A LINEAR BILEVEL PROGRAMMING PROBLEM FOR OBTAINING THE CLOSEST TARGETS AND MINIMUM DISTANCE OF A UNIT FROM THE STRONG EFFICIENT FRONTIER

Data envelopment analysis (DEA) can be used for assessing the relative efficiency of a number of operating units, finding, for each unit, a target operating point lying on the strong efficient frontier. Most DEA models project an inefficient unit onto a most distant target, which makes its attainment more difficult. In this paper, a linear bilevel programming problem for obtaining the closest targets and minimum distance of a unit from the strong efficient frontier by different norms is provided. The idea behind this approach is that closer targets determine less demanding levels of operation for the inputs and outputs of the units to perform efficiently. Finally, it will be shown that the proposed method is an extension of the existing methods.