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Classification and Selection for Personnel Applications Using a Data Envelopment Analysis Approach. Donna Retzlaff-Roberts The University of Memphis Jos é Dula The University of Mississippi James Van Scotter The University of Memphis. Two Group Classification Decisions.
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Classification and Selection for Personnel Applications Using a Data Envelopment Analysis Approach Donna Retzlaff-Roberts The University of Memphis José Dula The University of Mississippi James Van Scotter The University of Memphis
Two Group Classification Decisions • There are two types of error possible • Admitting a subject who will fail • Rejecting a subject who would succeed • There can be different costs for these two error types
Statistical Discriminant Analysis (SDA) • Works well when assumptions are met • Multivariate normal data • Groups have equal covariance matrices • Data sets with ordinal and binary variables are often not well suited for SDA • Unbalanced data is problematic
Linear Programming methods of DA • Linear programming is non-parametric • Seems to handle unbalanced groups better • There are a number of versions of LPDA
The Generic LP DA Model Min St. T unrestricted • Gives a trivial solution
The Hybrid LP Discriminant Analysis Model(Glover et al., 1998; Glover, 1990) Min St. T unrestricted
Data Envelopment Analysis Efficiency calculation: Max CCR DEA MODEL (Charnes, Cooper, Rhodes, 1978) Max St.
The Ratio Model (Retzlaff-Roberts, 1996) Max Min St. T unrestricted
DEA Ratio Model Min St. T unrestricted
The DA/DEA Model Min St. T unrestricted
In this study: • Looking at the various LPDA models • Data that is not well suited for SDA • Varying: • The degree of unbalance in data • The degree of non-normality • Relative misclassification costs