Investigating the technical efficiency of Japanese national universities following corporatization: a two-stage data envelopment analysis approach

2021 ◽  
Vol ahead-of-print (ahead-of-print) ◽  
Author(s):  
Khanh Quoc Thai ◽  
Masayoshi Noguchi

PurposeThe purpose of this study is to measure the technical efficiency of Japanese national universities over the period 2010–2016. In addition, the authors also sought to identify the determinants of efficiency, especially those amenable to public policy intervention.Design/methodology/approachFirst, the authors ran a global intertemporal data envelopment analysis to understand the trends in efficiency for national universities over the relevant period. Following this, the authors conducted a second-stage regression using a double-bootstrapped truncated regression model to identify the possible determinants of efficiency.FindingsThe authors found no evidence to suggest that technical efficiency of national universities systematically decreased or increased in response to either structural reform or a reduction to government grants. Moreover, the share of government grants, the size of universities and disciplines of study offered by the universities were statistically significant determinants of efficiency.Practical implicationsThe study results suggest that efficacious public policy remedies might include inter alia measures to reduce the reliance on public funding, efforts to attract more foreign students, the execution of mergers among small universities and consolidation of inefficient departments.Originality/valueThis research fills an important gap in the scholarly literature with respect to Japanese national universities and identifies possible determinants to efficiency, which are amenable to remedial public policy interventions.

2019 ◽  
Vol 14 (2) ◽  
pp. 362-378 ◽  
Author(s):  
Vikas Vikas ◽  
Rohit Bansal

Purpose Data envelopment analysis (DEA), a non-parametric technique is used to assess the efficiency of decision-making units which are producing identical set of outputs using identical set of inputs. The purpose of this paper is to find the technical efficiency (TE), pure technical efficiency and scale efficiency (SE) levels of Indian oil and gas sector companies and to provide benchmark targets to the inefficient companies in order to achieve efficiency level. Design/methodology/approach In the present study, a group of 22 oil and gas companies which are listed on the National Stock Exchange for which the data were available for the period 2013–2017 has been considered. DEA has been performed to compare the efficiency levels of all companies. To measure efficiency, three input variables, namely, combined materials consumed and manufacturing expenses, employee benefit expenses and capital investment and two output variables – operating revenues and profit after tax (PAT) have been considered. On the basis of performance for the financial year ending 2017, benchmark targets based on DEA–CCR (Charnes, Cooper and Rhodes) model have been provided to the inefficient companies that should be focused upon by them to attain the efficiency level. The performance of the companies for the past five years has been examined to check the fluctuations in the various efficiency scores of the companies considered in the study over the years. Findings From the results obtained, it is observed that 59 percent, i.e. 13 out of 22 companies are technically efficient. By considering DEA BCC (Banker, Charnes and Cooper) model, 16 companies are observed to be pure technically efficient. In terms of SE, there are 14 such companies. The inefficient units need to improve in terms of input and output variables and for this motive, specified targets are assigned to them. Some of these companies need to upgrade significantly and the managers must take the concern earnestly. The study has also thrown light on the performance of the companies over last five years which shows Oil India Ltd, Gujarat State Petronet Ltd, Petronet LNG Ltd, IGL Ltd, Mahanagar Gas, Chennai Petroleum Corporation Ltd and BPCL Ltd as consistently efficient companies. Research limitations/implications The present study has made an attempt to evaluate the efficiency of Indian oil and gas sector. The results of the study have significant inferences for the policy makers and managers of the companies operating in the sector. The results of the study provide benchmark target level to the companies of Oil and Gas sector which can help the managers of the relatively less efficient companies to focus on the ways to improve efficiency. The improvement in efficiency of a company would not only benefit the shareholders, but also the investors and other stakeholders of the company. Originality/value In the context of Indian economy, very limited number of studies have focused to measure the efficiency of oil and gas sector in the context of Indian economy. The present study aims to provide the latest insight to the efficiency of the companies especially operating in the Indian oil and gas sector. Further, as per our knowledge, this study is distinctive in terms of analyzing the efficiency of Indian oil and gas sector for a period of five years. The longitudinal study of the sector efficiency provides a bird eye view of the average efficiency level and changes in the efficiency levels of the companies over the years.


