scholarly journals Transit Service Contracting and Cost-Efficiency

1998 ◽  
Vol 1618 (1) ◽  
pp. 69-77 ◽  
Author(s):  
William Shelton McCullough ◽  
Brian D. Taylor ◽  
Martin Wachs
Keyword(s):  
Cost Efficiency ◽  
Cost Savings ◽  
National Sample ◽  
Significant Variable ◽  
Medium Term ◽  
Local Conditions ◽  
Contracting Out ◽  
Transit Services ◽  
Bus Services ◽  
The Cost

Contracting out for services is a controversial issue in public transit. Proponents argue that contracting always saves money in comparison with public operation, whereas critics respond that cost savings through contracting are overstated and come almost exclusively at the expense of labor. In order to determine the medium-term effectiveness of contracting out transit services, the impacts of contracting on the cost per vehicle-hour of fixed-route bus services are examined. A national sample of operators is studied, including some that contract out none of their routes, others that contract out all of their routes, and some that contract out a portion of their service. The effects of contracting on costs are examined for the years between 1989 and 1993. The findings show that bus services operated under contract are sometimes, but not always, less costly than directly operated services. A regression model is used to test the influence of a variety of factors on cost per vehicle-hour, and contracting is found not to be the most significant variable influencing operating costs. The findings indicate that vehicle and labor use have far more influence on cost-efficiency than either wages or contracting arrangement. It is concluded that cost-efficiency can be achieved in many different ways, depending upon local conditions, and contracting should not be assumed to be the most appropriate strategy in every situation.

Cost efficiency of SDN-enabled service function chaining

Info ◽  
2016 ◽  
Vol 18 (5) ◽  
pp. 45-55 ◽  
Author(s):  
Nan Zhang ◽  
Heikki Hämmäinen ◽  
Hannu Flinck
Keyword(s):  
Cost Efficiency ◽  
Service Providers ◽  
Cost Savings ◽  
Mobile Network ◽  
Baseline Scenario ◽  
Lte Networks ◽  
Efficient Operation ◽  
Content Type ◽  
Service Function ◽  
The Cost

Purpose This paper models the cost efficiency of service function chaining (SFC) in software-defined LTE networks and compares it with traditional LTE networks. Design/methodology/approach Both the capital expenditure (CAPEX) and operational expenditure (OPEX) of the SFC are quantified using an average Finnish mobile network in 2015 as a reference. The modeling inputs are gathered through semi-structured interviews with Finnish mobile network operators (MNO) and network infrastructure vendors operating in the Finnish market. Findings The modeling shows that software-defined networking (SDN) can reduce SFC-related CAPEX and OPEX significantly for an average Finnish MNO in 2015. The analysis on different types of MNOs implies that a MNO without deep packet inspection sees the biggest cost savings compared to other MNO types. Practical implications Service function investments typically amount to 5-20 per cent of the overall MNO network investments, and savings in SFC may impact highly on the cost structure of a MNO. In addition, SFC acts as both a business interface, which connects the local MNOs with global internet service providers, and as a technical interface, where the 3GPP and IETF standards meet. Thus, the cost efficient operation of SFC may bring competitive advantages to the MNO. Originality/value The results show solid basis of network-related cost savings in SFC and contributes to MNOs making cost conscious investment decisions. In addition, the results act as a baseline scenario for further studies that combine SDN with virtualization to re-optimize network service functions.

scholarly journals The Outsourcing Debate: Theories and Findings

2005 ◽  
Vol 11 (2) ◽  
pp. 37-52 ◽  
Author(s):  
Stewart R. Clegg ◽  
Steve Burdon ◽  
Natalia Nikolova
Keyword(s):  
Cost Efficiency ◽  
Cost Savings ◽  
Organisational Change ◽  
Significant Cost ◽  
Service Levels ◽  
Partnership Model ◽  
Services Outsourcing ◽  
Front Office ◽  
The Cost ◽  
Back Office

