Since 2004, the Chung-Shan Institute of Science and Technology (CSIST) has been conducting the Technology Development Program for Outsourcing Defense Products (TDP), which is a program under the Ministry of Economic Affairs and purports to release the national defense technologies to civilian enterprises. The program is designed to encourage local firms to join defense technology research in order to create commercial application values. Traditional performance evaluation often neglects external benefits of a program. However, for a non-profit organization such as CSIST, the external benefits are important outputs. This research utilizes data envelopment analysis (DEA) to evaluate the efficiency of TDP projects. With the help of Dual-use Technology Cooperation Program of CSIST, the official data (2004-2006) were obtained from MOEA. There are three inputs in the model: funds, manpower and time span. The six outputs include royalty revenue derived from CSIST technology transfers, sales order from cooperated parties, qualified vendors, patents, papers and research reports. All nominal variables are transformed into real variables at the price level of 2004. The results suggest that: (1) Taking into account the external benefits in evaluating process gives a better insight into the efficiency of TDP projects. (2) The TDP managers may apply different strategies to collect desirable technology and qualified companions.