Performance measurement of gas companies with fixed-sum inputs : a DEA-based model

Purpose: The paper analyzes the relative performance of provincial gas distribution companies with different types of inputs and outputs. A data envelopment analysis (DEA)-based model is developed to construct an equilibrium efficient frontier in the presence of multi-type input/output variables. Design/methodology/approach: A DEA-based model is developed to construct an equilibrium efficient frontier in the presence of multi-type input/output variables. Findings: It has been shown that using this single equilibrium efficient frontier, a trade-off is made between efficient and inefficient companies so as to make all companies as efficient. Originality/value: The study analyzes the relative performance of provincial gas distribution companies with different types of inputs and outputs. A DEA-based model is developed to construct an equilibrium efficient frontier in the presence of multi-type input/output variables. It has been shown that using this single equilibrium efficient frontier, a trade-off is made between efficient and inefficient companies so as to make all companies as efficient.