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Article
Publication date: 13 June 2019

Zilong Wang, Zhiwen Zhang and Ng Choon Yeong Jhony

As a transition economy, China is interested in allocating its limited innovation resources economically, reasonably and efficiently to produce as many outputs as possible with…

Abstract

Purpose

As a transition economy, China is interested in allocating its limited innovation resources economically, reasonably and efficiently to produce as many outputs as possible with its limited financial and human resources. Nonetheless, what is the efficiency of the allocation of innovative resources for civil–military integration enterprises, and what factors hinder its efficiency improvement? The purpose of this paper is to explore these problems.

Design/methodology/approach

The improved two-stage network data envelopment analysis (DEA) method is used to measure the overall efficiency and stage efficiency of the innovation resource allocation of 58 Chinese civil–military integration listed companies from 2010 to 2016. Tobit model is used to analyze the influencing factors of resource allocation efficiency.

Findings

The results indicate that the overall efficiency and stage efficiency of innovation resource allocation fluctuate in varying degrees during the period. The optimization of overall efficiency is restricted by lower efficiency of innovation achievement transformation. Enterprise scale was found to have a significant negative impact on both overall and two-stage efficiencies. Proportion of research and development (R&D) personnel had a positive effect on the overall and two-stage efficiency. Government support had a significant positive effect on the stage of innovation resource development and overall efficiency.

Originality/value

Previous research studies have used either the DEA or stochastic frontier analysis method to measure the efficiency of innovation activities as a whole and ignored the stage of initial investment to final output in innovation activities. That is, the process in which initial input of R&D resources becomes innovation output, and then becomes economic benefits. Therefore, this paper studies the efficiency of innovation resource allocation of civil–military integration listed companies. The improved two-stage chain network DEA method and Tobit model were used.

Article
Publication date: 10 April 2017

Rachita Gulati and Sunil Kumar

The purpose of this paper is to present a holistic approach for measuring overall bank efficiency and its decomposition in intermediation and operating efficiencies.

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Abstract

Purpose

The purpose of this paper is to present a holistic approach for measuring overall bank efficiency and its decomposition in intermediation and operating efficiencies.

Design/methodology/approach

Recently developed two-stage network data envelopment analysis model by Liang et al. (2008) has been used for obtaining intermediation and operational efficiencies along with overall bank efficiency. The bootstrapped truncated regression algorithm as proposed by Simar and Wilson (2007) has been employed to explore the influential determinants of intermediation and operating efficiencies.

Findings

The empirical results reveal that the operating inefficiency is the dominant source of overall bank inefficiency in Indian banking sector. Another interesting finding is that public sector banks are more efficient than private banks in the intermediation stage of production process, while private banks are more efficient in the operating stage of production process. Finally, the results of bootstrapped truncated regression show that variations in intermediation efficiency are explained by bank size, liquidity position, directed lending and intermediation cost, while inter-bank differences in operating efficiency are influenced by profitability and income diversification.

Practical implications

The most significant practical implication that has been derived from the research findings is that at the industry level, overall efficiency enhancement needs improvement both in terms of resource-utilization and income-generating abilities of the banks. However, the relatively easy way to achieve higher bank efficiency is to improve the efficiency of banks in generating incomes from interest and fee-based sources.

Originality/value

This paper is the first to provide a comprehensive assessment of performance of Indian banks by examining the efficiency of individual banks considering both the intermediation and operating approaches simultaneously.

Details

International Journal of Productivity and Performance Management, vol. 66 no. 4
Type: Research Article
ISSN: 1741-0401

Keywords

Article
Publication date: 15 September 2023

Tooraj Karimi and Mohamad Ahmadian

Competition in the banking sector is more complex than in the past, and survival has become more difficult than before. The purpose of this paper is to propose a grey methodology…

Abstract

Purpose

Competition in the banking sector is more complex than in the past, and survival has become more difficult than before. The purpose of this paper is to propose a grey methodology for evaluating, clustering and ranking the performance of bank branches with imprecise and uncertain data in order to determine the relative status of each branch.

Design/methodology/approach

In this study, the two-stage data envelopment analysis model with grey data is applied to assess the efficiency of bank branches in terms of operations. The result of grey two-stage data envelopment analysis model is a grey number as efficiency value of each branch. In the following, the branches are classified into three grey categories of performance by grey clustering method, and the complete grey ranking of branches are performed using “minimax regret-based approach” and “whitening value rating”.

Findings

The results show that after grey clustering of 22 branches based on grey efficiency value obtained from the grey two-stage DEA model, 6 branches are assigned to “excellent” class, 4 branches to “good” class and 12 branches to “poor” class. Moreover, the results of MRA and whitening value rating models are integrated, and a complete ranking of 22 branches are presented.

