Revenue Efficiency and Kourosh Method in DEA

Arash Method (AM) was proposed to measure the instabilities of technically efficient Decision Making Units (DMUs) where very small errors are introduced in the input values. In this study, the instabilities of technically efficient DMUs are measured when very small errors are defined in the output values. The method is able to measure the revenue efficiency and has the advantages of AM in comparison with Slacked Based Measure model (SBM). Indeed, the model not only has all SBM properties, but also similar to AM it is appropriately able to arrange both technically efficient and inefficient DMUs.