Efficiency Measurement of Bank Branches with Undesirable Output Using Non-Radial Models of Data Envelopment Analysis

Today, banks, as intermediaries, seek to attract and allocate resources to obtain greater benefit. Therefore, the bank assessment is considered as an important subject in the banking industry. Data envelopment analysis is an effective technique in evaluating the efficiency of decision-making units. There are factors among banking indices (such as receivables from resource allocation) that are inevitably created along with desirable outputs. Therefore, the existence of a model for evaluating bank performance in the presence of poor outcomes is very important. In this study, a collection of Iranian commercial bank branches were investigated from this perspective, and radial and non-radial models were provided to measure relative efficiency in the presence of undesirable factors.