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Productivity and customer satisfaction in Swedish pharmacies: A DEA network model
Institution:1. School of Business Administration, Southwestern University of Finance and Economics, Chengdu 611130, China;2. School of Management, University of Science and Technology of China, Hefei, Anhui Province 230026, China;3. School of Business Administration, Shanghai Lixin University of Accounting and Finance, Shanghai 201209, China;1. Department of Mathematics, College of Science, Arak Branch, Islamic Azad University, Arak, Iran, P.O. Box: 38135/567;2. Department of Industrial Management, Faculty of Management and Accounting, Karaj Branch, Islamic Azad University, Karaj, Iran, P. O. Box: 31485-313;1. Decision Science Institute, School of Economics & Management, Fuzhou University, Fuzhou 350116, PR China;2. Key Laboratory of Spatial Data Mining & Information Sharing of Ministry of Education, Fuzhou University, Fuzhou 350116, PR China
Abstract:This paper presents a Data Envelopment Analysis (DEA) network model that allows inclusion of customer satisfaction in efficiency and productivity measures. The network consists of a production node and a consumption node and offers flexibility in modelling the production and consumption process where a firm-specific allocation of input resources to production and customer oriented activities is allowed. The proposed model is applied on a sample of Swedish pharmacies with organizational objectives that necessitates a monitoring of efficiency and productivity as well as customer satisfaction. Estimation results from the network model and a direct productivity model (without customer satisfaction) are compared and indicate that the technical efficiency is lower under the network model. The productivity results indicate productivity progress under both models, albeit with a slower rate of change under the network model.
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