Ranking of bank branches with undesirable and fuzzy data: A DEA-based approach

Kordrostami, Sohrab; Amirteimoori, Alireza; Jahani Sayyad Noveiri, Monireh

Document Type : Research Paper

Authors

¹ Lahijan Branch, Islamic Azad University

² Rasht Branch, Islamic Azad University

Abstract

Banks are one of the most important financial sectors in order to the economic development of each country. Certainly, efficiency scores and ranks of banks are significant and effective aspects towards future planning. Sometimes the performance of banks must be measured in the presence of undesirable and vague factors. For these reasons in the current paper a procedure based on data envelopment analysis (DEA) is introduced for evaluating the efficiency and complete ranking of decision making units (DMUs) where undesirable and fuzzy measures exist. To illustrate, in the presence of undesirable and fuzzy measures, DMUs are evaluated by using a fuzzy expected value approach and DMUs with similar efficiency scores are ranked by using constraints and the Maximal Balance Index based on the optimal shadow prices. Afterwards, the efficiency scores of 25 branches of an Iranian commercial bank are evaluated using the proposed method. Also, a complete ranking of bank branches is presented to discriminate branches.

Keywords

Main Subjects

Data Envelopment Analysis

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Iranian Journal of Optimization

Ranking of bank branches with undesirable and fuzzy data: A DEA-based approach

References

References

Jahanshahloo, G.R., Hosseinzadeh Lotfi, F., Sanaei, M., & Fallah Jelodar, M. (2008). Review of ranking models in data envelopment analysis. Applied Mathematical Science, 2(29) ,1431-1448.

Volume 8, Issue 2 - Serial Number 2
Autumn 2016
Pages 71-77

Ranking of bank branches with undesirable and fuzzy data: A DEA-based approach

References

References

Jahanshahloo, G.R., Hosseinzadeh Lotfi, F., Sanaei, M., & Fallah Jelodar, M. (2008). Review of ranking models in data envelopment analysis. Applied Mathematical Science, 2(29) ,1431-1448.

Volume 8, Issue 2 - Serial Number 2Autumn 2016Pages 71-77

Volume 8, Issue 2 - Serial Number 2
Autumn 2016
Pages 71-77