A combinatorial valuation framework for managing and measuring the relative performance of people, organizations, systems and services

摘要

The relative performance evaluation of decision alternatives is an important and challenging task for the sustainability of an organization. It is complicated by the measurements of tangible and intangible criteria reflecting the interests of different stakeholders involved in the decision making process and the lack of proper management tools to provide trade-offs analysis among decision alternatives. Trade-offs involves combinational valuation analysis using classical optimization tools. In this keynote address, a framework for the combinatorial valuation is proposed. It integrates performance criteria to align all stakeholders on a common set of desired goals and objectives. An optimization tool is used “called data envelopment analysis, DEA” to transform data intelligently into informed decisions to aid strategic performance managers. DEA is a non-parametric optimization approach to balance the costs and risks (resources) with benefits and opportunities (returns) to derive relative efficiency scores for the alternatives. The analysis identifies the set of efficient alternatives “called best practice benchmark”. It also provides rankings for the alternatives, and set target improvement levels for each inefficient alternative. The valuation framework is demonstrated for the management and measurement in four areas: people (1); organizations (2, 3); Systems and E-Government Services funded by the European Union (4) and the Qatar Foundation (5).