scholarly journals Cost Efficiency of Thrift Banks in the Philippines: A Data Envelopment Approach

2018 ◽  
Vol 11 (3) ◽  
pp. 1656-1664
Author(s):  
John Vianne Murcia ◽  
Joey Yares ◽  
Rey Cabilan ◽  
Honey Lorie Arat
Keyword(s):  
Cost Efficiency ◽  
Financial Statements ◽  
The Philippines ◽  
Data Envelopment ◽  
Financial Assets ◽  
Loan Portfolio ◽  
Input And Output ◽  
Cost Efficient ◽  
The Cost ◽  
Inputs And Outputs

The aim of this study is to determine the cost efficiency of thrift banks in the Philippines. Data were taken from the financial statements of thrift banks in the Central Bank of the Philippines from 2013 to 2016. In deriving cost efficiency, the inputs used were total liability, net of real and other property acquired and net of bank premises, furniture and fixture, and equipment, while outputs were represented in terms of total loan portfolio (TLP) and other financial assets. With the input and output variables employed, evident in the outcomes of data envelopment analysis that variable return-to-scale (VRS) assumption resulted to greater number of cost efficient banks as compared under constant return-to-scale (CRS) assumption. Although findings had revealed that most thrift banks cost efficiency percentages lie below 50 percent, there were still identified thrift banks that has been cost efficient in terms of inputs and outputs used in the study. Hence, majority of the thrift banks in the Philippines were not cost-efficient with respect to the inputs and outputs. Additionally, the number of thrift banks found to be cost-efficient are significantly low in both CRS and VRS assumptions, although VRS reflected greater number than CRS assumption. Implications were discussed in this paper based on the findings gleaned from the econometric analysis.

scholarly journals Cost efficiency of the Czech and Slovak banking sectors: an application of the data envelopment analysis

2016 ◽  
Author(s):  
Iveta Palecková
Keyword(s):  
Data Envelopment Analysis ◽  
Cost Efficiency ◽  
Commercial Banks ◽  
Banking Sector ◽  
Banking Industry ◽  
Returns To Scale ◽  
Data Envelopment ◽  
Cost Efficient ◽  
The Cost ◽  
Variable Returns To Scale

The aim of the paper is to estimate the cost efficiency of the Czech and Slovak commercial banks within the period 2010-2014. For empirical analysis the Data Envelopment Analysis input-oriented model with variable returns to scale is applied on the data of the commercial banks. The intermediation approach is adopted to define the inputs and outputs. The Czech commercial banks are more cost efficient than Slovak commercial banks. The development of average cost efficiency is similar in the Czech and Slovak banking industry. The most efficient Czech banks are Ceská sporitelna and Sberbank in the Czech banking sector, the most efficient Slovak bank is Privatbanka with 100% efficiency.

scholarly journals Cost Efficiency of Banks in Croatia

2015 ◽  
Vol 1 (1-2) ◽  
pp. 12-26
Author(s):  
Ivan Huljak
Keyword(s):  
Cost Efficiency ◽  
Economies Of Scale ◽  
Financial Statements ◽  
Consolidation Process ◽  
Banking Efficiency ◽  
Frontier Analysis ◽  
Administrative Costs ◽  
Cost Efficiencies ◽  
Cost Efficient ◽  
The Cost

Abstract Foreign and larger banks in Croatia are generally considered to be more cost efficient compared with domestic and smaller banks. However, those views are often based on data from financial statements that can be misleading due to simultaneous consolidation process on the market and the existence of economies of scale. To contribute to the Croatian banking efficiency literature, we construct a panel of individual bank data for 1994-2014 period and conduct a frontier analysis to calculate bank specific X-efficiency. Our results suggest that efficiency scores depend on the cost definition as domestic and smaller banks are more efficient in managing administrative costs compared with foreign and larger banks but equally efficient in managing total costs. Results indicate that average bank relative efficiency increased on two occasions: one in the late 90s in the period of banking crisis and subsequent “market cleansing” and to a lesser extent in the period marked with financial crisis. Although the differences between bank cost efficiencies seem small, we conclude that the area is worth further research as significant gains in bank earnings could be achieved by increasing efficiency.

A generalized fuzzy cost efficiency model

2020 ◽  
Vol 54 (6) ◽  
pp. 1775-1791
Author(s):  
Nazila Aghayi ◽  
Samira Salehpour
Keyword(s):  
Cost Efficiency ◽  
Minimum Cost ◽  
Extensive Literature ◽  
Data Envelopment ◽  
Fuzzy Environment ◽  
Decision Making Unit ◽  
Production Possibility Set ◽  
Fuzzy Cost ◽  
The Cost ◽  
Generalized Cost

