scholarly journals Sources of efficiency changes at Asian container ports

2019 ◽  
Vol 4 (1) ◽  
pp. 71-93
Author(s):  
Xiyi Yang ◽  
Tsz Leung Yip
Keyword(s):  
Technical Efficiency ◽  
Scale Efficiency ◽  
Efficiency Gain ◽  
Efficiency Change ◽  
Content Type ◽  
Technological Efficiency ◽  
Cent Increase ◽  
Container Ports ◽  
Overall Efficiency ◽  
The Impact

Purpose This study aims to investigate the efficiency changes of 23 major Asian container ports for the period from 2000 to 2007. In addition to assess the general trend, it also attempts to decompose the overall efficiency change into technological efficiency change, technical efficiency change and scale efficiency change to help port authorities to devise operational strategies. Design/methodology/approach The Malmquist index method is used, which is derived from data envelopment analysis. In this model, technological improvement comes from using state-of-the-art technologies, technical improvement is from rationalizing of port inputs and scale efficiency is from adjustment of port operational scales. Findings On average, the investigated ports have improved their efficiencies by 14.3 per cent. Such efficiency gains can be attributed to a 41 per cent increase in pure technical efficiency, a 47.5 per cent increase in scale efficiency and a 30.5 per cent decrease in technological efficiency. The scale efficiency contributes the most to the overall efficiency improvement, while technical and technological effects seem to have less impact. The fact that technological efficiency has little variance seems to suggest that this source of efficiency gain may not bring substantial competitive advantage. Research limitations/implications The sample period is 2000-2007, so the impact from the Asian financial crisis or the economic downturn was not covered. Also, the port throughputs data do not separate shipment and transhipment. Originality/value This study provides valuable suggestions to improve efficiency for container ports along the “Maritime Silk Road.”

Is productivity of Indian pharmaceutical industry affected with the introduction of product patent act?

2020 ◽  
Vol 13 (1) ◽  
pp. 227-258
Author(s):  
Varun Mahajan
Keyword(s):  
Pharmaceutical Industry ◽  
Technical Efficiency ◽  
Foreign Firms ◽  
Scale Efficiency ◽  
Large Firms ◽  
Efficiency Change ◽  
Content Type ◽  
Pharmaceutical Firms ◽  
The Impact ◽  
Indian Pharmaceutical Industry

Purpose The purpose of this paper is to empirically study the impact of product patent regime on the productivity of different categories such as ownership, R&D, size and product-wise of Indian pharmaceutical firms using non-parametric data envelopment analysis. Design/methodology/approach The present study has applied Ray and Desli’s Malmquist productivity index and its decomposition to measure total factor productivity (TFP) change, pure technical efficiency change, scale efficiency change and technical change under variable returns to scale (VRS) technology assumption for 141 Indian pharmaceutical firms during 2000-2001 to 2014-2015. Findings The study found the negligible impact of product patent regime on productivity. The technological change has played a positive role in the growth of productivity, whereas technical efficiency change depicts the judicious utilization of resources for improving performance. From the results, it is found that R&D intensive firms depict better stability in the TFP than the non-R&D firms. However, Granger causality between R&D and productivity found no relationship. Productivity is more directly affected by investment in fixed assets rather than in R&D, which focusses on incremental value additions in a largely branded/plain generic product market. In case of ownership, private foreign firms found to have registered progress in TFP while others have recorded marginal regress, which probably could be attributed to the superior marketing and management skills of the foreign firms, besides possessing proprietary technology. Both small and large firms have shown positive growth in the new regime as compared to the pre-patent regime. These small firms are able to compete with large firms because of their up-gradation of the technological base by improving access to better foreign technology. TFP growth for all the firms can be attributed to improvement in technology, and innovation in terms of high capital-output ratio. Further, the paper tried to identify the determinants of productivity from panel random effect regression, and it is found that export intensity, age and the new patent regime have negative and significant relationship with productivity, whereas other variables such as R&D, ownership, size and capital imports are insignificant. In the end, the results of sensitivity analysis have confirmed the validity of the selected variables. Practical implications The results suggest that Indian pharmaceutical firms need substantive improvement in TFP by improving managerial and scale efficiency. Indian pharmaceutical industry (IPI) needs to improve productivity across the network and drive cost excellence initiatives across the spend base through operational excellence and digital initiatives. The results of this paper can be applied in framing policies for future growth and improvement in the productivity of IPI. Originality/value The paper aims to make several new contributions to the existing literature. Most of the research papers only analysed TFP of the industry as a whole and detailed firm-wise analysis is needed to capture the true impact at a unit level. This study has analysed the impact of different categories such as ownership, R&D, size and product-wise, and determinants of productivity. The study has used a broader time period and larger panel data to predict the better picture.

