4.5 Article

Assessing sustainability of supply chains by chance-constrained two-stage DEA model in the presence of undesirable factors

Journal

COMPUTERS & OPERATIONS RESEARCH
Volume 100, Issue -, Pages 343-367

Publisher

PERGAMON-ELSEVIER SCIENCE LTD
DOI: 10.1016/j.cor.2017.10.002

Keywords

Sustainability of supply chain; Chance-constrained data envelopment analysis (DEA); Intermediate products; Efficiency; Two-stage DEA model; Undesirable data; Stochastic data

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Sustainable supply chain is recognized as a key component of corporate responsibility. Despite conventional data envelopment analysis (DEA) models that view decision making units (DMUs) as black boxes, two-stage DEA models take into account intermediate measures within a DMU. However, there might be stochastic data. Objective of this paper is to present a new stochastic two-stage DEA model in the presence of undesirable data. We present some linear models that obtain lower and upper bounds of efficiencies of stages 1 and 2. Also, we propose a linear model that calculates overall efficiency of DMUs. Meanwhile, we extend our proposed model for dealing with stochastic data in the presence of undesirable data. A case study demonstrates applicability of our approach. (C) 2017 Elsevier Ltd. All rights reserved.

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