Capturing the environment, a metafrontier approach to the drinking water sector. CES Discussion Paper Series DPS 08.04

K. De Witte, R Marques

Research output: Contribution to journalArticleAcademicpeer-review

Abstract

Environmental factors add complexity to the comparison between specific activities or entire entities. Decision making units with an inferior performance are tempted to invoke that their organization is ``different'' from the others in the data set. By reinterpreting and extending the metafrontier literature, we propose an all-embracing concept to fully capture the operational environment. We suggest the ``Group Specific Technical Efficiency'' as a new measure to assess the overall efficiency of a utility while allowing for environmental differences. A real-world example of drinking water utilities from five different countries
illustrates the concept.
Original languageEnglish
Pages (from-to)257-271
JournalInternational Transactions in Operational Research
Volume16
Issue number2
DOIs
Publication statusPublished - 1 Jan 2009

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