Question: Decision Models in Service Sector INDU 466/6151 Winter 2018 Assignment #3, Due Feb 19 2018 1) DEA has been used to measure the relative efficiency

Decision Models in Service Sector INDU 466/6151

Decision Models in Service Sector INDU 466/6151 Winter 2018 Assignment #3, Due Feb 19 2018 1) DEA has been used to measure the relative efficiency of a group of hospitals. This study involved sev- en teaching hospitals; data on three input measures and four output measures are provided in Table Input measures Supply expense ($1000) Bed-days available (S1000) Hospital Full-time equivalent nonphysicians 310,0 278.5 165,6 250.0 206.4 384.0 530.1 134.60 114.30 131.30 316.00 151.20 217.00 770.80 116,00 106.80 65.52 94.40 102.10 153.70 215.00 Output Measures Patient-days (65 or older) (000) 55.31 Patient days (under 65) (000) Nurses trained Intems trained Hospital 37.64 32.91 33.53 32.48 48.78 58.41 49.52 55.63 25.77 41.99 55.30 81.92 119.70 a) Formulate the Dual model for hospital D. b) Consider the performance of Hospital D. Determine the efficiency measure for Hospital D. What is the Efficiency Reference Set for D? c) What do you recommend for hospital D in order to make it an efficient hospital? d) Identify the type and level of inefficiencies (technical and/or mix) for Hospital D

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