Allocation of Fixed Costs with Proportional Distribution and Random Data in Data Envelopment Analysis

Data envelopment analysis is a method to evaluate the performance of a set of homogeneous decision-making units with multiple inputs and outputs. Allocation of fixed costs with data envelopment analysis has attracted the attention of many researchers. In classical data envelopment analysis, all inputs and outputs are precisely defined. However, this assumption is not always true in practical problems. One of the important methods to deal with uncertain data is to examine random data in DEA. In this article, we expand one of the fixed cost allocation models to the random mode using the proportional distribution method. Then we implement the model with a practical example.Data envelopment analysis is a method to evaluate the performance of a set of homogeneous decision-making units with multiple inputs and outputs. Allocation of fixed costs with data envelopment analysis has attracted the attention of many researchers. In classical data envelopment analysis, all inputs and outputs are precisely defined. However, this assumption is not always true in practical problems. One of the important methods to deal with uncertain data is to examine random data in DEA. In this article, we expand one of the fixed cost allocation models to the random mode using the proportional distribution method. Then we implement the model with a practical example.