Sustainable efficiency assessment of private diagnostic laboratories under uncertainty: An interval data envelopment analysis approach

Abstract

Purpose

Assessing the performance of medical laboratories plays an important role in the quality of health services. However, because of imprecise data, reliable results from laboratory performance cannot be obtained easily. The purpose of this paper is to illustrate the use of interval network data envelopment analysis (INDEA) based on sustainable development indicators under uncertainty.

Design/methodology/approach

In this study, each medical diagnostic laboratory is considered as a decision-making unit (DMU) and an INDEA model is used for calculating the efficiency of each medical diagnostic laboratory under imprecise inputs and outputs. The proposed model helps provide managers with effective performance scores for deficiencies and business improvements. The proposed model with realistic efficiency scores can help administrators manage their deficiencies and ultimately improve their business.

Findings

The results indicate that uncertainty can lead to changes in performance scores, rankings and performance classifications. Therefore, the use of DEA models under certainty can be potentially misleading.

Originality/value

The contribution of this study provides useful insights into the use of INDEA as a modeling tool to aid managerial decision-making in assessing efficiency of medical diagnostic laboratories based on sustainable development indicators under uncertainty.

Citation

Ghafari Someh, N., Pishvaee, M.S., Sadjadi, S.J. and Soltani, R. (2020), "Sustainable efficiency assessment of private diagnostic laboratories under uncertainty: An interval data envelopment analysis approach", Journal of Modelling in Management, Vol. 15 No. 3, pp. 1069-1103. https://doi.org/10.1108/JM2-05-2019-0117