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On how to properly calculate the Euclidean distance-based measure in DEA
Abstract:Recently, in a data envelopment analysis framework, Amirteimoori and Kordrostami [A Euclidean distance-based measure of efficiency in data envelopment analysis, Optimization 59 (2010), pp. 985–996] introduced a Euclidean distance-based measure of efficiency in order to obtain the shortest path to the strongly efficient frontier from an assessed unit. In this article, we show a drawback of the aforementioned approach and two examples of its consequences. In order to overcome this weakness, we slightly modify a model introduced by Aparicio et al. [Closest targets and minimum distance to the Pareto-efficient frontier in DEA, J. Prod. Anal. 28 (2007), pp. 209–218].
Keywords:data envelopment analysis  efficiency measure  Euclidean distance
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