2010 ◽  
Vol 56 (No. 2) ◽  
pp. 89-96 ◽  
Author(s):  
M.M. Artukoglu ◽  
A. Olgun ◽  
H. Adanacioglu

This paper investigates technical and economically efficiency of 62 organic and 62 conventional olive producing farms in Turkey. According to the study results; by using the CRS model which is input and output-oriented, the average technical efficiency of organic olive farms is 67.68%, the average technical efficiency of conventional olive farms is 47.93%. The technical efficiency of the output-oriented VRS model is 74.78%, and the technical efficiency of the input-oriented VRS model is 93.46%. Also, considering the same model, the average efficiency of the conventional olive farms in the input and output are 59.58% and 94.97%, respectively. Therefore, according to the Data Envelopment Analysis, the technical efficiency in conventional olive farms is less than in the organic ones. When the farms have been evaluated one by one in the light of the total potential improvement values, inputs and outputs, improvement is needed in all values.


2017 ◽  
Vol 119 (3) ◽  
pp. 625-638 ◽  
Author(s):  
Eliana Wulandari ◽  
Miranda P.M. Meuwissen ◽  
Maman H. Karmana ◽  
Alfons G.J.M. Oude Lansink

Purpose Access to finance is an important condition for the development of agriculture and the farms’ performance. The purpose of this paper is to analyse the association between the technical efficiency of horticultural farms and access to finance from different finance providers. Design/methodology/approach Data were collected from 434 farmers who produce mango, mangosteen, chili and red onion in Indonesia. Data were subsequently analysed using data envelopment analysis and bootstrap truncated regression. Findings The results show that commercial credit from banks and in-kind finance provided through farmers’ associations have a positive association with the technical efficiency of some types of horticultural farms. Commercial credit from micro finance institution and flexible payment of inputs to the agricultural input kiosk generally have negative associations, especially with the technical efficiency of mangosteen farms. Subsidised credit from banks and in-kind finance from traders have both positive and negative associations with the technical efficiency of the horticultural farms. Originality/value This study adds to the existing literature by analysing access to finance from a broader range of finance providers and its relation to technical efficiency.


2019 ◽  
Vol ahead-of-print (ahead-of-print) ◽  
Author(s):  
Alireza Fallahi ◽  
Fatemeh Fallahi ◽  
Hassan Sarhadi ◽  
S.F. Ghaderi ◽  
Reza Ebrahimi

Purpose This study evaluates the efficiency and productivity change of 39 electricity distribution companies in Iran over the period 2005-2014. For purposes of electricity management and utilization of scarce resources, Iran’s 33 provinces have been classified into five regions by the Ministry of the Interior. Analyzing the efficiency of distribution companies across these regions yields significant understanding of these resources and helps policymakers to generate more informed decisions. Design/methodology/approach The proposed method of this study develops nonparametric data envelopment analysis (DEA) with the consideration of geographic classification, size and type of company. At the first stage, a DEA model is used to estimate the relative technical efficiency and productivity change of these companies. At the second stage, distributions of efficiency improvements are examined based on geographic classification, size and type of the company type. A stability test is also conducted to verify the proposed model’s robustness. Findings The results demonstrate that the average technical efficiency of the companies increased during the years 2006-2009, but decreased during 2010-2014. The productivity measurement reveals that low efficiency change was the largest contributor to the small increase in productivity change rather than technology change. In addition, testing the hypothesis that the large and small companies have statistically the same efficiency scores revealed no statistical difference among them. Moreover, another test did not detect a difference among companies at the urban and provincial levels. Practical implications By applying this approach, policymakers and practitioners in the power industry at the country and corporate level can effectively compare the efficiency and productivity changes among electricity distribution companies, and therefore generate more informed decisions. Originality/value The paper’s novel concept applies DEA to Iran’s electricity distribution companies and analyzes them by examining geographic classification, size and the type of the companies. In addition, a stability test is conducted and productivity changes are estimated.


2018 ◽  
Vol 25 (9) ◽  
pp. 3570-3591 ◽  
Author(s):  
Aradhana Vikas Gandhi ◽  
Dipasha Sharma

