Cross-Efficiency Evaluation Method with Compete-Cooperate Matrix

Abstract

Cross-efficiency evaluation method is an effective and widespread adopted data envelopment analysis (DEA) method with self-assessment and peer-assessment to evaluate and rank decision making units (DMUs). Extant aggressive, benevolent, and neutral cross-efficiency methods are used to evaluate DMUs with competitive, cooperative, and nontendentious relationships, respectively. In this paper, a symmetric (nonsymmetric) compete-cooperate matrix is introduced into aggressive and benevolent cross-efficiency methods and compete-cooperate cross-efficiency method is proposed to evaluate DMUs with diverse (relative) relationships. Deviation maximization method is applied to determine the final weights of cross-evaluation to enhance the differentiation ability of cross-efficiency evaluation method. Numerical demonstration is provided to illustrate the reasonability and practicability of the proposed method.