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1. Introduction The centralized resource allocation BCC model (CRA-BCC) is a Data envelopment analysis (DEA)-type model that has recently been introduced by Lozano and Villa [1] and Lozano et al. [...], In two recent papers, Lozano and Villa [Centralized resource allocation using data envelopment analysis. Journal of Productivity Analysis 2004;22:143-61. [1]] and Lozano et al. [Centralized target setting for regional recycling operations using DEA. OMEGA 2004;32:101-10. [2]] introduce the concept of 'centralized' data envelopment analysis (DEA) models, which aim at optimizing the combined resource consumption by all units in an organization rather than considering the consumption by each unit separately. This is particularly relevant for situations where some variables are controlled by a central authority (e.g. Head Office) rather than individual unit managers. In this paper we reconsider one of the centralized models proposed by the above-mentioned authors and suggest modifying it to only consider adjustments of previously inefficient units. We show how this new model formulation relate to a standard DEA model, namely as the analysis of the mean inefficient point. We also provide a procedure that can be used to generate alternative optimal solutions, enabling a decision maker to search through alternate solution possibilities in order to select the preferred one. We then extend the model to incorporate non-transferable as well as strictly non-discretionary variables and illustrate the models using an empirical example of a public service organization. Keywords: DEA; Allocation; Efficiency; LP; Mathematical programming; Operations Research/OR; Resource management

Byline: Ana Lozano-Vivas (1), Jesus T. Pastor (2) Keywords: D24; E44; F36; G21; O47; O57; Banking productivity; macroeconomic productivity; convergence; frontier production approach Abstract: This paper examines the role of the banking sector in the overall economic activity and its contribution to the convergence/divergence in fifteen OECD countries over the time period of 1980--1997. We resort to a non-parametric technique (DEA) and estimate a world wide macro-economic as well as a worldwide banking frontier. We find a very similar pattern in the evolution of banking and macro-economic efficiency. We further study the evolution of the macro-economic and banking productivity and discover, in both cases, convergence over time. Our first finding is that the performance of the banking sector helps to explain the overall economic performance. Our second finding is that the financial orientation of each country constitutes a relevant feature for the last mentioned explanation. Author Affiliation: (1) Dpto. Teoria e Historia Economica, Facultad CC.EE., University of Malaga, Spain (2) Centro de Investigacion Operativa, Universidad Miguel Hernandez, Spain Article History: Registration Date: 13/01/2006

Byline: Ana Lozano-Vivas (1), Jesus T. Pastor (2), Jose M. Pastor (3) Keywords: efficiency; DEA; environmental conditions; European banking Abstract: The paper investigates the operating efficiency differences of a sample of commercial banks across 10 European countries. First, the paper analyzes the technical efficiency of each country sample following the 'basic' Data Envelopment Analysis (DEA) model incorporating only banking variables. Then, a 'complete' DEA model is introduced, incorporating environmental factors together with the banking variables of the basic model. The comparison between the two models shows that country-specific environmental conditions exercise a strong influence over the behavior of each country's banking industry. Author Affiliation: (1) Departamento de Teoria Economica, Facultad CC.EE., Universidad de Malaga, Plza. El Ejido s/n, 29013, Malaga, Spain (2) Departamento de Estadistica y Matematica Aplicada, Universidad Miguel Hernandez, Elche, Spain (3) Departament d'Analisi EconA2mica, Facultad d'Economia. Campus dels Tarongers, Avda. dels, Tarongers, s/n. Edifici Departamental Oriental, 46022, Valencia, Espana Article History: Registration Date: 09/10/2004

Byline: William W. Cooper (1), Kyung Sam Park (2), Jesus T. Pastor (3) Author Affiliation: (1) Graduate School of Business, University of Texas at Austin, Austin, Texas, 78712-1174, USA (2) College of Business Administration, University of Ulsan, 29 Mugeo, Ulsan, 680-749, Korea (3) Vice Rector de Investigacion, Universidad Miguel Hernandez, Campus en Altea, Elche Orihuela, Paseo Melchor Botella, E-03206, Spain Article History: Registration Date: 03/10/2004

Byline: Ana Lozano-Vivas (1), Jesus T. Pastor (2), Iftekhar Hasan (3) Abstract: The paper analyzes bank performance in the context of the integrated EuropeanUnion market and its member countries. First, the paper investigates the technicalefficiency of banks in each country sample using a Data Envelopment Analysis(DEA) model incorporating only banking variables. Then, a second DEA modelis defined incorporating environmental factors together with banking variables inorder to standardize the country-specific environmental conditions. Based on thesemodels, the paper systematically analyzes the efficiency position for each of theEuropean banking industry if average banks decide to operate in any other country.The results indicate that adverse (advantageous) environmental conditions are apositive (negative) factor for the home banking industry and being technicallyefficient appears to be a significant deterrence to foreign competition. Author Affiliation: (1) Departamento de Teoria e Historia Economica, Universidad de Malaga, Plza. El Ejido s/n, 29013, Malaga, Spain (2) Departamento de Estadistica e Investigacion Operativa, Universidad Miguel Hernandez, Elche, Spain E-mail (3) New Jersey Institute of Technology, New York University, Berkley Center Article History: Registration Date: 12/10/2004

A study was conducted to analyze radial data envelopment analysis (DEA) models without inputs (or without outputs)(CCR) and CCR models with a single constant input (or with a single constant output). It was noted that CCR models without inputs or outputs are meaningless because they do not have the capacity to distinguish efficient from inefficient units. On the other hand, CCR models with a single constant input or output was found to coincide with the BCC model developed by RD Banker et al for evaluating relative efficiency of similar economic production systems.

