Measuring Allocntive Performance by using DEA Model when price and cost data are available

가격$\cdot$원가정보가 주어진 경우 배분적 성과를 측정하기 위한 DEA모형의 설계

  • 오동일 (상명대학교 금융보험학부)
  • Published : 2004.04.01

Abstract

Allocative efficiency measures the extents to which the technically efficient units falls shorts of achieving minimal cost. By using this measure manager can make decision about how to redistribute organizational resources to improve price efficiency. Allocative and overall efficiency are derived on the basis of budget line and cost minimization concept. The purpose of this study is to introduce the concept of allocative efficiency and propose two modified DEA models. Examples are provided to illustrate the similarities and the application procedure of the two model. By providing example and tracing the data application procedure, we found the same results but some cautions are needed to interpret the valuation.