| Summary: | Recently, Ramanathan (R., Ramanathan, ABC inventory classification with
multiple-criteria using weighted linear optimization, Computer and Operations
Research, 33(3) (2006) 695-700) introduced a simple DEA-like model to
classify inventory items on the basis of multiple criteria. However, the
classification results produced by Ramanathan are not consistent with the
domination concept encouraged some researchers to extend his model. In this
paper, we produce the correct results and compare them to the original
results and those of the extended models. We also improve this model to rank
items with an optimal score of 1 using a cross-efficiency technique. The
classification results are considerably different from the original results.
Despite the fact that the correct results are obtained in this paper, there
is no significant difference between the original model and its extensions,
while the original model is more simple and suitable for the situations in
which decision-maker cannot assign specific weights to individual criteria.
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