Supply Chain Coordination Efficiency Evaluation Method And Its Application Based On Data Envelopment Analysis(DEA)

Supply chain management is an important means for enterprises to maintain competitiveness and optimize business processes.Effective supply chain management can promote the development of enterprises,increase market share,and maximize revenue.From the perspective of efficiency evaluation,the entire supply chain can be regarded as a series production system,typically consisting of two production stages or operation processes such as a typical supplier-manufacturer or manufacturer-retailer system.Currently,the efficiency evaluation of supply chain systems is usually based on data envelopment analysis(DEA),which is thus called as supply chain DEA,and can be regarded as a special case of two-stage network DEA.Traditional supply chain DEA resolves the inherent conflict between two sub-stages by assuming the same weights of intermediate products.However,the relationship between supply chain DEA and traditional DEA remains unclear.Although the traditional supply chain DEA achieves the coordination of supply chain systems through the assumption that the two sub-stages have the same weights,the impact of supply chain coordination on efficiency of supply chain systems is seldom considered in the existing literature.Moreover,there is no research on the measurement of coordination efficiency in supply chain systems(i.e.,supply chain coordination efficiency).However,the coordination effect is widespread in organizations or systems with two-stage structures.In view of this,this thesis investigates the measurement of supply chain coordination efficiency.This thesis mainly carries out research work in three aspects:First,this thesis examines and proposes a method for measuring supply chain coordination efficiency from the perspective of multiplier DEA models.Based on the overview of two-stage supply chain systems,this thesis reviews the efficiency estimation methods of traditional two-stage network systems,and illustrates the existence of the coordination effect between the sub-stages of two-stage supply chain systems through a numerical example.Then,for a simple two-stage system and a general two-stage system,the multiplier DEA models of supply chain coordination efficiency are established under constant returns to scale(CRS)and variable returns to scale(VRS),respectively.Under the CRS case,the coordinated system efficiency is equal to the product of efficiencies in two sub-stages and the coordination efficiency.Numerical examples are used to make a comparison to some existing studies,explain the proposed coordination efficiency measurement models,and verify the effectiveness of the proposed method.Next,this thesis examines and proposes a method for measuring supply chain coordination efficiency from the perspective of envelopment DEA models.Similarly,for the simple two-stage system and the general two-stage system,envelopment DEA models of supply chain coordination efficiency under CRS and VRS are established,respectively.And the projection points of the first and second stages are weakly efficient.Through a numerical example of a two-stage banking system,the coordination efficiency measurement method is explained and the effectiveness of the proposed method is verified.Last,this thesis compares the proposed coordination efficiency measurement methods based on the multiplier and envelopment DEA models.Specifically,for the four cases of the simple two-stage system and the general two-stage system under the CRS and VRS assumptions,the coordination efficiency measurement methods based on the multiplier and envelopment DEA models are compared through the dual transformation of linear models.The comparison results show that the coordination efficiency measurement methods based on the multiplier and envelopment DEA models are completely equivalent.The main innovation points of this thesis are as follows:(1)The definition of supply chain coordination efficiency is proposed.And a new DEA method is developed to measure supply chain coordination efficiency from the perspective of multiplier DEA methods;(2)The measurement method of coordination efficiency for a simple two-stage system is extended to the case for a general two-stage system.And an improved DEA method is proposed to measure supply chain coordination efficiency;(3)Based on envelopment DEA methods,the measurement methods of supply chain coordination efficiency are proposed for simple and general two-stage systems,respectively;(4)The multiplier and envelopment DEA methods of supply chain coordination efficiency are compared.And it is proved that the two DEA modeling methods are completely equivalent.In the existing literature,two-stage network DEA and traditional "black box"DEA are different methods.In this thesis,the close relationship between supply chain DEA and traditional "black box" DEA is established.And it further enriches the methodologies of the traditional "black box" DEA and the two-stage network DEA.At the same time,ignoring the coordination effect among supply chain members will result in errors of efficiency estimators.The research of this thesis accurately measures the coordination efficiency of supply chain systems,and further enriches the methodologies of supply chain system efficiency evaluation and supply chain DEA.In addition,the research of this thesis will provide method and decision-making supports for efficiency analysis applications based on supply chain systems.And supply chain members can use coordination efficiency to track their efficiency losses and improve their efficiency levels,so as to improve the management and performance levels across the whole supply chain.