scholarly journals Does Energy Efficiency Affect Ambient PM2.5? The Moderating Role of Energy Investment

2021 ◽  
Vol 9 ◽  
Author(s):  
Cunyi Yang ◽  
Tinghui Li ◽  
Khaldoon Albitar
Keyword(s):  
Energy Efficiency ◽  
Technical Efficiency ◽  
Fixed Effect ◽  
Scale Efficiency ◽  
Efficiency Change ◽  
Energy Investment ◽  
The Impact ◽  
Moderating Role ◽  
Pm2.5 Concentration

The difficulty of balance between environment and energy consumption makes countries and enterprises face a dilemma, and improving energy efficiency has become one of the ways to solve this dilemma. Based on the data of 158 countries from 1980 to 2018, the dynamic TFP of different countries is calculated by means of the Super-SBM-GML model. The TFP is decomposed into indexes of EC (Technical Efficiency Change), TC (Technological Change) and EC has been extended to PEC (Pure Efficiency Change) and SEC (Scale Efficiency Change). Then the fixed effect model and the fixed effect panel quantile model are used to analyze the moderating effect and the exogenous effect of energy efficiency on PM2.5 concentration on the basis of verifying that energy efficiency can reduce PM2.5 concentration. We conclude, first, the global energy efficiency has been continuously improved during the sample period, and both technological progress and technical efficiency have been improved. Second, the impact of energy efficiency on PM2.5 is heterogeneous which is reflected in the various elements of energy efficiency decomposition. The increase in energy efficiency can inhibit PM2.5 concentration and the inhibition effect mainly comes from TC and PEC, but SEC promotes PM2.5 emission. Third, energy investment plays a moderating role in the environmental protection effect of energy efficiency. Fourth, the impact of energy efficiency on PM2.5 concentration is heterogeneous in terms of national attribute, which is embodied in the differences of national development, science and technology development level, new energy utilization ratio, and the role of international energy trade.

Efficiency of Islamic banks and role of governance: empirical evidence

2018 ◽  
Vol 44 (5) ◽  
pp. 590-603 ◽  
Author(s):  
Najla Mezzi
Keyword(s):  
Technical Efficiency ◽  
Economies Of Scale ◽  
Governance Structure ◽  
Scale Efficiency ◽  
Optimal Size ◽  
Islamic Banks ◽  
Mena Region ◽  
Content Type ◽  
The Impact

Purpose The purpose of this paper is to study the efficiency level of Islamic banks, the differences between Islamic banks in the MENA region and Southeast Asia and the role of the governance in improving performance. Design/methodology/approach This paper examines, on the one hand, the performance of Islamic banks by measuring their efficiency through data envelopment analysis (DEA) method and, on the other hand, the determinants of this efficiency emphasizing on the impact of the governance structure through the panel estimation of Islamic banks based on the three proxies of cost efficiency, namely, technical efficiency (TES), pure technique (PTE) and scale efficiency (SES). Findings The findings indicate that Islamic banks are experiencing an improvement in their efficiency cost. The technical efficiency of Islamic banks is largely explained by the scale efficiency where Islamic banks realize large economies of scale in order to achieve optimal size, especially in Malaysia and the GCC countries. Pure technical efficiency is less important than the efficiency of scale and improvement is necessary regarding the managerial performance. In terms of governance, the results show that the board of directors through its size and independence and the presence of a central Sharia board constitute a robust determinant of the Islamic banks’ efficiency. The ownership structure and the size of the Sharia board do no effect banking efficiency. Originality/value The originality of this paper lies mainly on the examination of the effect of the governance structure on the Islamic banks’ efficiency where studies on this issue for Islamic banks are almost inexistent. In addition, the size and the diversity of the Islamic banks’ panel constitute the strong point of this study.

