A Decision Support System for Efficiency Evaluation of Bank Branches

To improve the efficiency of the homogeneous units under an organization, sometimes it is required to make changes before any action. These changes must be performed through simulation. It is evident that the improvement of individual units will have impact on the performance of the organization. A decision support system has been proposed to evaluate the efficiency of the decision making units and avails the decision maker to alter a subset of parameters (input and/or outputs) and estimate the rest of the parameters. So that, the efficiency of the decision making units as well as the organization are enhanced. Data envelopment analysis and artificial neural networks are the mechanism of the inference. The system has been implemented in a commercial bank in Iran and the results are reported.

Keywords:

Decision Support System (DSS) , Data Envelopment Analysis (DEA) , Artificial Neural Network (ANN) , Banking industry , Sensitivity Analysis