Data Envelopment Analysis DEA Research Articles

An Efficiency Study in Indonesian Telecommunication Company Using Data Envelopment Analysis DEA

PT. Telekomunikasi Indonesia, Tbk (Telkom), as a state-owned company, has a dual mission, namely as a business company that must be managed professionally, as well as being mandated by the Indonesian government to accelerate the development of information technology, telecommunications, and digital infrastructure to improve the Indonesian economy. Until early 2018, Telkom with Indihome fixed broadband products had reached 3 million customers and a market share of 57.69%. However, that is only 4.50% of the 2019 IBP household penetration target. Telkom is required to increase productivity, especially the number of customers and revenue, while the allocation of available resources is limited and varies in each region. Another condition is the significant reduction in staff due to massive retirements and differences in employee productivity levels in each division. This research aims to determine and compare the efficiency level of 7 Telkom Regional Divisions for the 2016-2018 period using the DEA Data Envelopment Analysis method, with data collection based on the census. The analysis process goes through two stages, namely using the DEA Data Envelopment Analysis method, Constant Return to Scale (CRS/CCR), output-oriented. The next step is to measure the strength of the relationship between each input/output variable on efficiency using Pearson's correlation. The results of the study concluded that Divisions E and B have the highest efficiency values. On the other hand, Division G is the lowest. The variables that have the strongest correlation with the level of efficiency are the number of employees (input), the number of customers (output), and business income (output).

Denizcilik çalışmalarında sosyal ve davranışsal bilim eğilimleri: Anahtar kelime analizi

ABSTRACT
 
 It is known that the maritime industry is intertwined with scientific developments. Considering the number of scientific research and support projects, the relationship between the scientific community and the industry is getting stronger day by day. The research aims to determine the main trend in the articles published between 2011-2022 in the journals published in the field of maritime management and indexed in SSCI. To determine the trend in the field of maritime management, the keywords of 1528 articles published in 3 journals determined according to the limitations were analyzed. As a result of keyword and network analysis, ports, maritime transport, liner shipping, container terminals, and data envelopment analysis-DEA are the most used keywords. The most important result obtained as a result of this study is that the events in the world (war, pandemic, terrorism, piracy, etc.) are in a rapid upward trend in the field of maritime business management and the scientific community has shown a rapid reaction on these issues.
 
 Keywords: Maritime research, keyword analysis, social sciences, trends, SSCI

Input-output benefit evaluation of major projects based on DEA

The data envelopment analysis DEA method is used to calculate the input-output ratio of some major projects in terms of annual funds, equipment, fixed assets, personnel, etc., and evaluate the comprehensive benefits and economies of scale of some projects. The analysis results show that there is redundancy in the input of most projects, so the input value can be further optimized. The optimal value and saving value of different input types are calculated for specific projects. This model provides technical support for future major project planning of military construction.

Measuring the Operational Efficiency and the Water Resources Management Efficiency for Industrial Parks: Empirical Study of Industrial Parks in Taiwan

The efficiency of an industrial park’s operations is an indicator of how well the park can serve the companies located there. These supports include support for environmental water resources and business operations. In this study, a model for measuring water resources management efficiency is developed at the conceptual level using the management mindset of relative efficiency and management by objectives, and a modified Delphi method is used to determine the feasibility of a measurement model for water resources management efficiency. Furthermore, DEA data envelopment analysis was used to analyze the overall operational efficiency of the park. The results of the study showed that the model developed in this study for measuring water resources efficiency is of practical use. In addition, water resource management efficiency can be used as an indicator to assist in the determination of the operating efficiency of the industrial park when it is derived from the DEA analysis. In this study, among the 31 industrial parks in Taiwan, the operating efficiency values were classified into four categories, and the results show that the operating efficiency of most of the industrial parks need to be improved.

