Data Envelopment Analysis Malmquist Index Research Articles

Performance measurement of international shipping companies before and during COVID‐19: A DEA Malmquist index and window analysis approach

AbstractFor the past several decades, the container shipping industry has grown rapidly. As a result, container shipping companies (CSCs) play a vital role in the global cargo transportation market. Thus, measuring the efficiency of CSCs is a primary concern of managers and practitioners. When the COVID‐19 pandemic broke out, the industry was severely disrupted and presented with unprecedented challenges. For this reason, evaluating how CSCs performed and learning the practices they took to achieve successful business results during this period have become necessary. To serve that purpose, this article used a hybrid method that combined data envelopment analysis Malmquist index with window analysis to analyze the world's nine leading CSCs' performance over time and their efficiency relative to each other, using data collected within a 5‐year period from 2016 to 2020. Our findings revealed different characteristics and trends in efficiency among these CSCs in terms of technical efficiency change, technological change, and total productivity change. Then, managerial implications were discussed to understand the best practices of successful CSCs as well as the circumstances in which some of them underperformed during this time. In closing, the study summarized a fact‐based guideline CSCs could take as management reference should a similar crisis occur.

Performance Evaluation in Macroeconomics based on DEA Malmquist Index with a New Approach for the Efficiency Evaluation in a Two-Stage Process

The goal of this work is to know and evaluate the macroeconomic development progress dynamics based on the Malmquist index by also giving a new and as explicit as possible approach to the evaluative reasoning of the DMUs’ overall performance. The calculation of the DEA (Data envelopment analysis) Malmquist index and of its composing components in coordination with the DMUs’ ranking positions opens up perspectives for a broad comprehensive and evaluative study. Rankings and the Malmquist index are, each in its-self, a performance test. To coordinate these two tests in as organic as possible way, two factors, the so called Z1 and Z2 “statistical” indicators are used in this work. They are expressed as functions (given by the formula, by further calculating the geometric mean of their values) in the evaluation of the overall performance. In this work, the effects of each variable factor are analyzed. A new approach, studied as a two-stage process, is given here. The inserted intermediate variable factors are not simply dealt with as “exogenous” variables fixed in the approach of the two-stage process, but they are considered as included in the total system of the studied variables set (input-output). To interpret the advantages and disadvantages that support the macroeconomic development dynamics, along with the indication of the best practices, the factors that affect the inefficient DMUs are studied. The study covers the 2015-2020 period of time and includes 19 European region countries.

How policy designs influence the innovation performance of China's emergency industry: an institutional grammar perspective

PurposeThis study provides a configurational examination of how policy designs influence the innovation performance of the emergency industry in China.Design/methodology/approachThis study employs the Data Envelopment Analysis Malmquist index (DEA-Malmquist) to quantify the innovation performance of the emergency industry and then codes the innovation policies to calculate the syntactic components based on institutional grammar tools (IGTs). The configurations of syntactic components were determined by applying the fuzzy-set qualitative comparative analysis (fsQCA).FindingsThe results indicate that rules- and norms-oriented policy designs would improve the innovation performance of China's emergency industry. In the developed provinces, the “Deontic” and “aIm” combinations in the policy are useful for improving performance. In the developing provinces, the ambiguity of the “aIm” and “Context” conditions in the policy is leading to low performance. Additionally, a lack of strategy-oriented policy design would also result in poor performance.Originality/valueMost previous studies used substitute variables to understand policy impacts. This study contributes to identifying the impacts of the syntactic components of policy designs on the innovation performance of the emergency industry. The findings can assist policymakers in developing more effective policies to stimulate innovation development in the emergency industry.

Spatial and temporal evolution of total factor productivity of low-carbon tourism industry based on DEA–Malmquist Index model

Abstract The energy consumption and carbon dioxide emissions of tourism industry in China have become issues that cannot be ignored, putting pressure on the natural environment. This study uses Data Envelopment Analysis–Malmquist Index (MI) model to analyze the temporal and spatial evolution process of low-carbon tourism industry efficiency in Heilongjiang Province from 2010 to 2019. The results show that from 2010 to 2019, the technical efficiency (TE) of low-carbon tourism industry in 12 regions of Heilongjiang Province was significantly different and shows a growth trend. The pure technical efficiency (PTE) in Qiqihar, Jixi and Yichun had a more significant impact on the TE, and PTE had a greater impact on the development of low-carbon tourism economy in these regions. Hegang, Daqing, Shuangyashan, Kiamusze, Heihe and Suihua have a higher MI, and the TE has maintained a stable growth state overall.

