Measuring the efficiency of Brazilian post office stores using data envelopment analysis

Abstract

Postal companies around the world have been seeking methods to support their operational practices in order to keep or increase their market share. The Brazilian Mail and Telegraph Company (ECT) has a portfolio of products and services to offer to its customers through several similar postal offices all over Brazil. The units use several resources with different intensities, currently having their performance evaluated by a single economical factor: revenues over expenses. We propose a performance evaluation method based on data envelopment analysis (DEA), a linear programming technique that makes it possible to include other factors beyond the simplistic, purely economical approach. The objectives of this paper are to define which factors can be used to evaluate the units; to define sets of similar units that develop the same functions, differing only in the intensity of resource usage; to generate, through the technique, the results of the evaluation process obtained from the quantitative factors defined, providing a sensitivity analysis, and to provide useful information to help managers in their decision‐making process.

Citation

Borenstein, D., Luiz Becker, J. and José do Prado, V. (2004), "Measuring the efficiency of Brazilian post office stores using data envelopment analysis", International Journal of Operations & Production Management, Vol. 24 No. 10, pp. 1055-1078. https://doi.org/10.1108/01443570410558076