Efficiency of Syrian Banks: A Nonparametric Frontier Approach

Abstract The objective of this study is to measure efficiency of Syrian private banks. The study utilizes a non-parametric approach, namely the Data Envelopment Analysis DEA, and uses input- orientated models to measure pure technical efficiency and scale efficiency. Five alternative models under two approaches have been applied to show the effect of changing inputs and outputs on the estimated efficiency scores. Cross- sectional data were chosen to estimate efficiency scores of Syrian private banks. The Software DEAP, version 2.1, has been used in the analysis and the obtained results were compared against traditional performance measures. Study results show that the overall average efficiency score is low due to the low average of scale efficiency. JEL classification numbers: C14, D61, G21. Keywords: Efficiency, Data Envelopment Analysis, Syrian Banks.

An Empirical Research Survey of the Productivity and Efficiency of the Securities Industry

This paper provides a review of the approaches that have been used to evaluate the productivity and efficiency of the securities industry (financial ratios, econometric techniques, data envelopment analysis-DEA, and the estimation of stochastic frontiers). In undertaking this it identifies some of the organisational structure characteristics of securities companies that are associated with high levels of operational efficiency, particularly regarding the impact of regulation, the structure of ownership, and economies of scope and scale. The findings are that from the limited number of studies that have to date been undertaken it appears that the industry does have economies of scale, benefits from deregulation and performs better with foreign and bank ownership.

Measuring the Technical Efficiency of Railways in Developing Countries: A Two Stage- Bootstrap Data Envelopment Analysis

This paper aims at measuring the technical efficiency of selected railways operating in developing countries over the period 2013-2018. We apply the Bootstrap Data Envelopment Analysis DEA to an Input-Output oriented model under Variable Return on Scale. In general, the findings suggest that the bootstrapping technique provides more consistent and realistic efficiency estimates, in contrast with the conventional DEA. In fact, the results show a technical efficiency score of 56,1 % for the sample which indicates that the observed railways could potentially reduce the usage of its inputs by 43,9 % on average and reach high levels of production at the same time. We also notice the existence of significant gaps in technical efficiency across the observed railways. Finally, the results show a performance decline in most of the railways during the period of analysis with shifts representing occasional back and forth developments for other railways in the middle periods.

IMPACT OF HERD SIZE ON THE PRODUCTIVE EFFICIENCY OF SHEEP BREEDING PROJECTS AT THE KOKJALI REGION IN NINEVEH GOVERNORATE FOR THE PRODUCTION SEASON 2018

This research was aimed study of the impact of at checking the extent of impact of the herd size on the levels of economic efficiency and its components, to indicate the extent of which optimality is realized in the exploitation of sheep breeding fattening inputs and for a sample of 75 farms in the Kokjali region in Nineveh Governorate and for the productive season 2018, spring batch. To achieve the research goal, the sample was divided into three categories according to the numbers of animals in the farms. To measure the economic efficiency and optimality in using the inputs, the DEA data envelopment analysis and the statistical program DEAP were used, and it was found from the results of the analysis that the research sample projects achieved high levels of technical efficiency averaging 0.962, 0.981, and 0.99 for the three categories respectively as a result of breeders having experience and skill in managing the resources used in breeding, whereas the levels of allocative and economic efficiencies were variable in the three categories; the three large volumes achieved the highest levels and averaged 0.852 and 0.843 for the allocative and the economic efficiencies respectively. The results showed that there is an increase in the rates of inputs use of fodder, duration of fattening and labor in the research sample, and a decrease in the use of primary weight inputs and the veterinary services. The third category, which is the largest, achieved the lowest increase and decrease rates compared to other categories, Thus, we recommend the breeders in the research sample projects to take advantage of economies of scale and to exploit barns capacity in proportion to the numbers of animals, and the decision-makers not to follow the open market policy and to put restrictions on smuggling and entry of animals to the country, as well as the necessity of supporting the prices for veterinary services and feed.