Efficiency of Implementing Climate/Energy Targets of the Europe 2020 Strategy and the Structural Diversity between Old and New Member States

The most important goals included in the Europe 2020 Strategy are climate/energy targets, which determine not only the achievement of its other goals but also climate neutrality by 2050. This article aims to assess the efficiency of implementing the climate/energy targets of the Europe 2020 Strategy and to analyse changes over time, taking into consideration the structural diversity between the old (EU 15) and new EU members (EU 13) in the period of 2014–2018. The assessment of changes in the efficiency of climate/energy targets over time adds value to the evaluation methods used to date in this area. This was done using data envelopment analysis (DEA) and the Malmquist index. Earlier works usually specified only the level of target achievement, mostly jointly in relation to all of the goals of the Europe 2020 Strategy. The efficiency of their implementation at the macroeconomic level has not been studied. Furthermore, the added value of this paper consists in obtaining additional information concerning the internal structure and character of the studied efficiency of old and new member states. Changes in the efficiency level have been analysed with regard to the key climate/energy indicators used to monitor the Europe 2020 Strategy. Based on the results, the EU countries were divided into six groups with similar levels of efficiency in achieving energy and climate objectives and ranked using the DEA–Malmquist index according to changes in their level over time. This makes it possible not only to assess the performance of countries but also to formulate recommendations for decision-makers.

Assessing the Static and Dynamic Efficiency of Scientific Research of HEIs China: Three Stage DEA–Malmquist Index Approach

Higher education institutions (HEIs) are the key to the economic and social development of a country. However, the recent advancements of higher education institutions’ universities in China have become a pivotal factor contributing to their swift growth. Considering the impact of the external environment, applying a three-stage data-envelopment analysis (DEA) and the Malmquist index method, we evaluated the static and dynamic efficiency of input–output data of scientific research produced by universities directly under the Ministry of Education in the period of 2010 to 2017. Results showed that the three stage DEA model is more accurate than the traditional DEA method for measuring the efficiency of scientific research input and universities’ output. The overall efficiency of universities’ scientific research activities increased at an average annual rate of 3.7% from 2010 to 2017. Further analysis showed that the optimization of the scale was the primary internal factor able to promote the efficiency of scientific research in universities. Technological progress slightly diminishes the efficiency of scientific research in universities, which should, therefore, take measures to improve pure technical efficiency to enlarge the scale of their scientific research according to the characteristics of scientific research efficiency. Such steps will strengthen internal motivation towards scientific research efficiency in universities.

Long-Term Economic Sustainability of Humanitarian Logistics-A Multi-Level and Time-Series Data Envelopment Analysis.

Although resources are scarce and outputs incorporate the potential to save human lives, efficiency measurement endeavors with data envelopment analysis (DEA) methods are not yet commonplace in the research and practice of non-government organizations (NGO) and states involved in humanitarian logistics. We present a boot-strapped DEA window analysis and Malmquist index application as a methodological state of the art for a multi-input and multi-output efficiency analysis and discuss specific adaptions to typical core challenges in humanitarian logistics. A characteristic feature of humanitarian operations is the fact that a multitude of organizations are involved on at least two levels, national and supra-national, as well as in two sectors, private NGO and government agencies. This is modeled and implemented in an international empirical analysis: First, a comprehensive dataset from the 34 least developed countries in Africa from 2002 to 2015 is applied for the first time in such a DEA Malmquist index efficiency analysis setting regarding the national state actor level. Second, an analysis of different sections in a Rohingya refugee camp in Bangladesh is analyzed based on a bootstrapped DEA with window analysis application for 2017, 2018, and 2019 quarter data regarding the private NGO level of operations in humanitarian logistics.

