Little attention has been paid to the aggregation process of multiperiod efficiencies by considering the decision maker's time preference. This paper introduces two time ordered weighted perators to time-series data envelopment analysis (DEA) to obtain multiperiod aggregative efficiency. This idea allows the decision maker to take into account time preference in the final efficiency evaluation, and the results are more scientific and reasonable. The aggregated efficiency of the DMU under different time preferences can be used to account for the changing patterns of efficiency frontier over multiple periods. In addition, we prove that the first method proposed by Xie, et al. for ranking DMUs in time-series DEA is equal to the arithmetic weighted average method under special
condition. A numerical example shows the effectiveness and usefulness of making use of time preference in evaluating multiperiod aggregative efficiency.
LAN Yixin, WANG Yingming.
EVALUATION OF MULTIPERIOD AGGREGATIVE EFFICIENCY IN CONSIDERATION OF DECISION MAKER’S TIME PREFERENCE. Journal of Systems Science and Mathematical Sciences, 2014, 34(3): 257-272 https://doi.org/10.12341/jssms12291