How bank regulations impact efficiency and performance?

2019 ◽  
Vol 12 (4) ◽  
pp. 545-575
Author(s):  
Mohamad Hassan
Keyword(s):  
Technical Efficiency ◽  
Latin American ◽  
Productivity Growth ◽  
Capital Requirements ◽  
Scale Efficiency ◽  
Additional Contribution ◽  
Content Type ◽  
Private Monitoring ◽  
The Impact ◽  
Regulatory Reforms

Purpose This study aims to examine the impact of regulation and other micro- and macro-economic factors on banks’ productivity growth. It investigates the impact of different regulatory reforms on banks’ performance of total factor productivity (TFP) and its component efficiencies, along with their association with bank-specific variables of profitability and equity, and with macro-level variables of economy and freedom. That is, through analysing the influence of regulatory and supervisory policies related to Basel accords pillars of capital and market discipline through private monitoring; restrictions on bank activities; and economic and financial freedoms on TFP growth and year-end performance in banking. Design/methodology/approach The authors examine TFP for commercial banks in response to regulatory reforms on an international scale. To estimate the TFP, the authors use a non-parametric frontier technique by calculating the Malmquist output-oriented index, following Delis et al. (2011) and Worthington (1999). The components of the Malmquist index are ratios of distance functions making its estimation a straightforward technique using activity analysis or data envelopment analysis methods. This allows controlling for efficiency changes depending on the reallocation of production frontiers signalling the technical change and the technical efficiency at once. Findings Results show that high capital requirements enhance productivity growth in North and Latin American banks, but not in European African or Asian banks. Supervisory powers drive bank productivity growth in all regions except Europe and Central Asia. Restrictions on real estate, insurance and securities activities impede productivity change in all income level groups but not in high-income economies. The results also show that market volatility and Z-score drive technological change and scale efficiency growth, but negatively impact pure technical efficiency. Originality/value This paper contributes to the literature by examining the relationship between the implementation of regulatory standards and the performance of the banking sector following a structural model of the banking firm and the concept of optimisation. An additional contribution of this study is that it examines economies with different levels of income based on the gross national income per capita. The study summarises bank-specific data used to synthesise the banks’ productivity (inputs and outputs) and country-specific economic and regulatory compliance data over 19 years (1999-2017). The extent of this data set coverage makes it most recent and most conclusive of variables to provide a significant contribution to the literature on bank regulation and efficiency effect.

The impacts of economic reform on the efficiency of silviculture: a non-parametric approach

2002 ◽  
Vol 7 (1) ◽  
pp. 107-122 ◽  
Author(s):  
Yaoqi Zhang
Keyword(s):  
Technical Efficiency ◽  
Economic Reform ◽  
Economic Transition ◽  
Economic Reforms ◽  
Scale Efficiency ◽  
Data Envelopment ◽  
Efficiency Gain ◽  
Heilongjiang Province ◽  
Economic Agents ◽  
The Impact

Institutions and organizations are regarded as being important in determining the efficiency of economic agents and public units. This study first reviews the economic reforms in silvicultural activities in China's state-owned forestry bureaux, then empirically examines the impact of economic reforms. Panel data from 40 forestry bureaux in Heilongjiang Province, and two different economic regimes: from the pre-reform and economic transition periods, are analyzed by Data Envelopment Analysis (DEA). The technical efficiency has been decomposed into pure technical efficiency and scale efficiency and then examined. Our results show that the economic reforms have increased efficiency on average by about 25 per cent. Moreover, the study qualitatively analyses the sources of improvement and argues that the efficiency gain is a result of reductions in labour shirking and administration costs.

scholarly journals Investigation on firm efficiency: evidence from selected Asia-Pacific countries

2018 ◽  
Vol 25 (8) ◽  
pp. 3062-3080 ◽  
Author(s):  
Khar Mang Tan ◽  
Fakarudin Kamarudin ◽  
Amin Noordin Bany-Ariffin ◽  
Norhuda Abdul Rahim
Keyword(s):  
Technical Efficiency ◽  
Small Firms ◽  
Banking Sector ◽  
Profit Maximization ◽  
Asia Pacific ◽  
Scale Efficiency ◽  
Scale Level ◽  
Firm Efficiency ◽  
Content Type ◽  
Parametric Data