Analysis of the rebound effects of fossil and nonfossil energy in China based on sustainable development

AbstractAlthough the rebound effect caused by technological progress has been widely accepted, few studies have estimated and compared the rebound effects of fossil and nonfossil energy separately, because fossil and nonfossil energy consumption have different effects on sustainable development. We use the data envelopment analysis–Malmquist index, logarithmic mean Divisia index, and Jacobian matrix methods to estimate and compare the rebound effects of China's fossil and nonfossil energy during 2006–2014. Empirical results show that nonfossil energy had a higher rebound effect than fossil energy and that technological progress was helpful in decreasing the proportion of fossil energy consumption. Furthermore, we found that technological progress contributed to increases in the relative price of fossil energy, causing nonfossil energy to be more favored. Simultaneously, nonfossil energy produced a substitution effect on fossil energy over the long term. On the basis of the empirical analysis, we also present some environmental policy implications.

DEA window analysis and Malmquist index to assess energy efficiency and productivity in Jordanian industrial sector

This research evaluates the energy efficiency and productivity growth in the industrial sector over the period of 1999 till 2013 using data envelopment analysis (DEA). Two cases are analyzed; in the first case (GVA), the output is the gross value added, whereas two outputs are considered in the second case (GCO), CO2 emission and GVA. Five key input factors are considered in both cases. From DEA window analysis, the technical inefficiency (TIE) values are zeros in windows (2001–2005) till (2003–2007), (2007–2011), and (2008–2012), whereas the pure technical inefficiency (PTIE) values are zeros in windows (1999–2003) till (2003–2007). Finally, the scale inefficiency (SIE) values are zeros in windows (2001–2005) till (2003–2007). These results help policy planners on how to better utilize resources and management efficiency over time and guide operational managers when to increase or decrease the scale. Moreover, the averages of inefficiency values in the GVA case are smaller than their corresponding in the GCO case, which indicates the negative effect of CO2 emission on efficiency. Further, Malmquist index is estimated for three 5-year energy plans. The productivity index is found less than one for the third plan (2009–2013), which indicates a decrease productivity growth. In conclusions, research results provide valuable support when assessing the progress of energy efficiency and productivity in industrial sector.

Innovation and productivity: insights from Malaysia's logistics industry

Efficient logistics is critical to a country's trade competitiveness. This paper uses the Data Envelopment Analysis Malmquist Index that includes an innovation component comprising three dimensions (input, process, and output), to assess the impact of innovation by third-party logistics (3PL). We treat the panel data of asset-based 3PL in Malaysia from 2007 to 2012. Three findings hold. First, innovation is not always accompanied by productivity gains. Second, innovation is still lacking in the logistics industry in Malaysia. Third, 3PL need to invest more in technology and stay financially healthy to accelerate the diffusion of innovation under a more competitive cost structure. This paper has two contributions. First, we offer an enhanced methodology for total factor productivity by including an innovation component and apply it for the first time to the logistics industry. Second, we augment the performance measurement literature specific to the logistics industry and our research suggests that the antecedents of productivity in logistics companies are investment and financial strength. These productivity–innovation findings provide insights into Malaysia's logistics industry and may be helpful for economies similar to Malaysia.

Quantitative evaluation of nation stability

This paper quantitatively evaluates nation stability, defined as the state of a country's social and economic system as measured by multiple evaluation indicators, and observes its transitions. Data Envelopment Analysis/Malmquist Index (DEA/MI) methodology is applied to the panel data for 97 countries for the period 1981–2004, although the DEA application is totally different from the DEA efficiency/productivity analysis. This analysis includes a “unified” country (Germany) and “split” countries (former Soviet Union, Czechoslovakia, and Yugoslavia). Using the novel panel-data handling proposed in this study, we demonstrate shifts in stability before/after the unification or split. The stability of split countries fell by 50% or more, showing that they were extremely unstable before the split. The use of lower-bound DEA together with ordinary DEA enables a country's stability to be evaluated in terms of both negative and positive aspects.

Evaluating shifts in Japan's quality-of-life

This paper presents a Data Envelopment Analysis/Malmquist index (DEA/MI) analysis of the change in quality-of-life (QOL), which is defined as the state of a social system as measured by multiple social-indicators. Applying panel data from Japan's 47 prefectures for the period 1975–2002, we identify significant movement in the country's overall QOL using a “cumulative” frontier shift index. Results suggest that Japan's QOL rose during the so-called “bubble economy years” (second half of the 1980s), and then dropped in the succeeding “lost-decade” (1990s). We also identify those prefectures considered most “responsible” for the shift(s) in QOL. Moreover, the use of both upper- and lower-bound DEAs enabled an evaluation of both “good” and “bad” movements in QOL.