1.
K. G. Durga Prasad
2.
K.venkata Subbaiah
3.
Ch. Venu Gopala Rao
4.
K.narayana Rao
Abstract
In this paper, a methodology is proposed for evaluating the efficiency and performance of the suppliers through Data Envelopment
Analysis (DEA) technique. DEA is a multifactor productivity technique to measure the relative efficiency of the decision making
units. Super Efficiency and Cross Efficiency methods are employed in this work to determine the efficiencies and the performance
scores of the suppliers respectively. A numerical illustration is presented to demonstrate the proposed methodology. Twenty
three suppliers are considered in the study. Each supplier has six inputs and five outputs. On the basis of super efficiency and
cross efficiency scores, the suppliers are classified into different clusters. The suppliers’ performance – efficiency score grid is
developed, which helps the management to take effective decision in the selection of the suppliers of a company.
