THE USE OF DATA ENVELOPMENT ANALYSIS FOR TECHNOLOGY SELECTION

The range of manufacturing technologies available to firms has significantly increased in the past 20 years. A potential buyer of a technology such as machine tools, industrial robots, or flexible manufacturing systems is faced with many options in both performance and cost. This paper proposes a decision model for technology selection problems using a two-phase procedure. In phase 1, data envelopment analysis is used to identify technologies that provide the best combinations of vendor specifications on the performance parameters of the technology. In phase 2, a multi-attribute decision making model is used to select a technology from those identified in phase 1. Unlike most other models for technology selection, this model takes into consideration the fact that the performance of a technology, as specified by its vendor, is often unobtainable in reality. The proposed model is illustrated using robot selection and is tested on an actual robot data set.