ABSTRACTThis paper addresses the issue of services outsourcing by looking at both theoretical and empirical arguments. Previous debates have often concentrated on the motives for adopting the practice rather than the outcomes. These various themes can be discussed under the twin concepts of the cost and efficiency argument and the fashion and isomorphism approach. Our research provides strong evidence to support the cost efficiency argument. On average, significant cost advantages were sought and delivered, as well as improvements in service levels and systems. Many organisations in the current environment in Australia look at outsourcing not only as a method of increasing efficiency but also as gaining competitive advantage through harnessing the superior specialist skills and experience of the outsourcing provider who takes someone's back office function and transforms them into their front office. A 10% net cost saving was considered necessary by an organisation before embarking on an organisational change that was disruptive and in some cases involved downside risks. Even if other efficiency gains such as service levels or systems improvements were required, so were 10%+ cost savings. A number of the organisations thought their skills in managing outsourcing had improved considerably such that they were in a position to move from a client/server relationship to a partnership model (i.e. an alliance).

Measuring the Cost Efficiency of International Tourist Hotels in Taiwan

2006 ◽  
Vol 12 (1) ◽  
pp. 65-85 ◽  
Author(s):  
Fei-Ching Wang ◽  
Wei-Ting Hung ◽  
Jui-Kou Shang
Keyword(s):  
Technical Efficiency ◽  
Cost Efficiency ◽  
Allocative Efficiency ◽  
Cost Savings ◽  
Scale Efficiency ◽  
Tobit Regression ◽  
Efficiency Measures ◽  
International Tourist ◽  
Dea Efficiency ◽  
The Cost

This study employs data envelopment analysis (DEA) to evaluate the relative cost efficiency of 49 international tourist hotels in Taiwan. The study uses five different measures: overall efficiency (OE), allocative efficiency (AE), technical efficiency (TE), scale efficiency (SE) and pure technical efficiency (PTE). Applying efficiency measures derived from the DEA estimation, hotel efficiency determinants are evaluated using the Tobit regression model. A bootstrapping technique is applied to overcome the interdependency problem of the DEA efficiency scores adopted in the regression analysis. The empirical results demonstrate that the international tourist hotel industry in Taiwan is inefficient, with most efficiency losses attributable to technical inefficiencies, of which scale inefficiencies are the primary cause – the scale of operations of international tourist hotels in Taiwan being too small to enable the cost-savings associated with larger-scale operations. The Tobit regression results indicate that the proportion of foreign individual travellers (FIT), online transaction function (WEB) and franchising (HOTELTYPE) are related to a better performance of international tourist hotels in Taiwan. The number of years a hotel has been operating (AGE) is not significantly related to any of the efficiency measures.

Assessing the Transit Agency Business Case for Partial and Full Automation of Bus Services

2019 ◽  
Vol 2673 (5) ◽  
pp. 109-118
Author(s):  
Sean Peirce ◽  
Joshua Cregger ◽  
Eric Burkman ◽  
Heather Richardson ◽  
Elizabeth Machek ◽  
...  
Keyword(s):  
Cost Savings ◽  
Business Case ◽  
Labor Cost ◽  
Driver Assistance ◽  
Driver Assistance Systems ◽  
Considerable Uncertainty ◽  
Full Automation ◽  
Vehicle Automation ◽  
Bus Services ◽  
The Cost

This paper analyzes the cost-effectiveness of vehicle automation investments for public transit bus services. The calculations are developed for a set of illustrative use cases, using information from market surveys of available technologies and findings from demonstration projects and simulations. Overall, the results indicate that advanced driver assistance systems generally have a strong business case, in that they can provide operational savings that exceed their costs when considered over the life cycle of the bus. For full automation, the situation is more complex: there is the potential for very large labor cost savings, but considerable uncertainty about whether unstaffed scenarios are compatible with the continued need to perform nondriving tasks such as customer assistance and fare collection.

scholarly journals The Outsourcing Debate: Theories and Findings

2005 ◽  
Vol 11 (2) ◽  
pp. 37-52 ◽  
Author(s):  
Stewart R. Clegg ◽  
Steve Burdon ◽  
Natalia Nikolova
Keyword(s):  
Cost Efficiency ◽  
Cost Savings ◽  
Organisational Change ◽  
Significant Cost ◽  
Service Levels ◽  
Partnership Model ◽  
Services Outsourcing ◽  
Front Office ◽  
The Cost ◽  
Back Office

