A novel multilevel network slacks-based measure with an application in electric utility companies

In this paper, we developed an alternative Network Slacks-Based Data Envelopment Analysis Measure (NSBM) wherein the overall efficiency is expressed as a weighted average of the efficiencies of the individual processes. The advantage of this new model is that both overall efficiency and multi-divisional efficiencies have been calculated with a unified framework. The major merits of the proposed model are its ability to provide appropriate measure of efficiency, obtaining weight of processes from model, simultaneous assessment of intermediate variables considering them as both input and output. Finally, an application in electric power companies shows the practicality of the proposed model.