The concept of cost efficiency has become tremendously popular in data envelopment analysis (DEA) as it serves to assess a decision-making unit (DMU) in terms of producing minimum-cost outputs. A large variety of precise and imprecise models have been put forward to measure cost efficiency for the DMUs which have a role in constructing the production possibility set; yet, there’s not an extensive literature on the cost efficiency (CE) measurement for sample DMUs (SDMUs). In an effort to remedy the shortcomings of current models, herein is introduced a generalized cost efficiency model that is capable of operating in a fuzzy environment-involving different types of fuzzy numbers-while preserving the Farrell’s decomposition of cost efficiency. Moreover, to the best of our knowledge, the present paper is the first to measure cost efficiency by using vectors. Ultimately, a useful example is provided to confirm the applicability of the proposed methods.

scholarly journals Cost Analysis of a Novel Method for Ecological Compensation—A Study of the Translocation of Dead Wood

2021 ◽  
Vol 13 (11) ◽  
pp. 6075
Author(s):  
Ola Lindroos ◽  
Malin Söderlind ◽  
Joel Jensen ◽  
Joakim Hjältén
Keyword(s):  
Cost Efficiency ◽  
Dead Wood ◽  
Road Transportation ◽  
Ecological Value ◽  
Ecological Compensation ◽  
Work Time ◽  
Delivery Times ◽  
Novel Method ◽  
Cost Efficient ◽  
The Cost

Translocation of dead wood is a novel method for ecological compensation and restoration that could, potentially, provide a new important tool for biodiversity conservation. With this method, substrates that normally have long delivery times are instantly created in a compensation area, and ideally many of the associated dead wood dwelling organisms are translocated together with the substrates. However, to a large extent, there is a lack of knowledge about the cost efficiency of different methods of ecological compensation. Therefore, the costs for different parts of a translocation process and its dependency on some influencing factors were studied. The observed cost was 465 SEK per translocated log for the actual compensation measure, with an additional 349 SEK/log for work to enable evaluation of the translocation’s ecological results. Based on time studies, models were developed to predict required work time and costs for different transportation distances and load sizes. Those models indicated that short extraction and insertion distances for logs should be prioritized over road transportation distances to minimize costs. They also highlighted a trade-off between costs and time until a given ecological value is reached in the compensation area. The methodology used can contribute to more cost-efficient operations and, by doing so, increase the use of ecological compensation and the benefits from a given input.

scholarly journals Bad Debt and Cost Efficiency in Vietnamese Commercial Banks

2015 ◽  
Vol 22 (1) ◽  
pp. 125-140
Author(s):  
Vinh Nguyen Thi Hong
Keyword(s):  
Data Envelopment Analysis ◽  
Cost Efficiency ◽  
Commercial Banks ◽  
Direct Relationship ◽  
Data Envelopment ◽  
Dea Method ◽  
Two Stages ◽  
The Cost ◽  
The Relationship ◽  
Bad Debt

The paper aims at exploring the relationship between bad debt and cost efficiency in Vietnamese commercial banks in the years 2007 – 2013. The research includes two stages: (i) Measuring the cost efficiency of banks by non-parameter Data Envelopment Analysis (DEA) method suggested by Coelli (2005); and (ii) Applying the Tobit model to identify two-way effects of bad debt and bank cost efficiency. The results show that the cost efficiency in Vietnamese commercial banks is 52.6% and there exists a direct relationship between bad debt and cost efficiency.

scholarly journals Global Prospects of the Cost-Efficiency of Broiler Welfare in Middle-Segment Production Systems

Animals ◽  
2019 ◽  
Vol 9 (7) ◽  
pp. 473 ◽  
Author(s):  
Luuk S.M. Vissers ◽  
Ingrid C. de Jong ◽  
Peter L.M. van Horne ◽  
Helmut W. Saatkamp
Keyword(s):  
United States ◽  
The Netherlands ◽  
Animal Welfare ◽  
Cost Efficiency ◽  
Production Systems ◽  
Production Costs ◽  
Middle Segment ◽  
Efficient Manner ◽  
Cost Efficient ◽  
The Cost

In the 2000s, the idea of a so-called middle-segment arose in North-West Europe to address the criticism on intensive broiler production systems. Middle-segment systems being indoor housing of slower-growing broiler strains at a stocking density ≤38 kg/m2. Previous literature showed that Dutch middle-segment systems entail a relatively large gain in animal welfare at a relatively low increase in costs, i.e., have a high cost-efficiency. The question is to what extent these findings are applicable to other countries. Therefore, the aim of this study is to gain insight in the global prospects of middle-segment systems by exploring the cost-efficiency of these systems in other parts of the world. A set of representative countries, containing the Netherlands, United States and Brazil were selected. Cost-efficiency was defined as the ratio of the change in the level of animal welfare and the change in production costs. The level of animal welfare was measured by the Welfare Quality (WQ) index score. Data was collected from literature and consulting experts. Results show that in the Netherlands, United States and Brazil a change from conventional towards a middle-segment system improves animal welfare in a cost-efficient manner (the Netherlands 9.1, United States 24.2 and Brazil 12.1). Overall, it can be concluded that in general middle-segment production systems provide a considerable increase in animal welfare at a relatively small increase in production costs and therefore offer good prospects for a cost-efficient improvement of broiler welfare.