Practical implications

Grey clustering of branches based on grey efficiency value can facilitate planning and policy-making for branches so that there is no need to plan separately for each branch. The grey ranking helps the branches find their current position compared to other branches, and the results can be a dashboard to find the best practices for benchmarking.

Originality/value

Compared with traditional DEA methods which use deterministic data and consider decision-making units as black boxes, in this research, a grey two-stage DEA model is proposed to evaluate the efficiency of bank branches. Furthermore, grey clustering and grey ranking of efficiency values are used as a novel solution for improving the accuracy of grey two-stage DEA results.

Details

Grey Systems: Theory and Application, vol. 14 no. 1
Type: Research Article
ISSN: 2043-9377

Keywords

Article
Publication date: 3 April 2018

Davood Gharakhani, Abbas Toloie Eshlaghy, Kiamars Fathi Hafshejani, Reza Kiani Mavi and Farhad Hosseinzadeh Lotfi

Conventional data envelopment analysis (DEA) models permit each decision-making unit (DMU) to assess its efficiency score with the most favorable weights. In other words, each DMU…

Abstract

Purpose

Conventional data envelopment analysis (DEA) models permit each decision-making unit (DMU) to assess its efficiency score with the most favorable weights. In other words, each DMU selects the best weighting schemes to obtain maximum efficiency for itself. Therefore, using different sets of weights leads to many different efficient DMUs, which makes comparing and ranking them on a similar basis impossible. Another issue is that often more than one DMU is evaluated as efficient because the selection of weights is flexible; therefore, all DMUs cannot be completely differentiated. The purpose of this paper is to development a common weight in dynamic network DEA with a goal programming approach.

Design/methodology/approach

In this paper, a goal programming approach has been proposed to generate common weights in dynamic network DEA. To validate the applicability of the proposed model, the data of 30 non-life insurance companies in Iran during 2013-2015 have been used for measuring their efficiency scores and ranking all of the companies.

Findings

Findings show that the proposed methodology is an effective and practical approach to measure the efficiency of DMUs with dynamic network structure.

Originality/value

The proposed model delivers more knowledge of the common weight approaches and improves the DEA theory and methodology. This model makes it possible to measure efficiency scores and compare all DMUs from multiple different standpoints. Further, this model allows one to not only calculate the overall efficiency of DMUs throughout the time period but also consider dynamic change of the time period efficiency and dynamic change of the divisional efficiency of DMUs.

Article
Publication date: 19 July 2023

Rafael Teixeira, Jorge Junio Moreira Antunes, Peter Wanke, Henrique Luiz Correa and Yong Tan

This paper aims to measure and unveil the relationship between customer satisfaction and efficiency levels in the most relevant Brazilian airports.

Abstract

Purpose

This paper aims to measure and unveil the relationship between customer satisfaction and efficiency levels in the most relevant Brazilian airports.

Design/methodology/approach

The authors utilize a two-stage network DEA (data envelopment analysis) and AHP (analytic hierarchy process) model as the cornerstones of the study. The first stage of the network productive structure focuses on examining the infrastructure efficiency of the selected airports, while the second stage assesses their business efficiency.

Findings

Although the results indicate that infrastructure and business efficiency levels are heterogeneous and widely dispersed across airports, controlling the regression results with different contextual variables suggests that the impact of efficiency levels on customer satisfaction is mediated by a set of socio-economic and demographic (endogenous) and regulatory (exogenous) variables. Furthermore, encouraging investment in airports is necessary to achieve higher infrastructural efficiency and scale efficiency, thereby improving customer satisfaction.

Originality/value

There is a scarcity of studies examining the relationships among customer satisfaction, privatization and airport efficiency, particularly in developing countries like Brazil.

Details

Benchmarking: An International Journal, vol. ahead-of-print no. ahead-of-print
Type: Research Article
ISSN: 1463-5771

Keywords

Article
Publication date: 30 November 2020

Xiaohong Liu, Yue Du, Jiasen Sun, Rui Yang and Feng Yang

To dilute the financial difficulties in agricultural production and operation, the Chinese government has actively explored and developed rural supply chain finance (RSCF) service…

Abstract

Purpose

To dilute the financial difficulties in agricultural production and operation, the Chinese government has actively explored and developed rural supply chain finance (RSCF) service systems. The purpose of this study is to evaluate and analyze the performance of RSCF systems in China.

