A Novel Approach to Evaluating Multi-period Performance of Non-storable Production with Carry-Over Activities

This paper proposes a novel approach, called dynamic integrated slack-based measure (DISBM) modeling approach, to evaluating multi-period non-radial slacks of non-storable production characterized with carry-over activities. The proposed modeling approach incorporates conventional dynamic slack-based measure (DSBM) technical efficiency and service effectiveness into data envelopment analysis (DEA) modeling such that multi-period input excesses, output shortages and consumption gaps can be simultaneously determined. Some important properties of the proposed DISBM modeling are explored. A case study on the efficiency and effectiveness of Taiwan’s intercity bus transport during 2007–2010 is presented. The results indicate that the proposed DISBM modeling is superior to conventional DSBM modeling in terms of benchmarking power, and that the non-radial slacks associated with input, output and consumption variables do provide rational information to rectify the inefficient and/or ineffective units throughout the production process.