An Improved Approach on Sensitivity and Stability Analysis in DEA
As its title suggests, this paper considers a previous article published by Jahanshahloo et al. [G.R. Jahanshahloo, F. Hosseinzadeh, N. Shoja, M. Sanei, G. Tohidi, Sensitivity and stability analysis in DEA, Applied Mathematics and Computation 169(2) (2005) 897-904] where they developed a new approach for the sensitivity analysis of each efficient unit, say 〖DMU〗_p in the CCR, BCC and additive models by using defining hyperplanes that are binding at 〖DMU〗_p and the new frontier which is constructed by the omission of 〖DMU〗_pfrom the observations set. However, this paper finds that their approach is problematic in specifying the largest stability region and needs supplementary information for obtaining a proper region. Numerical demonstration reveals that for single input and single output problems both approaches represent the largest region. In dealing with multiple inputs and outputs, only some of the defining hyperplanes are identified, but our new supplement model produces a proper region.
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