The Inclusive and Sustainable Development Index: a Data Envelopment Analysis Approach

Inclusive and Sustainable Industrial Development (ISID) calls for full engagement of policymakers in industrializing countries by minimizing environmental footprint and enhancing social inclusiveness. This study investigates the progress of 118 countries towards ISID (2005-2015) through an input-oriented CCR (Charnes, Cooper, and Rhodes) slack-based (Data Envelopment Analysis) DEA model. The efficiency analyses have been carried out with two approaches: i) the ISID approach represents the aspiration of countries to promote industrialization and consequently sustain economic growth by reducing the adverse environmental and social effects which manifest in the overall economy; ii) ISIDsdg9 approach considers the same aspects of ISID but only focuses on indicators related to the industrial sector. An analytical tool is developed to measure ISID with the two different approaches. This study finds that (i) Denmark, Sweden, and Switzerland are at the top of the ranking with the ISID approach, and the Czech Republic and Switzerland are at the top of the ranking with the ISIDsdg9 approach. Throughout 2005-2013, there is no sign of catching up between developed and developing countries in progress towards ISID and ISIDsdg9.

An SNA-DEA Prioritization Framework to Identify Critical Nodes of Gas Networks: The Case of the US Interstate Gas Infrastructure

This paper presents a framework to identify critical nodes of a gas pipeline network. This framework calculates a set of metrics typical of the social network analysis considering the topological characteristics of the network. Such metrics are utilized as inputs and outputs of a (Data Envelopment Analysis) DEA model to generate a cross-efficiency index that identifies the most important nodes in the network. The framework was implemented to assess the US interstate gas network between 2013 and 2017 from both the demand and supply-side perspectives. Results emerging from the US gas network case suggest that different analysis perspectives should necessarily be considered to have a more in-depth and comprehensive view of the network capacity and performance.

Vegetable Production Efficiency of Smallholders’ Farmer in West Shewa Zone of Oromia National Regional State, Ethiopia

This study tried to identify factors affecting vegetable production efficiency using cross-sectional data obtained from 385 randomly and proportionally sampled households from three districts of West Shewa zone, Ethiopia. The data were analyzed using descriptive statistics such as mean, percentage, chi-square and mathematical approach data envelopment analysis DEA, econometrics model such as Tobit. Accordingly, DEA identify the average TE, AE and EE of farm households which encounter for 49.5%, 33.7% and 17.4% respectively. Factors affecting the inefficiency of vegetable production were identified using Tobit model. This model confirmed that age of households, education level, land size, access to irrigation, extension contact access to information and pesticide use were significantly affect TE, while age of the household, land size, access to irrigation, extension contact, access to information and pesticide use were factors affect AE of the farm households. Finally EE of the farm households was affected by age of the households, education level, land size, access to irrigation, access to information and pesticide use. The result suggested that improving the above problem can increase farmers’ economic efficiency in the study area.

Vegetable Production Efficiency of Smallholders’ Farmer in West Shewa Zone of Oromia National Regional State, Ethiopia

This study tried to identify factors affecting vegetable production efficiency using cross-sectional data obtained from 385 randomly and proportionally sampled households from three districts of West Shewa zone, Ethiopia. The data were analyzed using descriptive statistics such as mean, percentage, chi-square and mathematical approach data envelopment analysis DEA, econometrics model such as Tobit. Accordingly, DEA identify the average TE, AE and EE of farm households which encounter for 49.5%, 33.7% and 17.4% respectively. Factors affecting the inefficiency of vegetable production were identified using Tobit model. This model confirmed that age of households, education level, land size, access to irrigation, extension contact access to information and pesticide use were significantly affect TE, while age of the household, land size, access to irrigation, extension contact, access to information and pesticide use were factors affect AE of the farm households. Finally EE of the farm households was affected by age of the households, education level, land size, access to irrigation, access to information and pesticide use. The result suggested that improving the above problem can increase farmers’ economic efficiency in the study area.

