Dynamic network range-adjusted measure vs. dynamic network slacks-based measure

This workshop is supported by JSPS KAKENHI Grant Number 22310095 under the title “Theory and Applications of Dynamic DEA with Network Structure.”We formulate weighted, dynamic network range-adjusted measure (D-NRAM) and dynamic network slacksbased measure (D-NSBM), run robustness tests and compare results. To the best of our knowledge, the current paper is the first to compare two weighted dynamic network DEA models and it also represents the first attempt at formulating D-NRAM. We illustrate our models using simulated data on residential aged care. Insight gained by running D-NRAM in parallel with D-NSBM includes (a) identical benchmark groups, (b) a substantially wider range of efficiency estimates under D-NRAM, and (c) evidence of inefficient DMU size bias. D-NRAM is also shown to have the additional desirable technical efficiency properties of translation-invariance and acceptance of data. Managerial implications are also briefly discussed.Workshop 2013 on Dynamic and Network DEA (January 29-30, 2013)conference pape