ABSTRACTThis paper addresses the issue of services outsourcing by looking at both theoretical and empirical arguments. Previous debates have often concentrated on the motives for adopting the practice rather than the outcomes. These various themes can be discussed under the twin concepts of the cost and efficiency argument and the fashion and isomorphism approach. Our research provides strong evidence to support the cost efficiency argument. On average, significant cost advantages were sought and delivered, as well as improvements in service levels and systems. Many organisations in the current environment in Australia look at outsourcing not only as a method of increasing efficiency but also as gaining competitive advantage through harnessing the superior specialist skills and experience of the outsourcing provider who takes someone's back office function and transforms them into their front office. A 10% net cost saving was considered necessary by an organisation before embarking on an organisational change that was disruptive and in some cases involved downside risks. Even if other efficiency gains such as service levels or systems improvements were required, so were 10%+ cost savings. A number of the organisations thought their skills in managing outsourcing had improved considerably such that they were in a position to move from a client/server relationship to a partnership model (i.e. an alliance).

scholarly journals Cost Efficiency of the Ghanaian Banking Sector: The Post-Liberalisation Experience

2019 ◽  
Vol 3 (3) ◽  
pp. p190
Author(s):  
Elvis Cornerstone
Keyword(s):  
Cost Efficiency ◽  
Banking Sector ◽  
Efficiency Score ◽  
Local Conditions ◽  
Credit Quality ◽  
Cross Border ◽  
Financial Liberalisation ◽  
Using Data ◽  
High Level ◽  
The Cost

Using data from 1997 to 2008, this paper investigates the cost efficiency of the Ghanaian banking sector after financial liberalisation. The Ghanaian bank with the highest efficiency score is found to be operating at maximum possible efficiency. The average bank is however operating at high costs. Despite mixed evidence in the literature, there is the received wisdom that most cross-border mergers and acquisitions post-liberalisation result in failure due to factors that include poor credit quality, inadequate generation of fee income, and poor customer mix. In Ghana, the situation is different because the only foreign-acquired bank had prior knowledge of the local conditions and has managed to utilise this advantage, coupled with redundancy programmes and layoffs and without branch expansion following the acquisition, to operate at a relatively high level of cost efficiency.

Streamlining the Imaging of Clinically Suspected Pheochromocytoma: Using Urine Metanephrines to Decrease Imaging Costs

2014 ◽  
Vol 65 (4) ◽  
pp. 372-378 ◽  
Author(s):  
Michael Stamm ◽  
Jonathan T. Abele
Keyword(s):  
Magnetic Resonance ◽  
Cost Efficiency ◽  
Single Photon ◽  
Photon Emission ◽  
Cost Savings ◽  
Imaging Evaluation ◽  
Imaging Algorithm ◽  
Meta Iodo Benzyl Guanidine ◽  
The Cost ◽  
Ct Studies

Purpose To improve the cost efficiency of the imaging evaluation of clinically suspected pheochromocytoma by using 24-hour fractionated urine metanephrine (FUM) results. Methods A retrospective review of I-123 meta-iodo-benzyl-guanidine single photon emission tomography (SPECT) computed tomography (CT) studies performed at our institution between January 2007 and February 2011 for clinically suspected pheochromocytoma was performed. SPECT-CT results from 70 patients were compared with results from 24-hour FUM analysis (within 2 months of SPECT-CT) and with relevant CT or magnetic resonance imaging studies (within 6 months of SPECT-CT). An imaging algorithm was developed to maximize cost efficiency without altering the final imaging interpretation. Actual imaging costs for the studied cohort were compared with the expected costs if this algorithm had been applied. Results If the 24-hour FUMs were normal, then all the SPECT-CT studies were negative (16/70). Eighty-seven percent of patients with abnormal total metanephrine had a positive SPECT-CT. If the total metanephrine was normal but 1 or more of the metanephrine fractions were abnormal, then 39%-58% of the SPECT-CT studies were positive. Within this subgroup, none had a positive SPECT-CT if a CT or magnetic resonance image was negative or benign. The actual imaging costs averaged CAD$2833.19 per patient for this cohort. Applying a streamlined imaging algorithm guided by 24-hour FUM analysis would result in an average imaging cost of CAD$1225.97 per patient without an expected change in the final imaging impression. Conclusion By using 24-hour FUM results to streamline imaging, considerable cost savings per patient (56.7%) can be attained without a change in the final overall imaging interpretation.

