A Non Parametric Approach for Measuring the Operational Efficiency of Water Service Providers

2013 ◽  
Vol 409-410 ◽  
pp. 108-113
Author(s):  
Corrado lo Storto

This paper presents a benchmarking study that measures operational efficiency of water service providers. The problem of measuring the operational efficiency of water suppliers is addressed by adopting a non parametric approach based on Data Envelopment Analysis. The benchmarking model uses both physical infrastructure network and financial variables. The model is implemented calculating efficiencies of 53 Italian service providers. Results show that there are important operational inefficiencies, mostly due to scale diseconomies.

2017 ◽  
Vol 4 (8) ◽  
pp. 668
Author(s):  
Yurike Fitria Astuti ◽  
Noven Suprayogi

This study aims to determine and comparing the level of operational efficiency of Islamic Life Insurance and Conventional Life Insurance in Indonesia. This study uses a quantitative non-parametric approach With Data Envelopment Analysis (DEA) CRS and VRS assumption, and a statistical tool Mann-Whitney U-Test. The samples are 13 Islamic Insurance and 5 Conventional Insurance that comply with the specified sample criteria. During 2010 to 2014, the relative average value of Islamic Life Insurance and Conventional Life Insurance with VRS assumption more efficient than CRS assumption. This indicates that in relative terms, the source of operational inefficiency is not effective on the efficiency scale. While the hypothesis test results showed no significant differences in levels of operational efficiency in both groups the data by CRS assumptions and VRS.


2007 ◽  
Vol 9 (4) ◽  
Author(s):  
Umi Karomah Yaumidin

Penelitian ini bertujuan untuk membandingkan tingkat efisiensi bank-bank Islam di kawasan Timur Tengah dan Asia Tenggara. Hal ini didasari pada kegagalan perbankan yang mendorong terjadinya krisis keuangan domestik maupun international dalam dasawarsa terakhir. Efisiensi perbankan akhirnya menjadi perhatian penting tidak hanya di Asia setelah krisis di tahun 1997, namun juga di belahan dunia lainnya. Di sisi lain perkembangan bank-bank Islam kiranya telah dianggap sebagai alternatif solusi untuk menuju perbankan yang sehat. Dengan demikian, studi tentang efisiensi bank-bank Islam menjadi kajian menarik, terutama perbandingan efisiensi antar kawasan. Dalam paper ini digunakan metode non parametrik Data Envelopment Analysis (DEA) untuk mengukur efisiensi skor data panel yang mencakup empat puluh delapan bank Islam selama kurun waktu 2000 hingga 2004. Pendekatan yang digunakan dalam paper ini adalah pendekatan intermediasi yang dianggap paling sesuai dengan prinsip-prinsip sistem keuangan Islam.Secara keseluruhan, hasil perhitungan menunjukkan bahwa bank-bank Islam di Asia Tenggara sedikit lebih effisien dibandingkan bank-bank Islam di Timur Tengah. Salah satu penyebabnya adalah tragedi 9/11 di tahun 2001 dan perang Iraq yang berlangsung di tahun 2002. Oleh karena itu dapat disimpulkan bahwa bank-bank Islam masih sangat tergantung pada sistem keuangan dan segala bentuk peraturan perbankan yang berlaku baik di tingkat nasional, regional maupun global, serta karakteristik perbedaan resiko yang berkonsekuensi pada perbedaan regulasi prudential sangat menentukan fluktuasi skor effisiensi.Keywords:Efficiency, Islamic banking, Data Envelopment Analysis (DEA)JEL Classification: D61, G21, C14


2019 ◽  
Vol 5 (1) ◽  
pp. 46-56
Author(s):  
Supriyono Supriyono ◽  
Ahmad Rodoni ◽  
Yacop Suparno ◽  
Hermadi Hermadi ◽  
Hilyatun Nafisah