Design/methodology/approach

To evaluate the performance of RSCF systems in China, this study proposes a two-stage data envelopment analysis model. Compared with other models, the model proposed in this study considers not only the technical gap between RSCF systems but also the maximization of intermediate output to conform to the practice of RSCF.

Findings

Based on the empirical analysis, this study draws the following four conclusions. First, the overall efficiency of China's RSCF systems is low, and there remains great potential for improvement. Second, the technology gap ratio index score and meta-frontier efficiency of RSCF systems in Central China are the lowest in all regions, indicating that the technical level of RSCF systems in Central China is the lowest. Third, the relationship between rural residents' disposable income and the efficiency of RSCF systems is U-shaped, and the efficiency of RSCF systems in the high-income group is far greater than that of other income groups. Finally, the main reason for the lack of efficiency in RSCF seems to lie in management and technology.

Originality/value

This study divides all RSCF systems into four types according to management potential and technical potential, and recommend corresponding improvement suggestions for different kinds of RSCF systems.

Details

Industrial Management & Data Systems, vol. 121 no. 4
Type: Research Article
ISSN: 0263-5577

Keywords

Article
Publication date: 30 November 2022

Preeti Bangarwa and Supriyo Roy

Operational performance is critical for the banking sector for both managers and other stakeholders as it strongly affects the overall performance of the banking system…

Abstract

Purpose

Operational performance is critical for the banking sector for both managers and other stakeholders as it strongly affects the overall performance of the banking system. Traditional performance measures such as ratio analysis encountered certain shortcomings. At this juncture, data envelopment analysis (DEA) approaches are increasingly applied in bank efficiency studies. However, basic DEA models ignored the interactions between consecutive terms and focused primarily on measuring performance independently for each study period. All this is required to develop an operational performance model that can enable the long-term decision model.

Design/methodology/approach

An attempt has been made to develop a dynamic DEA within a non-radial category to measure interconnection activities considering non-performing loans as an undesirable link. This study uses the Indian banking dataset from 2015 to 2019. The study's research design directs three directions: ‘comparison of the dynamic DEA with the traditional static DEA model, areas of inefficiencies that are investigated for each factor using the factor efficiency index and the robustness results highlighting the performance difference between bank categories.'

Findings

Comparing with static DEA results, the study confirms that the dynamic model best measures long-term operational performance due to the linkage between consecutive terms. The efficiency analysis concludes that the input factor that requires the most improvement is ‘fixed assets' and ‘deposits'. The output factor that needs the most progress is ‘non-interest income'. The robustness of the developed model is proven by ownership categories present within the Indian banking system. At a significance level of 10%, the result of both the separate and dynamic model for privately owned banks is significantly better than that of publicly owned banks.

Originality/value

This paper proposes an operational efficiency model for Indian banks in line with undesirable output. The mean factor efficiency analysis related to non-radial DEA modelling enhances managerial flexibilities in determining improvement initiatives.

Details

Benchmarking: An International Journal, vol. 30 no. 10
Type: Research Article
ISSN: 1463-5771

Keywords

Article
Publication date: 6 August 2019

Roopteja Tamatam, Pankaj Dutta, Goutam Dutta and Stefan Lessmann

The purpose of this paper is to estimate the relative efficiencies of banks of the Indian domestic banking sector by employing various models of data envelopment analysis (DEA

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Abstract

Purpose

The purpose of this paper is to estimate the relative efficiencies of banks of the Indian domestic banking sector by employing various models of data envelopment analysis (DEA) using the panel data of the recent decade (2008–2017). The paper provides a comparative analysis of these models based on the efficiency outputs. It compares the performance of banks based on their ownership and sizes and studies the decade-long trend of productivity using Malmquist indices.

Design/methodology/approach

This paper estimates overall technical, pure technical and scale efficiencies of 21 public sector banks and 17 private banks. It compares the descriptive statistics of efficiency estimates found out through 18 different DEA models and compares them using two non-parametric statistical tests. It studies the difference in efficiencies based on ownership and size by applying the same statistical tests. It employs the Malmquist index method to study the technological and technical progress in the banks’ productivity over the decade of FY 2008–FY 2017.

Findings

During FY 2016–2017, only 9 out of 38 banks were overall technically efficient with the whole sample having a mean overall technical inefficiency of 5 percent with scale inefficiency contributing more than pure technical inefficiency. The comparative study ascertains that private sector and public sector banks (PSBs) possess efficiencies that are similar based on super-efficiency slack-based model – variable returns to scale and non-oriented, a model that the authors argue to be the most suitable for the real-life business banking scenarios whereas the private sector banks possess better efficiency than the PSBs. The Malmquist indices prove that private sector banks have a higher increase in productivity based on both technological progress and efficiency improvements whereas PSBs had a loss of efficiency and comparatively less improvement in technology.

