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Efficiency Evaluation of 12 Regions of RAI (Iranian Railway) using Data Envelopment Analysis (DEA)

Mohammad M. MovahediDepartment of Management, Islamic Azad University ,

Firouzkoh Branch (IAUFB) ,mmmovahedi@gmail.com

S. M. Hoseini (M.A)

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Introduction

Transportation is one of the main elements of development in a society in which the high efficiency is of a great importance in this field of economy.

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Introduction

RAI like other organizations attempts to evaluate its units in order to

compete .

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Introduction

This research will try to answer the following questions:

Has the efficiency of IRA districts been optimum in 2006?

Are the IRA districts capable of increasing the freight tonnage and number of passengers with the existing possibilities?

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Introduction

Is each Regions, concerning its inputs and outputs considered as a unit?

What are the sample units or units for increasing the efficiency of non-efficient ones?

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Introduction

In this section we first introduce the RAI (Rah Ahan Iran, Iranian Railway) and its Region.

Iranian railway have more than 80 years old.

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General information about RAI

This railroad at this time have 14 regions that are link together and their efficiency in compare with the other regions are very important .

In this research, because of some problem and lack of data, we compare the efficiency of 12 one .

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General information about RAI

Some facilities that RAI are using today are as below:

1 -Main Railroad: 9036 km2 -Secondary Railroad: 2457 km

3 -Electric Railroad: 148 km

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General information about RAI

4 -Double Railroad: 1300 km5 -Freight car: 21726

6 -Passenger coach: 1608

7- Locomotive: 6388- International station: 10

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RAI Regions

In this section we produce Iranian Railway Regions:

Arak Azarbayjan Hormozgan Isfahan Khorasan

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RAI Regions

Lorestan North Northeast Northwest South Southeast Tehran

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Research method

Our main objective in this study is to measure the efficiency in different railway districts in Iran .

In order to determine this parameter it is important to distinguish the affecting factors in each Regions .

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Research method

We use DEA method and Relationship between Scale Efficiency and Technical Efficiency as below :

TE=SE*PTEWhere:

TE=Technical Efficiency,

SE=Scale Efficiency, and

PTE=pure technical efficiency.

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The utilized data

A- Inputs :

The main railroad of railwayHuman resources

Number of freight wagonsNumber of passenger coaches

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The utilized data

B- outputs:

Ton-kilometerPassenger-kilometer

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Results ItemRegionTEPTESEType of

Return to scale

Ref.

1South0.7381.0000.738Increasing1

2Lorestan0.8241.0000.824Increasing2

3Arak0.5190.8730.594Increasing2,1,5

4Tehran1.0001.0001.000Constant4

5North 0.5241.0000.524Increasing5

6Northeast0.4590.6880.667Increasing4,5,10

7Khorasan1.0001.0001.000Constant7

8Northwest0.5440.7480.726Increasing7,5

9Azarbayjan0.4600.5920.776Increasing10,7,5

10Isfahan1.0001.0001.000Constant10

11Southeast0.6950.7510.926Increasing5,10,12

12hormozgan1.0001.0001.000Constant12

Average0.7300.8880.815------

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Conclusion

The average Scale Efficiency is 0.815

The average of Pure Technical Efficiency for management is 0.888

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Conclusion

Lorestan, Arak, North, Northeast, Northwest, Azarbayjan and southeast are facing with Increasing Efficiency relative to scale can improve their efficiency by changing their framework and moving toward optimum scale.

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Conclusion

It is suggested that Arak increases its output as much as 176949 in order to reach the highest efficiency in its outputs .

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Conclusion

Northwest has to increase its outputs as much as 287022 units in order to reach the highest efficiency.

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Conclusion

It is suggested to increase its output as much as 429988 units in order to reach the highest efficiency.

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Conclusion

It is suggested that Southeast district must increase its output as much as1302583 in order to reach the highest efficiency.

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Conclusion

Better planning to make better use of entrance gates in different districts using two ways loaded freight cars, continuous education of human resources, maintenance and renewal of the right of way are also recommended.

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Conclusion

Providing a proper condition for private and non governmental sectors to engage in handling passenger and freight are suggested too.

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The End

Thank you for your attention!