Hierarchical groups DEA cross-efficiency and TOPSIS technique: an application on mobile money agents locations

Ranking of efficient decision-making units (DMUs) allows a further analysis of the data envelopment analysis (DEA) efficient DMUs, where otherwise a high number of efficient DMUs can be identified. The current research seeks to segregate the efficient DMUs through the use of seven cross-efficiency (CE) ranking approaches. The choice of using those CE approaches was meant to reduce bias associated with the use of a single criterion. The seven approaches were extended to suit a situation were DMUs are structured in a two-level hierarchical grouping. The CE of level 1 DMUs was adjusted with the performance of the level 2 DMUs. Variations in the seven adjusted CE ratings were observed. In a bid to ensure complete ranking, the technique for order preference by similarity to ideal solution (TOPSIS) ranking method was combined with the adjusted CE ratings. The results from a real-world example revealed complete ranking for all the DMUs.