The Empirical Study about Constructing and Application of Performance Measurement System Based on an Integrated DEA Approach

This paper tries to construct performance management system (PMS) of public research institute. Traditional PMS approach focuses on deriving financial measures, revealing the limit of developing quantitative management tool, because research institute's performance is intangible and complex. BSC approach comes into spotlight as a performance measuring tool since it balanced the financial and non-financial aspects. According to the BSC framework, performance indicators (KPI) are defined as quantitative measure. The principle of data envelope analysis (DEA) is applied to calculate the relative efficiency between decision units. To provide more precise comparison, weight is restricted by the judging matrices resulting from pair-wise comparison of analytic hierarchy process (AHP). An empirical study is conducted to verify the reliability of proposed research model. The weight restriction, which is determined on the basis of experts survey, 4 input vectors and 5 output vectors produce DEA-AR score. The result provides additional information about input resource ratio, which can be used as quantitative PMS tool.