yang

Research output: Contribution to journalArticlepeer-review

4 Scopus citations

Abstract

Shimshak and Lenard (2007) [Shimshak, D. G. and Lenard, M. L. (2007), "A two-model approach to measuring operating and quality efficiency with DEA", INFOR, 45 (3): 143-151] introduced the Two-Model DEA (TM-DEA) approach for selecting high-operating and high-quality benchmarks in a nursing home case, in which the DEA outputs were derived from operating and quality performance objectives. This work proposes a Two-Objective DEA (TODEA) method, which enhances TM-DEA via three major features: (1) solution procedures do not require value judgments; (2) no DMUs (decision making units) are excluded from analysis; and (3) identified benchmark DMUs are not dominated by the corresponding inefficient DMUs under either operating or quality objective. To clarify the benefits of the proposed method, TODEA was compared with TM-DEA and classical DEA techniques in the nursing home example.

Original languageEnglish
Pages (from-to)83-94
Number of pages12
JournalINFOR
Volume48
Issue number2
DOIs
StatePublished - 1 May 2010

Keywords

  • benchmarking
  • Data envelopment analysis
  • nursing home
  • quality

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