Exploration-Stage Implementation Variation

2014 ◽  
Vol 222 (1) ◽  
pp. 37-48 ◽  
Author(s):  
Stephanie Romney ◽  
Nathaniel Israel ◽  
Danijela Zlatevski
Keyword(s):  
Parent Training ◽  
Average Cost ◽  
Cost Savings ◽  
Training Group ◽  
Group Differences ◽  
Triple P ◽  
Community Based ◽  
Parent Training Program ◽  
A Site ◽  
The Cost

The present study examines the effect of agency-level implementation variation on the cost-effectiveness of an evidence-based parent training program (Positive Parenting Program: “Triple P”). Staff from six community-based agencies participated in a five-day training to prepare them to deliver a 12-week Triple P parent training group to caregivers. Prior to the training, administrators and staff from four of the agencies completed a site readiness process intended to prepare them for the implementation demands of successfully delivering the group, while the other two agencies did not complete the process. Following the delivery of each agency’s first Triple P group, the graduation rate and average cost per class graduate were calculated. The average cost-per-graduate was over seven times higher for the two agencies that had not completed the readiness process than for the four completing agencies ($7,811 vs. $1,052). The contrast in costs was due to high participant attrition in the Triple P groups delivered by the two agencies that did not complete the readiness process. The odds of Triple P participants graduating were 12.2 times greater for those in groups run by sites that had completed the readiness process. This differential attrition was not accounted for by between-group differences in participant characteristics at pretest. While the natural design of this study limits the ability to empirically test all alternative explanations, these findings indicate a striking cost savings for sites completing the readiness process and support the thoughtful application of readiness procedures in the early stages of an implementation initiative.

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.

REKAYASA NILAI HARGA PEMBUATAN TERHADAP EFEKTIFITAS PENGGUNAAN BAHAN PADA PEMBANGUNAN PERUMAHAN TIRTO PENATARAN ASRI TIPE 70/135 KECAMATAN NGLEGOK KABUPATEN BLITAR

2017 ◽  
Vol 7 (1) ◽  
pp. 43-52
Author(s):  
Mochamad Tamim Ma’ruf
Keyword(s):  
Engineering Application ◽  
Cost Savings ◽  
Comparison Method ◽  
Value Engineering ◽  
Design Work ◽  
Housing Projects ◽  
Initial Design ◽  
A Value ◽  
The Cost ◽  
Design Proposal

One-solving methods and techniques necessary to avoid inefficiencies and not economic costs as well as reduce the cost of housing construction is the method of Value Engineering. Value engineering is a method and cost control techniques to analyze a function to its value at the lowest cost alternative (most economical) without reducing the quality desired.At the writing of this study used a comparison method by comparing the initial design to the design proposal of the author. In the housing projects Upgrading Tirto Penataran Asri type 70, the application of Value Engineering conducted on the job a couple walls and roofs pair by replacing some work items with a more economical alternative but does not change the original function and high aesthetic level and still qualify safe. For that performed the step of determining a work item, the alternative stage, the analysis stage, and the stage of recommendations to get a Value Engineering application and cost savings against the wall a couple of work items and partner roof.The proposed design as compared to the initial design. Work items discussed was the work of a couple wall having analyzed obtained savings of Rp. 2,747,643.56 and the work of the roof pair obtained savings of Rp. 2,363,446.80. Thus the total overall savings gained is Rp 5,111,090.36 or savings of 0048%.

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