In the current economic climate, business schools face crucial decisions. As resources become scarcer, schools must either streamline operations or limit them. An efficiency analysis of U.S. business schools is presented that computes, for each business school, an overall efficiency score and provides separate factor efficiency scores, indicating the extent to which the school can reduce each resource and increase each output. Using data envelopment analysis and AACSB data, the model rates the managerial performance of 438 U.S. business schools. For 21.5% of the schools, the analysis finds no evidence that they can improve their performance. For each remaining school, the analysis identifies the extent to which it can improve its overall efficiency and its efficiency within specific areas. The results are useful to business schools in developing long-term strategic plans, making resource allocation decisions, preparing for AACSB accreditation review, and improving overall performance.