Asian Journal of Research in Business Economics and Management
  • Year: 2014
  • Volume: 4
  • Issue: 8

Utilizing slack variables in assessing the performance of organizations: A case study in educational departments of Payam-e-Nour University

  • Author:
  • Gholmreza Taleghania, Hamed Agheshloueib, Morteza Akbarzadeh Safuic
  • Total Page Count: 10
  • Page Number: 342 to 351

aAssociate Professor, Management Department Tehran University, Iran

bMaster of Business Administration, Payame Noor University, Damavand Branch, Iran

cMaster of Business Management, Semnan University, Semnan, Iran

Online published on 6 August, 2014.

Abstract

Today organizations need performance assessment to overcome their weak points. The measurement of inefficiency and improving it requires tools which can report performance level based on all inputs and outputs and shows the inefficiencies along with an appropriate improvement pattern. Therefore, data envelopment analysis (DEA) can be used as a useful tool. However, the radial models of DEA ignore the role of slack variables in assessing performance and this results in lack of enough precision in measuring the efficiency of units. Thus, in the present study the efficiency of decision making units was measured regarding slack variables and it has been administered in Payam-e-Nour University. The purpose of present research is to assess performance and measure efficiency of educational departments and besides that, efficient and inefficient units and also efficiency patterns will emerge. The comparison of results with radial model introduces the utilized model more precisely. According to results, organizational improvement is discussed in article.

Keywords

Data envelopment analysis, slack variables, efficiency, radial model, hybrid model