Purpose The purpose of this paper is to ascertain the performance of Indian hospitals in recent past and derive meaningful insights for policy makers and practicing managers in this area. Design/methodology/approach This paper analyses the technical efficiency of select Indian private hospitals using three related methodologies: data envelopment analysis (DEA), Malmquist Productivity Index (MPI) and Tobit regression. Two output variables (i.e. total income and profit after tax) and four input variables (i.e. cost of labour, net fixed assets, current assets and other operating expenses) were selected for the purpose of the study. Findings DEA analysis has shown that 14 out of 37 hospitals are found to be efficient under the Cooper and Rhodes model of DEA and 20 out of 37 hospitals are efficient under the Banker, Charles and Cooper model of DEA. The empirical results pertaining to MPI indicate an overall productivity progress in the private Indian hospital industry during the study period, which is largely due to technological advancement in the industry. Tobit regression demonstrates that chain affiliated, specialized and multi-city located hospitals exhibit a higher technical efficiency. Research limitations/implications This study has a limitation with reference to the unavailability of data on the input and output parameters of the model. The data related to the number of beds, number of doctors, number of nurses, etc., were not available for the period under consideration. Originality/value This study seems to be one of the few studies applying productivity and performance analysis using DEA, MPI and Tobit regression for the Indian private hospital industry.


2014 ◽  
Vol 11 (1) ◽  
pp. 4-19 ◽  
Author(s):  
Roma Mitra Debnath ◽  
V.J. Sebastian

Purpose – The purpose of this paper applies to Indian steel manufacturing industries to evaluate the technical and scale efficiency (SE). Design/methodology/approach – Data envelopment analysis (DEA) has been employed to calculate the relative efficiency of the steel manufacturing units. The selection criteria for the inclusion of a steel manufacturing unit in the analysis has been annual income of more than 50 crores and units manufacturing pig iron, steel and sponge iron. Within the DEA framework, the output-oriented model with constant returns to scale and variable returns to scale were studied. Four input variables, namely, gross fixed assets, total energy cost, total number of employees and currents assets were considered. Among the output variables, the four variables considered are income, sales, PBIT and PAT. Findings – The result of the efficiency scores have been categorized into three parts. The pure technical efficiency represents local efficiency and the reason of inefficiency is due to inefficient operations. Technical efficiency indicates that the respective decision-making units are globally efficient in case the efficiency is 100 per cent. The SE explains that the inefficiency is caused by disadvantageous conditions. As the result shows, that public sector undertaking (PSUs) are operating under disadvantageous conditions as compared to private manufacturing units. One of the possible reasons of location disadvantage condition is manufacturing units for PSUs are scattered throughout India. Some of the units are located in such places where, the raw material, supply chain could be difficult. It has been found that 45 per cent of the private manufacturing units are technically as well as scale inefficient units. Practical implications – The result of the study would benefit the steel industry to develop a performance benchmarking as steel companies must be profitable in the long term to ensure sustainable achievements. Originality/value – This is an original study to apply DEA to get insights on productivity efficiency of the steel manufacturing units in India. Though the manufacturing units were selected on the basis of annual income, the analysis of productivity does not reflect any impact of income on the efficiency of the manufacturing firms.


2021 ◽  
Author(s):  
DURSUN BALKAN

Abstract The main objective of the study was to compare technical efficiency between affiliated and non-affiliated hospitals of Turkey. There was six otput variables and four input variables to evaluate hospitals efficiencies using with Ministry of Health (MoH) data from 2013 to 2017. Totally, 25 affiliated hospitals and 53 non-affiliated hospitals were analysed using input-oriented Data Envelopment Analysis (DEA) model under variable return to scale assumptions. The study results that, affiliated hospitals efficiency scores were higher than non-affiliated training and research hospitals. These results showed us the application of the affiliation system was successful in Turkey. Furthermore, this is the first study which has been performing whole affiliated and non-affiliated hospital efficiency measures together in Turkey and it offers an original contribution to literature with this direction.


2015 ◽  
Vol 65 (s2) ◽  
pp. 101-113 ◽  
Author(s):  
Ling Jiang ◽  
Yunyu Jiang ◽  
Zhijun Wu ◽  
Dongsheng Liao ◽  
Runfa Xu

In the era of knowledge economy, a country’s economic competitiveness depends largely on the development level of high-tech industry. This paper evaluates the efficiency of China’s high-tech industry in 31 provinces in 2012 with data envelopment analysis. The empirical results are summarized as following. Firstly, when the effects of exogenous environmental variables are not controlled, the comprehensive technical efficiency of 31 provinces will be overestimated, the pure technical efficiency will be underestimated, and the scale efficiency value will be overestimated. Secondly, after eliminating the environmental impact, the comprehensive technical efficiency of 31 provinces with the average of 0.395 is rather low, due to the low scale efficiency.


Sign in / Sign up

Export Citation Format

Share Document