Byline: William W. Cooper (1), Kyung Sam Park (2), Jesus T. Pastor (1) Keywords: DEA models; Efficiency measures; Model relations; Types of inefficiency Abstract: Generalized Efficiency Measures (GEMS) for use in DEA are developed and analyzed in a context of differing models where they might be employed. The additive model of DEA is accorded a central role and developed in association with a new measure of efficiency referred to as RAM (Range Adjusted Measure). The need for separately treating input oriented and output oriented approaches to efficient measurement is eliminated because additive models effect their evaluations by maximizing distance from the efficient frontier (in a.sub.1, or weighted a.sub.1, measure) and thereby simultaneously maximize outputs and minimize inputs. Contacts with other models and approaches are maintained with theorems and accompanying proofs to ensure the validity of the thus identified relations. New criteria are supplied, both managerial and mathematical, for evaluating proposed measures. The concept of 'approximating models' is used to further extend these possibilities. The focus of the paper is on the 'physical' aspects of performance involved in 'technical' and 'mix' inefficiencies. However, an Appendix shows how 'overall,' 'allocative' and 'technical' inefficiencies may be incorporated in additive models. Author Affiliation: (1) Graduate School of Business, The University of Texas at Austin, Austin, Texas, 78712-1174, USA (2) Graduate School of Management, Korea Advanced Institute of Science &amp Technology, Kaist 207-43 Cheongryang, Dongdaemun, Seoul, 130-012, Korea Article History: Registration Date: 30/09/2004

A range-adjusted measure (RAM) of efficiency, as recently developed in data envelopment analysis (DEA), is used to evaluate the performance of entities that supply water services in Japan. Its robustness properties are tested and pointed up for uses in improved accountability, and are further pointed up in terms of the potential for help in conducting performance and efficiency audits. The results from DEA are also joined with the Mann-Whitney rank order statistic to show how the two techniques may be jointly used in addressing issues of general policy. The Kanto Region and Kanagawa Prefecture in Japan are used for an illustration. Key words - data envelopment analysis, efficiency measurement, efficiency and performance audits

A surrogate heuristic algorithm (RS) was developed which was found to be for superior in solving location set covering problem than the SH and CMA/FMC algorithms currently in use. The algorithm was developed using the Lagrangean relaxation with the solution of surrogate problems algorithm. Test conducted on the RS algorithm showed the model to be superior in performance to the CMA/FMC algorithm and in speed to the SH algorithm.

The performance of the target setting procedure used by a major Spanish financial institution is analyzed. The ability of branch offices to comply with targets set by bank management is examined. The targets, which are designed to accommodate local, regional and national economic conditions, are then evaluated. Results show that the list of targets can be significantly reduced without major loss of distortion of information to bank management.

The macroeconomic performance of European and non-European countries belonging to the Organization for Economic Cooperation and Development between 1970 and 1990 was evaluated. Specifically, each country's performance was ranked according to a best practice performance frontier based on four macroeconomic goals and constructed via data envelopment analysis. Another ranking, which takes into consideration carbon and nitrogen emissions, was compiled and compared to the original list. The results show that inclusion of the environmental indicators lowered the ranking of European countries.

Experimental investigations of astrocytes indicate the presence of albumin to cause astrocyte proliferation and calcium spikes in a blood coagulation-independent manner. Albumin, which is a polar lipid influenced by lipase, stimulates DNA synthesis. Reduced levels of albumin attenuate intracellular calcium concentrations. The receptor and signaling pathways of astrocytes vary from those of other cells, as indicated by their differing responses to albumin.

This paper examines the contribution of the banking sector to overall economic activity for a sample of 15 OECD countries during an 18-year period. Resorting to a recently defined global Malmquist index, we detect productivity growth in both cases and study the influence of its two components, efficiency change and technical change. We further analyze the relationship between each of the two banking productivity components and economic productivity.

The history of operations research (OR) applications in Spain goes back to 1963 when a paper on steel production processes was presented to the Spanish Statistics and OR Society by E. Chacon and L. Yu. At present, OR activities are concentrated in universities which act as consultants to private firms. This led to the decline of OR groups within private firms during the 1980s. Nevertheless, Spanish OR activity continues to find applications in agriculture, food, ecology, energy, finance, government, transportation and manufacturing.

A statistical alternative approach to the problem of detecting influential observations in nonparametric deterministic Data Envelopment Analysis models is proposed. It is designed to classify those sample observations which appear as influential. The analyst will then have to check whether these observations are contaminated by data errors or not. Further, this method determines when efficiency changes owing to the presence of a given unit in the sample are statistically important.