Purpose The purpose of this paper is to examine the firm efficiency or technical efficiency (TE), pure technical efficiency (PTE) and scale efficiency (SE) in the selected developed and developing Asia-Pacific countries. Design/methodology/approach The sample consists of a sum of 700 firms in selected developed and developing Asia-Pacific countries over the period from 2009 to 2015. The non-parametric data envelopment analysis under the production approach is used to investigate firm efficiency. Findings On average, this paper discovers that the firms in selected Asia-Pacific countries are moderately efficient. Scale inefficiency (SIE) is found to be the dominant source of firms’ technical inefficiency. The analysis of return to scale shows that the large firms tend to operate at decreasing return to scale level, while the small firms tend to operate at increasing return to scale level. Practical implications The findings from this paper provide significant insights to the policy makers and firm managers in promoting the efficient firms of Asia-Pacific countries. Originality/value The present paper conducts a critical analysis on return to scale in the firms sector of Asia-Pacific context, which is ignored by the past studies on firm efficiency since the analysis of return to scale is mostly emphasized on banking sector. The precise nature of SIE is important for a firm to be efficient in achieving the firm’s primary goals of profit maximization and sustaining market competitiveness.

Performance measurement and resource sharing among business sub-units in the presence of non-discretionary factors

2021 ◽  
Vol ahead-of-print (ahead-of-print) ◽  
Author(s):  
Rita Shakouri ◽  
Maziar Salahi
Keyword(s):  
Resource Sharing ◽  
Content Type ◽  
Development Level ◽  
Proposed Model ◽  
Decision Making Unit ◽  
Efficiency Estimation ◽  
Overall Efficiency ◽  
And Performance ◽  
The Right ◽  
The Impact

Purpose This paper aims to apply a new approach for resource sharing and efficiency estimation of subunits in the presence of non-discretionary factors and partial impacts among inputs and outputs in the data envelopment analysis (DEA) framework. Design/methodology/approach First, inspired by the Imanirad et al.’s model (2013), the authors consider that each decision-making unit (DMU) may consist of several subunits, that each of which can be affected by non-discretionary inputs. After that, the Banker and Morey’s model (1996) is used for modeling non-discretionary factors. For measuring performance of several subunits, which can be considered as DMUs, the aggregate efficiency is suggested. At last, the overall efficiency is computed and compared with each other. Findings One of the important features of proposed model is that each output in this model applies discretionary input according to its need; therefore, the result of this study will make it easier for the managers to make better decisions. Also, it indicates that significant predictions of the development of the overall efficiency of DMUs can be based on observing the development level of subunits because of the influence of non-discretionary input. Therefore, the proposed model provides a more reasonable and encompassing measure of performance in participating non-discretionary and discretionary inputs to better efficiency. An application of the proposed model for gaining efficiency of 17 road patrols is provided. Research limitations/implications More non-discretionary and discretionary inputs can be taken into consideration for a better analysis. This study provides us with a framework for performance measures along with useful managerial insights. Focusing upon the right scope of operations may help out the management in improving their overall efficiency and performance. In the recent highway maintenance management systems, the environmental differences exist among patrols and other geotechnical services under the climate diverse. Further, in some cases, there might exist more than one non-discretionary factor that can have different effects on the subunits’ performance. Practical implications The purpose of this paper was to measure the performance of a set of the roadway maintenance crews and to analyze the impact of non-discretionary inputs on the efficiency of the roadway maintenance. The application of the proposed model, on the one hand, showed that each output in this model uses discretionary input according to its requirement, and on the other hand, the result showed that meaningful predictions of the development of the overall efficiency of DMUs can be based on observing the development level of subunits because of the impact of non-discretionary input. Originality/value Providing information on resource sharing by taking into account non-discretionary factors for each subunit can help managers to make better decisions to increase the efficiency.

