Efficiency and effectiveness in airline performance using a SBM-NDEA model in the presence of shared input

The operational performance of airline includes production and consumption technologies for transporting passengers and cargoes. By determining the performance of airlines' operations one can get further insights from the obtained results and can develop appropriate policy for improving the operational performance. This paper, for the first time, proposes a novel slacks-based measure network data envelopment analysis (SBM-NDEA) approach to measure both technical efficiency and service effectiveness of airlines. The proposed model represents both the non-storable feature of transportation service and production technologies in a unified framework in the presence of shared input. Also, the proposed model estimates both technical efficiency and service effectiveness. A case study is presented.