What is Productive Efficiency

This chapter investigates data envelopment analysis (DEA) in the context of supply chain management. DEA, a non-parametric method for assessing productive efficiency with many inputs and outputs, has considerably impacted research and practical implementation. It enables performance analysis across organizations with complicated input-output interactions. DEA provides user-friendly and customizable criterion weighting, simplifies analysis by eliminating the need for production function calculation, and delivers comprehensive efficiency measurements. This chapter examines existing research on the use of DEA in supply chains to assess present practices, recent breakthroughs, and techniques critically. This chapter addresses the central research question, “What are the latest advancements and methodologies in applying DEA to the supply chain?” The findings of this study add to the understanding of current practices at the confluence of DEA and supply chain management, which is critical in today's complex corporate context.