Development of network data envelopment analysis model to evaluate the technical efficiency of the pharmaceutical industry

The purpose of this article is to evaluate the technical efficiency of listed companies in the pharmaceutical industry in 2021. To achive this, the additive model of two-stage network data envelopment analysis was investigated with semi-positive and negative indicators and simultaneously considering the production process(Fundamental Analysis) in the first stage and the financial production process (Technical Analysis) in the second stage. In addition, FAHP applied to determine the weights of the first and second stages. The results showed: the production process is more important in defining the total efficiency of a company in the Stock Exchange. In the first stage, %33 and in the second stage, %25 of the pharmaceutical industry companies achieved full efficiency of one. According to the efficiency one of %13 companies of the studied industry in both first and second stages, the efficiency of the mentioned companies was also full and found to be one; These companies include Toliddaru, Exir Pharmaceutical and Loghman Pharmaceutical & Hygienic Companies. The lowest total efficiency belongs to Sobhan Pharmaceutical Group. In general, 88% companies of the studied industry have an efficiency higher than 0.5.