A new cross-efficiency ranking method in group decision making environment

Article type: Research Article

Authors: Wu, Meiqin | Hou, Xiaoqing | Fan, Jianping^{; *}

Affiliations: School of Economics and Management, Shanxi University, Taiyuan, China

Correspondence: [*] Corresponding author. Jianping Fan, School of Economics and Management, Shanxi University, Taiyuan 030006, China. E-mail: [email protected].

Abstract: As an extended model of data envelopment analysis (DEA), cross-efficiency is utilized in various fields. It applies the relative evaluation values of homogeneous decision-making units (DMUs) in ranking completely. Due to the non-uniqueness of DEA optimal weights, and the cross-efficiency methods focus on the aggregation of cross-efficiency matrix values. There is a low correction between the final efficiency evaluation value and the value assigned to the criteria weight or the value of the criteria. This paper uses the modified aggressive cross-efficiency model to calculate the weights of the decision-making units (DMUs). Then according to the consistency of peer-evaluation criteria, the entropy weight method is used to aggregate the index weights to generate a set of common weights, and a new Measurement of Alternatives and Ranking according to Compromise Solution (MARCOS) method is used to calculate the utility score of DMUs that can rank them completely. Finally, a numerical case of supplier selection is offered to illustrate the feasibility and effectiveness of the proposed method.

Keywords: Cross-efficiency, group decision-making, criteria utility, MARCOS method

DOI: 10.3233/JIFS-210279

Journal: Journal of Intelligent & Fuzzy Systems, vol. 41, no. 2, pp. 3107-3119, 2021