Vegetable Production Efficiency of Smallholders’ Farmer in West Shewa Zone of Oromia National Regional State, Ethiopia

This study tried to identify factors affecting vegetable production efficiency using cross-sectional data obtained from 385 randomly and proportionally sampled households from three districts of West Shewa zone, Ethiopia. The data were analyzed using descriptive statistics such as mean, percentage, chi-square and mathematical approach data envelopment analysis DEA, econometrics model such as Tobit. Accordingly, DEA identify the average TE, AE and EE of farm households which encounter for 49.5%, 33.7% and 17.4% respectively. Factors affecting the inefficiency of vegetable production were identified using Tobit model. This model confirmed that age of households, education level, land size, access to irrigation, extension contact access to information and pesticide use were significantly affect TE, while age of the household, land size, access to irrigation, extension contact, access to information and pesticide use were factors affect AE of the farm households. Finally EE of the farm households was affected by age of the households, education level, land size, access to irrigation, access to information and pesticide use. The result suggested that improving the above problem can increase farmers’ economic efficiency in the study area.

Relations between economic development, violence and corruption: A nonparametric approach with DEA and data panel

This research analyses the connection between homicides, corruption, and economic development in Colombian government departments. This empirical research explores the trends of homicides, corruption, and economic development utilizing different estimation techniques: DEA and econometric analysis with panel data. The DEA is applied to assess socioeconomic performance and interactions of homicides, corruption, and economic progress in Colombian, according to the rank and uncertainty of corruption and violence. Econometric models are Generalized Method of Moments (GMM) estimates to determine the incidence of some institutional and socioeconomic variables on the score range of uncertainty and risk generated by DEA in terms of the level of corruption and homicides. Estimates with DEA data envelopment analysis shows that the risk score associated with homicides and corruption has different tendencies, socioeconomic and political instability are causes that explain the behaviour of this variable over time. The results of the panel data estimation show that there are several hypotheses and theories that explain the effects of corruption and violence on the economic development of countries. This finding indicates the importance of developing effective policies that strengthen public administration, the judicial structure, and public social spending and thus rupture the cycles of corruption and homicides that prevent the creation of sustained economic growth and development.

Environmental disclosure and economic efficiency: A correlational evaluation of Spanish ports authorities

Objective: Representative correlational study of Spanish Ports Authorities (PA), based on analysis of PA economic efficiency, measured using DEA Data Envelopment Analysis, and PA environmental disclosure. Data employed: environmental reports of 20 PAs examined to gain understanding of Environmental Disclosures; economic management reports of individual ports to obtain the economic variables analyzed. The purpose to identify correlations among variables of environmental disclosure and economic efficiency of port management, with consideration of port overheads and profit focused structure. Design/methodology: A three-stage study, comprised of: 1 st Classification of PAs efficiency; 2 nd Analysis of environmental information disclosed, for which an Environmental Disclosure Assessment was defined; 3 rd Cluster Analysis to determine correlations of the economic efficiency findings of stage 1 cross-referenced with environmental disclosures of stage 2. Contributions / findings: The results obtained from the study are: classification of all Spanish PAs, although only 20 PAs are analyzed in stages 2 nd and 3 rd ; snapshot of 2012 information contained in the Environmental Disclosure Assessment defined, and DEA with results of correlations between the PAs´ environmental disclosures and economic efficiency ratings. Among relevant findings, the study shows that Efficient and Marginally Efficient PAs provide best environmental disclosures, as defined by type/frequency of reporting and environmental impact management information disclosed. Note: Efficient PAs provide more detailed information on water and energy management. Limitations: 8 PAs not supplying environmental reports were excluded from stages 2-3, due to which final results do not include 100% of PAs of the Spanish port system.

Application of Optimistic and Pessimistic OWA and DEA Methods in Stock Selection

One of the main objectives of fund managers in financial service industry is to select superior stocks by analyzing financial ratios. This paper proposes a novel methodology for stock selection by integrating optimistic and pessimistic ordered weighted averaging OWA and data envelopment analysis DEA methods. The paper first reveals the drawback of using the standard DEA models for stocks evaluation and then proposes a new method by using the OWA operator. Unlike the classical DEA, the proposed method in this paper does not involve the specification of inputs and outputs. The paper incorporates optimistic and pessimistic scenarios and generates interval OWA scores for all stocks. This is followed by using appropriate interval DEA models for selecting superior stocks. The proposed method in this paper is applied to identify high financial performance stocks in the Tehran stock market.

