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Ranking units by target-direction-set value efficiency analysis and mixed integer programming

Büyükbaşaran, Tayyar
In this thesis, two methods are proposed in order to rank units: Target-direction-set value efficiency analysis (TDSVEA) and mixed integer programming (MIP) technique. Besides its ranking ability based on preferences of a decision maker (DM), TDSVEA, which modifies the targeted projection approach of Value Efficiency Analysis (VEA) and Data Envelopment Analysis (DEA), provides important information to analyzer: targets and distances of units from these targets, proposed input allocations in order to project these targets, the lack of harmony between the DM and the manager of the unit etc. In MIP technique, units select weights of the criteria from a feasible weight space in order to outperform maximum number of other units. Units are then ranked according to their outperforming ability. Mixed integer programs in this technique are simplified by domination and weight-domination relations. This simplification procedure is further simplified using transitivity between relations. Both TDSVEA and MIP technique are applied to rank research universities and these rankings are compared to those of other ranking techniques.