Fuzzy stochastic undesirable two-stage data envelopment analysis models with application to banking industry

Article type: Research Article

Authors: Nasseri, Seyed Hadi^{a; b; *} | Khatir, Mehdi Ahmadi^a

Affiliations: [a] Department of Mathematics, University of Mazandaran, Babolsar, Iran | [b] Department of Mathematics and Big Data, Foshan University, Foshan, Iran

Correspondence: [*] Corresponding author. Seyed Hadi Nasseri, E-mail: [email protected].

Abstract: This paper organizes a two-stage DEA models by taking into account undesirable output with fuzzy stochastic data. A normal distribution with fuzzy component adopted for inputs, intermediate outputs, desirable and undesirable outputs. We propose, finally, a linear and feasible model in deterministic form. To achieve this aim, a possibility-probability approach is applied on a reform of two-stage DEA models occupied with undesirable outputs. A case study in the banking industry is presented to exhibit the efficacy of the procedures and demonstrate the applicability of the proposed model. AMS Mathematics Subject Classification (2000): 62A86, 90C70

Keywords: Data envelopment analysis, Two-stage, Undesirable output, Fuzzy random variable, Efficiency score

DOI: 10.3233/JIFS-181684

Journal: Journal of Intelligent & Fuzzy Systems, vol. 37, no. 5, pp. 7047-7057, 2019