Performance assessment of airlines using range-adjusted measure, strong complementary slackness condition, and discriminant analysis

This study integrates RAM (range-adjusted measure), SCSC (strong complementary slackness condition), and DEA–DA (data envelopment analysis–discriminant analysis) to rank airlines. As conventional DEA models do not fully use all inputs and outputs, they result zero in many multipliers. These sorts of DEA models may yield many efficient decision-making units (DMUs). This decreases the discrimination power of DEA. To overcome this limitation, this study proposes a novel application of RAM–DEA/SCSC along with DA. A case study demonstrates the applicability of our proposed approach.

产业结构、政府影响与能源效率——基于河南省18个地市的实证分析

本文基于非参数数据包络分析DEA模型，通过构造能源效率的投入产出指标体系，利用河南省18个市的面板数据，对2007~2013年的全要素能源效率进行评价，在此基础上利用回归模型对影响河南省能源效率的因素进行实证分析。研究结果表明：河南省各市的能源效率在样本期内出现了先下降后上升的发展趋势，产业结构和制度因素对能源效率有正的影响，而能源消费结构中煤炭比重过高、政府过度干预经济则对能源效率起到负面的影响。因此，各地级市要根据经济发展的特点，转变经济发展方式，调整产业结构，优化资源配置，从而提高河南省整体的能源效率。 Based on the non-parametric data envelopment analysis DEA model, through the construction of energy efficiency of the input-output index system, the paper uses the panel data of 18 cities in Henan Province to evaluate the energy efficiency of 2007-2013, and then analyzes the influencing factors of energy efficiency in Henan Province. Research results show that: The energy efficiency of various cities in Henan Province has been declining in the sample period; the industrial structure and system factors have positive impact on the energy efficiency; while the proportion of coal in the energy consumption structure is too high; the government over intervention in the economy will have a negative impact on energy efficiency. Therefore, the level cities should change the economic development mode, adjust the industrial structure, and optimize the allocation of resources, so as to improve the overall energy efficiency of Henan Province.

Dynamic response forecasting and optimising paths of energy efficiency

Enhancing energy efficiency is a major concern of product design as well as policy responses to augment resource supply and environmental carrying capacity simultaneously. Based on empirical data from China, total factor energy efficiency is evaluated using a nonparametric linear algorithm called data envelopment analysis DEA, followed by efficiency determinants identification. Dynamic inter-responses of energy efficiency and the determinants are forecast, simulated, and analysed with the help of the panel vector auto-regression PVAR and the Monte Carlo simulation technique. The findings indicate that positive effect of energy efficiency is strong initially but unsustainable over time; administrative interventions and the existing energy mix pose significant barriers to efficiency improvement; and enhancement of openness can facilitate an energy-efficient scenario by stimulating technological progress. Specific optimising paths for China's efficiency optimisation are then suggested according to the simulation outcomes.

Benchmarking thrift and mortgage finance companies

This study uses data envelopment analysis DEA approach to benchmark the performance of 13 thrifts and mortgage finance companies against one another for the period 2008 to 2011. We cover the period of start of the economic crisis and the consequent passing of new law to regulate the financial services industry. We find that, at the height of the economic crisis in 2008, only five companies out of 13 thrifts and mortgage finance companies were efficient and in 2010, the number of efficient companies actually declined to four. In 2011, the number of efficient companies increased to eleven. We illustrate the use of data envelopment analysis DEA, an operations research technique, to evaluate the relative financial strength of 13 thrift and mortgage firms by benchmarking them against their peers on the basis of four variables. DEA clearly brings out the firms that are operating more efficiently in comparison to other firms in the industry, and points out the areas in which poorly performing firms need to improve.