Turkish Sugar Inc., a public enterprise including 25 factories, is the first corporation of Turkish\r\nindustry. According to the government policy, public sugar factories PSFs will be privatized\r\nas geography-based 6 portfolio groups in two years. As performance measures of PSF affect\r\ngovernment, sugar producers, and several unions in privatizing process, a systematic approach\r\nis necessary to measure efficiencies and grouping factories. This paper uses a new DEA- Data\r\nEnvelopment Analysis- based clustering approach for measuring efficiency scores of PSF and\r\ngrouping them instead of geography- based portfolio groups. This new approach can help decision\r\nmakers in privatizing process. At the same time, target values obtained by dual model can be used\r\nto eliminate inefficiencies of some PSFs.
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