Research limitations/implications

This study has a limitation of choosing a single model of inputs and outputs. Improved insights can be drawn by employing more models based on different inputs and outputs. Further, relevance of each input and output can be examined using a regression-based feedback mechanism (Ouenniche and Carrales, 2018). The influence of environmental factors on the efficiencies can be studied using second-stage regression models and the relationship between efficiency scores and financial ratios can be examined.

Originality/value

This study is based on the panel data of the recent decade (2008–2017) and provides insights into the efficiency scenario of the Indian banking industry and how it changed over the past decade, to the leadership of banks, the banking regulators and the policy makers. The comparative analysis of DEA models based on a sample of Indian banks is first of its kind in the Indian context and helps the researchers to select an appropriate model and delve into further research on the same.

Details

Benchmarking: An International Journal, vol. 26 no. 8
Type: Research Article
ISSN: 1463-5771

Keywords

Article
Publication date: 13 July 2023

Ali Koç and Serap Ulusam Seçkiner

This study aims to investigate environmental efficiency based on energy change by using energy-related or nonenergy-related variables by reckoning with months and years as…

Abstract

Purpose

This study aims to investigate environmental efficiency based on energy change by using energy-related or nonenergy-related variables by reckoning with months and years as decision-making units (DMUs) for a hospital under radial and nonradial models.

Design/methodology/approach

The non-oriented slack-based measures (SBM)-data envelopment analysis (DEA) model considering desirable and undesirable outputs has been embraced in this study, where its obtained results were compared with the results of other DEA models are output-oriented SBM-DEA and Banker, Charnes, & Cooper-DEA. For this purpose, this research has used a data set covering the 2012–2018 period for a reference hospital, which includes energy-related and nonenergy-related variables.

Findings

The results demonstrate that environmental efficiency based on energy reached the highest level in the winter months, whereas the summer months have the lowest efficiency values arising from the increasing electricity consumption due to high cooling needs. According to results of the non-oriented SBM model, the month with the highest efficiency in all periods is January with a 0.936 average efficiency score, the lowest month is August with a 0.406 value.

Originality/value

This paper differs from other studies related to energy and environmental efficiencies in the literature with some aspects. First, to the best of the authors’ knowledge, this study is the first one that takes into account time periods (months and years) as (DMUs for a single organization. Second, this study investigates environmental nonefficiencies, which are derived from energy uses and factors affecting energy use.

Details

International Journal of Energy Sector Management, vol. ahead-of-print no. ahead-of-print
Type: Research Article
ISSN: 1750-6220

Keywords

Article
Publication date: 11 July 2022

Sunil Kumar Jauhar, Hossein Zolfagharinia and Saman Hassanzadeh Amin

This research is about embedding service-based supply chain management (SCM) concepts in the education sector. Due to Canada's competitive education sector, the authors focus on…

Abstract

Purpose

This research is about embedding service-based supply chain management (SCM) concepts in the education sector. Due to Canada's competitive education sector, the authors focus on Canadian universities.

Design/methodology/approach

The authors develop a framework for evaluating and forecasting university performance using data envelopment analysis (DEA) and artificial neural networks (ANNs) to assist education policymakers. The application of the proposed framework is illustrated based on information from 16 Canadian universities and by investigating their teaching and research performance.

Findings

The major findings are (1) applying the service SCM concept to develop a performance evaluation and prediction framework, (2) demonstrating the application of DEA-ANN for computing and predicting the efficiency of service SCM in Canadian universities, and (3) generating insights to enable universities to improve their research and teaching performances considering critical inputs and outputs.

Research limitations/implications

This paper presents a new framework for universities' performance assessment and performance prediction. DEA and ANN are integrated to aid decision-makers in evaluating the performances of universities.

Practical implications

The findings suggest that higher education policymakers should monitor attrition rates at graduate and undergraduate levels and provide financial support to facilitate research and concentrate on Ph.D. programs. Additionally, the sensitivity analysis indicates that selecting inputs and outputs is critical in determining university rankings.

Originality/value

This research proposes a new integrated DEA and ANN framework to assess and forecast future teaching and research efficiencies applying the service supply chain concept. The findings offer policymakers insights such as paying close attention to the attrition rates of undergraduate and postgraduate programs. In addition, prioritizing internal research support and concentrating on Ph.D. programs is recommended.

Details

Benchmarking: An International Journal, vol. 30 no. 8
Type: Research Article
ISSN: 1463-5771

Keywords

11 – 20 of 797