Question: f. Formulate a linear programming model so that DEA approach can be used to evaluate the performance of hospital E. Problem 2. Evaluating Relative Efficiencies
f. Formulate a linear programming model so that DEA approach can be used to evaluate the performance of hospital E.


Problem 2. Evaluating Relative Efficiencies of Decision Making Units Data Envelopment Analysis (DEA) is an application of linear programming used to measure the relative efficiency of operating units with the same goals and objectives. As explained in the course, DEA can measure the relative efficiency of a group of hospitals. The data seen below involving seven teaching hospitals include three input measures and four output measures. Bed-Days Available (1000s) 116 Hospital B Input Measures Full-Time Supply Equivalent Expense Nonphysicians ($1000s) 310 134.6 278.5 114.3 165.6 131.3 250 316 206.4 151.2 384 217 530.1 770.8 C D E F 106.8 65.52 94.4 102.1 153.7 215 G Hospital A B Patient-Days (65 or older) (1000s) 55.31 37.64 32.91 33.53 32.48 48.78 58.41 Output Measures Patient-Days (under 65) Nurses Interns ($1000s) Trained Trained 49.52 291 47 55.63 156 3 25.77 141 26 41.99 160 21 55.3 157 82 81.9 285 92 119.7 111 89 C D E F G
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