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Determining the sensitivity of Data Envelopment Analysis method used in airport benchmarking

DOI: 10.13111/2066-8201.2013.5.1.12

Keywords: airport benchmarking , airport efficiency , Data Envelopment Analysis , DEA sensitivity , airport operational performance

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Abstract:

In the last decade there were some important changes in the airport industry, caused by the liberalization of the air transportation market. Until recently airports were considered infrastructure elements, and they were evaluated only by traffic values or their maximum capacity. Gradual orientation towards commercial led to the need of finding another ways of evaluation, more efficiency oriented. The existing methods for assessing efficiency used for other production units were not suitable to be used in case of airports due to specific features and high complexity of airport operations. In the last years there were some papers that proposed the Data Envelopment Analysis as a method for assessing the operational efficiency in order to conduct the benchmarking. This method offers the possibility of dealing with a large number of variables of different types, which represents the main advantage of this method and also recommends it as a good benchmarking tool for the airports management. This paper goal is to determine the sensitivity of this method in relation with its inputs and outputs. A Data Envelopment Analysis is conducted for 128 airports worldwide, in both input- and output-oriented measures, and the results are analysed against some inputs and outputs variations. Possible weaknesses of using DEA for assessing airports performance are revealed and analysed against this method advantages.

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