Application of DEA to medical clinics

Data envelopment analysis (DEA) is a mathematical technique used to determine the relative inefficiency of decision making units (DMUs). Results from DEA analysis yield important information regarding the optimal operating capabilities of each unit. This paper discusses two studies applying DEA to medical clinics, and provides a comprehensive explanation of the results. Data for the first study comes from 51 independent civilian clinics in the United States. The second study consists of data received from a set of clinics at a military base in the United States. The studies provide insight into the usage and capabilities of DEA.