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Evaluation of Centralized Organizations Performance with Interval Data

Abstract

Data envelopment analysis is an appropriate way for recognizing efficient and inefficient units. A way for converting inefficient units to efficient ones is to decrease the number of personnel’s allocated to those units, by assuming that personnel decreasing doesn’t change the output level of the units. Although those units that seems efficient, their work volume maybe large and by this number of personnel they can’t continue such services in long term. Thus, to prevent this number of dismissed personnel of inefficient units can be reallocated to efficient units. This action causes equality of work volume between units of a centralized organization. This paper has evaluated independent unit efficiency of a centralized organization (fire department) with interval data, and with the aim of saving time and cost and in order to increase independent units efficiency a design in form reallocation of inputs have been proposed.

Keywords

Data envelopment analysis (DEA); Performance evaluation; Centralized organization; Reallocations, Interval data.

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