A literature review of DEA efficiency methodology in defence sector

Abstract

PurposeThe improvement in the efficiency of public management leads to an increase in the quality of services, boosting confidence in institutions and thus generating a multiplier effect. This paper aims to update the literature on the data envelopment analysis (DEA), which uses a frontier methodology, for measuring the efficiency applied to the defence sector.Design/methodology/approachTwo main research areas are related through this study: Defence Economics and Efficiency and Productivity Analysis. The frontier methods for measuring technical efficiency are grouped into parametric, non-parametric and semi-parametric. The DEA literature review in the selected sector allows to identify three main fields of work that are discussed in detail.FindingsExisting empirical research has hardly applied bootstrapping methods to remove bias from the estimates. No empirical work has applied an analysis of efficiency determinants by the inclusion of exogenous variables.Originality/valueThe managerial implications of efficiency are numerous. A line of research is proposed to examine the extent to which efficiency improvements have an impact on reputation and, therefore, on the image of and confidence in institutions. The link between Defence Economics and Corruption Economics is also considered.

Performance Evaluation of Public Hospitals with Data Envelopment Analysis (DEA) Method

“…There are many studies in the literature using the DEA method in different fields (Mardani et al, 2017;Soeyoshi et al, 2017;Ibanez et al, 2021;Rostamzadeh et al, 2021;Cui and Yu, 2021;Izadikhah, 2022). It is possible to come across studies using the DEA method in the field of health, as in many other sectors.…”

Performance Evaluation of Airports During the COVID-19 Pandemic

“…In this section of the research, a literature review of the studies carried out using the DEA and MCDM methods is given. It is possible to find many studies in the literature where the DEA method is applied in different areas [Markovits-Somogyi et al, 2011;Liu et al, 2013;Zhang et al, 2014;Emrouznejad, Yang, 2018;Paleckova, 2019;Ibanez et al, 2020].…”

“…The DEA method is one of the widely used methods to measure efficiency [Altın, 2014;Ersoy, 2021]. The DEA method has many application fields such as health, logistics, finance, education, international trade, production, aviation, and energy [Liu et al, 2013;Merkert, Mangia, 2014;Choi et al, 2015;Karimi and Barati, 2018;Ibanez et al, 2020;Ersoy, 2021]. Another method commonly used in performance evaluation is the TOPSIS method.…”

Uncontrollable Factors Analysis on Sustainable Highway Routine Maintenance Management: A Case Study of Shaanxi Province in China

“…In contrast to SFA, DEA does not necessitate any parametric assumptions about the production frontiers and employs linear programming techniques to assess the relative efficiency of organizations, making it well suited to multi-input and multi-output problems. Since its inception, DEA has been employed extensively for performance evaluation in a multitude of fields, including higher education, healthcare, supply chain management, the defense sector, and transportation [22][23][24][25][26][27].…”