Does cooperative membership impact the yield and efficiency of smallholder farmers? Evidence from potato farmers in Mongolia

2021 ◽  
Vol ahead-of-print (ahead-of-print) ◽  
Author(s):  
Samuel Ahado ◽  
Jiří Hejkrlík ◽  
Anudari Enkhtur ◽  
Tserendavaa Tseren ◽  
Tomáš Ratinger
Keyword(s):  
Technical Efficiency ◽  
Smallholder Farmers ◽  
Irrigation Management ◽  
Potato Production ◽  
Transfer Of Knowledge ◽  
Content Type ◽  
Farm Work ◽  
Agricultural Cooperative ◽  
Education Participation ◽  
The Impact

PurposeThe purpose of this paper is to examine the impact of agricultural cooperative membership on potato production and technical efficiency.Design/methodology/approachA combination of propensity score matching technique and sample selection stochastic frontier framework that addresses potential selection bias due to observable and unobservable attributes is used to estimate the effect of participation between cooperative members and non-members. Using a stochastic meta-frontier approach, the technical efficiency of farmers was estimated and compared.FindingsThe empirical results show that the effect of participation in agricultural cooperatives is associated with increased yield and technical efficiency. A comparison of group-specific frontiers indicates that cooperative members perform better than non-members. Cooperative membership decisions is significantly associated with household and farm characteristics (e.g. education, participation in off-farm work, total farmland, distance to market and geographic location).Practical implicationsThe findings of this study demonstrate that cooperative organisations can be an important tool to enhance the productivity and efficiency of smallholder farmers. Successful cooperative models together with training programs designed to enlighten farmers on the importance and tangible benefits of collective action should be used to enlarge participation in cooperative organisations. In addition, governments and development agencies should implement targeted investment and capacity building programs related to irrigation management, gender-sensitive awareness and development of the internal institutional mechanisms in cooperatives for the transfer of knowledge and mutual learning so that all members benefit from cooperatives.Originality/valueDespite the pervasive evidence of the impact of cooperatives on productivity and technical efficiency in the Asian region, this study is probably the first attempt in the crop sector in Mongolia. It provides a rigorous empirical analysis of the impact of agricultural cooperative membership on potato production and technical efficiency through a counterfactual design.

Efficiency evaluation of Indian oil and gas sector: data envelopment analysis

2019 ◽  
Vol 14 (2) ◽  
pp. 362-378 ◽  
Author(s):  
Vikas Vikas ◽  
Rohit Bansal
Keyword(s):  
Data Envelopment Analysis ◽  
Technical Efficiency ◽  
Capital Investment ◽  
Oil And Gas ◽  
Stock Exchange ◽  
Scale Efficiency ◽  
Data Envelopment ◽  
Content Type ◽  
Indian Economy ◽  
Oil And Gas Sector

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.

scholarly journals Examining banking productivity drivers in MENA banks after financial liberalisation in 1990s

2019 ◽  
Vol 8 (1) ◽  
pp. 59-74
Author(s):  
Hatem Elfeituri
Keyword(s):  
Commercial Banks ◽  
Technological Progress ◽  
Banking Sector ◽  
State Ownership ◽  
Scale Efficiency ◽  
Efficiency Change ◽  
Mena Countries ◽  
Financial Liberalisation ◽  
The Impact ◽  
Banking Productivity

The paper investigates whether deregulation and economic reforms have transformed the MENA banking sector into a more productive and efficient sector. This is the first study to cover a large sample of 11 MENA countries for an extended and recent period (1999-2012). Initially, this paper estimates the productivity and efficiency of MENA commercial banks using Malmquist DEA to estimate productivity (TFP), technological and technical efficiency, and scale efficiency change in order to investigate to what extent banking productivity in MENA economies has improved during the study period. Then, Tobit model is employed to examine the impact of bank and macroeconomic variables on the total factor productivity of MENA commercial banks. The obtained MPI results suggest that commercial banks operating in the Gulf countries have exhibited productivity progress mostly due to the technological progress rather than efficiency change. Results also suggest that expenses preference behaviour would help banks to enhance their productivity in the examined period and MENA countries. Whilst banking productivity is improved by financial reforms and technological progress, such findings overall do not indicate that foreign participation or state ownership lead to enhance productivity of banks, whilst suggesting that a number of sound policies should be implemented taking into account the characteristics of banking sector in MENA countries.

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