Browse > Article
http://dx.doi.org/10.9716/KITS.2011.10.2.177

The Efficiency Evaluation of Coking Coals Using Data Envelopment Analysis  

Seong, Deok-Hyun (부경대학교 경영학부)
Suh, Min-Soo (현대제철(주) 원료관리담당)
Publication Information
Journal of Information Technology Services / v.10, no.2, 2011 , pp. 177-188 More about this Journal
Abstract
This paper proposes a DEA model for the performance evaluation of each brand of coking coals in an integrated steel mill. The performance is defined as the efficiency which is the ratio of two linear combinations of the output factors to the input factors. There is only one input factor considered in the model : unit price of each brand based on CIF. Five output factors are chosen in consideration of their impact to the quality of cokes such as Ash, VM, LMF, TD, and Rm. Some of the output factors are treated as undesirable in DEA model because the quality criteria are given by the range. The CCR and BCC efficiencies are derived by the DEA model, and the scale efficiency is calculated, too. Each brand of coking coal is classified into four categories according to the CCR and BCC efficiencies, and the most inferior brands are identified as a result. The impact of the input and output factors to the efficiency is analyzed using a multiple regression, then the unit price is revealed as the most critical among them. Also, ANOVA results show that there exist efficiency differences among the coal types and the countries imported, respectively. Finally, the quantitative projection for the inefficient brands is performed if they are to be efficient. The result could be utilized in selecting the good or bad brands of coking coal based on the efficiency in an integrated steel mill. Also, this model will be used to assess the relative efficiency of a new brand of coking coal if it is a candidate to be imported.
Keywords
Efficiency of Coking Coal; DEA; Coal Quality;
Citations & Related Records
Times Cited By KSCI : 1  (Citation Analysis)
연도 인용수 순위
1 임환, 손명호, "DEA를 활용한 성과평가 지표의 가중치 결정모형 구축", 한국아이티서비스학회지, 제9권, 제4호(2010).
2 Zeydan, M., C. Colpan, and C. Cobanog, "A combined methodology for supplier selection and performance evaluation", Expert Systems with Applications, Vol.38(2011), pp. 2741-2751.   DOI   ScienceOn
3 Zhu, J., Quantitative models for performance evaluation and benchmarking:data envelopment analysis with spreadsheets and DEA Excel Solver, Kluwer Academic, 2003.
4 Saen R. F., "Restricting weights in supplier selection decisions in the presence of dualrole factors", Applied Mathematical Modeling, Vol.34(2010), pp.2820-2830.   DOI   ScienceOn
5 Sherman, H. D. and F. Gold, "Bank branch operating efficiency:Evaluation with data envelopment analysis", Journal of Banking and Finance, Vol.9, No.2(1985), pp.298-315.
6 Yang, Z., "Assessing Canadian bank branch operating efficiency using data envelopment analysis", lAENG Transactions on Engineering Technologies, Vol.3(2009), pp.31-43.
7 The TEX Report, Coal Manual, 2008.
8 Vencheh, A. H., R. K. Matin, and M. T. Kajani, "Undesirable factors in efficiency measurement", Applied Mathematics and Computation, Vol.163(2005), pp.547-552.   DOI   ScienceOn
9 Wu, D., "Supplier selection:A hybrid model using DEA, decision tree and neural network", Expert Systems with Applications, Vol.36(2009), pp.9105-9112.   DOI   ScienceOn
10 Zenios, C. V., S. A. Zenios, K. Agathocleous, and A. C. Soteriou, "Benchmarks of the efficiency of bank branches", Interfaces, Vol. 29, No.3(1999), pp.37-51.   DOI
11 Kuo, R. J., Y. C. Wang, and F. C. Tien, "Integration of artificial neural network and MADA methods for green supplier selection", Journal of Cleaner Production, Vol.18(2010), pp.1161-1170.   DOI   ScienceOn
12 Farrel, M. J., "The measurement of productive efficiency", J. of the Royal Stat. Soc., Series A, Vol.120, No.3(1957), pp.253-281.   DOI   ScienceOn
13 Jahanshahloo, G. R., F. Hosseinzadeh Lotfi, N. Shoja, G. Tohidi, and S. Razavyan, "Undesirable inputs and outputs in DEA models", Applied Mathematics and Computation, Vol.169(2005), pp.917-925.   DOI   ScienceOn
14 Jahanshahloo, G. R., A. H. Vencheh, A. A. Foroughi, and R. K. Matin, "Inputs/outputs estimation in DEA when some factors are undesirable", Applied Mathematics and Computation, Vol.156(2004), pp.19-32.   DOI   ScienceOn
15 Saen, R. F., "Supplier selection by the new AR-IDEA model," Int J Adv Manuf Technol, Vol.39(2008), pp.1061-1070.   DOI
16 Charnes, A., W. W. Cooper, and E. Rhodes, "Measuring the efficiency of decision making units", Euro. J. Oper. Res., Vol.2(1978), pp.429-444.
17 Amirteimoori, A., S. Kordrostami, and M. Sarparast, "Modeling undesirable factors in data envelopment analysis", Applied Mathematics and Computation, Vol.180(2006), pp. 444-452.   DOI   ScienceOn
18 Banker, R. D., A. Charnes, and W. W. Cooper, "Some models for estimating technical and scale efficiencies in data envelopment analysis", Management Science, Vol.30(1984), pp.1078-1092.   DOI   ScienceOn
19 Banker, R. D., R. Conrad, and R. Strauss, "A comparative application of data envelopment analysis and translog methods:An illustrative study of hospital production", Management Science, Vol.32, No.1(1986), pp.30-43.   DOI   ScienceOn
20 Chen, T. Y. and T. L. Yeh, "A measurement of bank efficiency, ownership and productivity changes in Taiwan", Service Industries Journal, Vol.20, No.1(2000), pp.95-109.   DOI
21 Cooper, W. W., L. M. Seiford, and K. Tone, Data Envelopment Analysis:a comprehensive text with models, applications, references, and DEA-solver software, Kluewer Academic Publishers, 2002.