A data envelopment analytic model for assessing the relative efficiency of the selling function

Abstract This paper presents a data envelopment analytic model for assessing the relative efficieny of sales units that simultaneously incorporates multiple sales outcomes, controllable and uncontrollable resources, and environmental factors. The model enables comparisons among a reference set of sales units engaged in selling the same product/service by deriving a single summary measure of relative sales efficiency. In addition, it provides insights into modifications that are necessary in order to enhance relative efficiency of an individual sales unit. Conditions when the sales unit has additional control over resources are explored and the effects on relative efficiency are examined. An illustration of the model in the context of sales units from a sample of insurance companies demonstrates the critical features of the model.