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The nearest MPSS pattern in data envelopment analysis

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Abstract

The concept of Returns to scale is an important topic in data envelopment analysis since it identifies whether the expansion or contraction of the unit under assessment is beneficial. The quantity of the beneficial expansion or contraction is determined by introducing a most productive scale size (MPSS) pattern. This paper aims at introducing a notion of the nearest MPSS pattern which is the closest MPSS pattern among the others. By the aid of this pattern, a unit would be able to reach its optimal size more easily and by small changes in its inputs and outputs. Finding such a pattern is investigated through BCC and multiplicative models.

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Acknowledgments

The authors would like to thank anonymous reviewers for their helpful suggestions during the revision of this paper. This article is based on a research project supported by Islamic Azad University, Neyshabur Branch. Therefore, the authors wish to thank the Islamic Azad University, Neyshabur Branch, for financial support.

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Correspondence to A. Davoodi.

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Davoodi, A., Zarepisheh, M. & Rezai, H.Z. The nearest MPSS pattern in data envelopment analysis. Ann Oper Res 226, 163–176 (2015). https://doi.org/10.1007/s10479-014-1670-y

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