An algorithm for the anchor points of the PPS of the BCC model

Abstract

Abstract Anchor points play an important role in data envelopment analysis theory and applications; they delineate the efficient part of the production possibility set (PPS) frontier. In this paper, we propose an approach for finding the anchor points of the PPS of the Banker, Charnes and Cooper (BCC) model. This approach is based on a variant of super-efficiency models and their duals. The necessary and sufficient conditions for the characterization of the anchor points are also provided. Finally, the applicability of the proposed model is illustrated with some numerical examples.

Keywords

• Data envelopment analysis (DEA)
• Anchor point
• Production Possibility Set (PPS)
• Efficient and inefficient boundary