Construction prequalification using data envelopment analysis

Abstract

Contractor prequalification is essential in most construction projects, and the process has been performed by many different methods in practice. Data envelopment analysis (DEA) had been recognized as a useful technique to prequalify contractors by assigning relative efficiency scores. Data envelopment analysis, however, usually requires a large amount of data and has not been fully developed to achieve reliable results. An enhanced contractor prequalification model using DEA was developed together with a methodology for determining a "practical frontier" of best contractors. The established practical frontier can be used as a regional performance standard for the owner in prequalification and as improvement guidelines for contractors.Key words: contractor prequalification, construction engineering, data envelopment analysis, practical frontier.