scholarly journals Cost-efficient inter-robot delivery for resource-constrained and interdependent multi-robot schedules

2019 ◽  
Vol 16 (1) ◽  
pp. 172988141982804 ◽  
Author(s):  
Yin Chen ◽  
Xinjun Mao ◽  
Shuo Yang ◽  
Qiuzhen Wang
Keyword(s):  
Cost Efficiency ◽  
Resource Constrained ◽  
Task Execution ◽  
Robot System ◽  
Sequential Execution ◽  
Constrained Environments ◽  
Cost Efficient ◽  
The Cost ◽  
Multi Robot

A multi-robot system in resource-constrained environments needs to obtain resources for task execution. Typically, resources can be fetched from fixed stations, which, however, can be costly and even impossible when fixed stations are unavailable, depleted or distant from task execution locations. We present a method that allows robots to acquire urgently required resources from those robots with superfluous residual resources, by conducting rendezvouses with these robots. We consider a scenario where tasks are organised into a schedule on each robot for sequential execution, with cross-schedule dependencies for inter-robot collaboration. We design an algorithm to systematically generate such rendezvouses for entire multi-robot system to increase the proportion of tasks whose resource demands are satisfied. We also design an algorithm that periodically reallocates tasks among robots to improve the cost-efficiency of schedules. Our experiment shows the synergetic effectiveness of both algorithms, when fixed stations are unavailable and all resources are fetched through inter-robot delivery. We also investigate the effectiveness of inter-robot delivery in scenarios where fixed stations are existent but distant from the locations of tasks.

Investigating cost efficiency in the branch network of a Greek bank: an empirical study

2008 ◽  
Vol 34 (3) ◽  
pp. 160-171 ◽  
Author(s):  
Athanasios G. Noulas ◽  
Niki Glaveli ◽  
Ioannis Kiriakopoulos
Keyword(s):  
Regression Analysis ◽  
Commercial Bank ◽  
Cost Efficiency ◽  
Comparative Evaluation ◽  
Design Methodology ◽  
Future Research ◽  
Data Envelopment ◽  
Content Type ◽  
Dea Method ◽  
The Cost

PurposeThe purpose of this study is to examine the cost efficiency of 58 branches of a major Greek commercial bank, in six major Greek cities, for the years 2000 and 2001.Design/methodology/approachThe efficiency is measured through the data envelopment analysis (DEA) method. Using regression analysis, the effect of size on cost efficiency is also examined.FindingsThe results indicate that there is a room for substantial efficiency improvements. The average inefficiency is about 30 per cent. It has also been observed that rural branches tend, on average, to be more efficient than urban branches.Research limitations/implicationsA direction of future research would be to extend the analysis of determinants of bank branch efficiency in order to investigate the role that the region and the characteristics of the branch play in relation to efficiency.Originality/valueThe paper provides a comparative evaluation of the efficiency of 58 branches of a major Greek commercial bank using the DEA method.

National Cost Efficiency of Supported Employees With Intellectual Disabilities: 2002 to 2007

2010 ◽  
Vol 115 (1) ◽  
pp. 19-29 ◽  
Author(s):  
Robert E. Cimera
Keyword(s):  
United States ◽  
Intellectual Disabilities ◽  
Vocational Rehabilitation ◽  
Cost Efficiency ◽  
The United States ◽  
Considerable Variability ◽  
United State ◽  
Cost Efficient ◽  
The Cost

Abstract The cost efficiency of supported employees with intellectual disabilities who were served by vocational rehabilitation agencies throughout the United State from 2002 to 2007 was explored. Findings indicate that, on average, supported employees with intellectual disabilities were cost-efficient from the taxpayers' perspective regardless of whether they had secondary disabilities. In addition, no changes in cost efficiency were found during the period investigated. The data, however, did demonstrate considerable variability in cost efficiency throughout the United States and its territories.

scholarly journals The Cost Efficiency of the Brazilian Electricity Distribution Utilities: A Comparison of Bayesian SFA and DEA Models

2010 ◽  
Vol 2010 ◽  
pp. 1-20 ◽  
Author(s):  
Marcus Vinicius Pereira de Souza ◽  
Madiagne Diallo ◽  
Reinaldo Castro Souza ◽  
Tara Keshar Nanda Baidya
Keyword(s):  
Cost Efficiency ◽  
Stochastic Frontier Analysis ◽  
Stochastic Frontier ◽  
Fundamental Aspect ◽  
Data Envelopment ◽  
Electricity Distribution ◽  
Frontier Analysis ◽  
Dea Models ◽  
The Cost ◽  
Analysis Models

The purpose of this study is to evaluate the efficiency indices for 60 Brazilian electricity distribution utilities. These scores are obtained by DEA (Data Envelopment Analysis) and Bayesian Stochastic Frontier Analysis models, two techniques that can reduce the information asymmetry and improve the regulator's skill to compare the performance of the utilities, a fundamental aspect in incentive regulation schemes. In addition, this paper also addresses the problem of identifying outliers and influential observations in deterministic nonparametric DEA models.

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