In this study, the researcher would make Panin Dubai Syariah Bank was the object of research on Islamic banks that carry out mergers and acquisitions. This research by using quarterly financial reports to determine the level of efficiency of the Panin Dubai Syariah Bank to be analyzed using the Data Envelopment Analysis (DEA) method. The researcher was used the annual report to find out the extent the Panin Dubai Syariah Bank carries out its Shariah values and objectives to be analyzed based on the Maqashid Index Sharia. The frontier approach can be divided into parametric approaches and non-parametric approaches. The parametric  approach  takes  measurements  using  stochastic  econometrics  and  seeks  to  eliminate interference from the effects of inefficiency. While the non-parametric approach with linear programs ( non-parametric linear programming approach ) performs non-parametric measurements using an approach is not stochastic and tends to combine the interference into inefficiency. This is based on the discovery and observation of the population and evaluates efficiency relative to the units observed. In the non- parametric method, the approaches that can be used are Data Envelopment Analysis (DEA) and Free Disposal Hull (FDH). The results of the measurement of Bank Panin Dubai Syariah using DEA indicate that the decision to merge carried out by Panin Syariah Bank with Dubai Islamic Bank was the right decision because, with the merger, Panin Dubai Syariah Bank could produce almost perfect efficiency value of 99% in the year 2015. With doing the merger, Bank Panin Dubai Syariah can minimize the inefficiencies that occur in the input variable so that it can maximize the efficiency that occurs in the output variable


2017 ◽  
Vol 3 (4) ◽  
pp. 333
Author(s):  
Hikmah Maulidiyah ◽  
Nisful Laila

This study measured and compared the efficiency of Islamic Bank in Malaysia and Indonesia. This sytudy used a quantitative non-parametric approach by using Data Envelopment Analysis (DEA)VRS assumption, and a statistic tool Mann-Whitney-U-Test. The samples were 6 Islamic Banks in Malaysia and 10 Islamic Bank in Indonesia that comply with the specified sample criteria during 2010-2014.The results of this research showed that Islamic Banks in Indonesia relatively higher than Islamic Bank in Malaysia based on VRS assumption. Source of inefficiency in Islamc banks in Indonesia more due to inefficiency on a scale. While the hypothesis test showed that there are no significant differences of efficiency between Islamic bank in Indonesia and Malaysia with VRS Assumtion .


2019 ◽  
Vol 6 (4) ◽  
pp. 16-28
Author(s):  
Vijayamohanan Pillai N ◽  
AM Narayanan

Traditionally, there are two basically reciprocal energy efficiency Indicators: one, in terms of energy intensity, that is, energy use per unit of activity output, and the other, in terms of energy productivity, that is, activity output per unit of energy use. The enquiry that has proceeded from the problems associated with this method of a single energy input factor in terms of productivity has led to multi-factor productivity analysis. We have here two approaches: parametric and non-parametric. Parametric approach famously includes two methods: the erstwhile popular total factor energy productivity analysis and the currently fanciful stochastic frontier production function analysis; The non-parametric approach is popularly represented by data envelopment analysis. The present paper is an attempt to measure efficiency in electrical energy consumption in Kerala, India. We apply the non-parametric mathematical programming method of data envelopment analysis of the multi-factor productivity approach, and estimate the efficiency measures under the two scale assumptions of constant returns to scale (CRS) and variable returns to scale (VRS); the latter includes both increasing (IRS) and decreasing returns to scale (DRS). Scale efficiency measures are also given to find out whether a firm is operating at its optimal size or not, implying degrees of capacity utilization.


2018 ◽  
Vol 10 (9) ◽  
pp. 3168 ◽  
Author(s):  
Haoran Zhao ◽  
Huiru Zhao ◽  
Sen Guo

With the implementation of new round electricity system reform in China, the provincial electricity grid enterprises (EGEs) of China should focus on improving their operational efficiency to adapt to the increasingly fierce market competition and satisfy the requirements of the electricity industry reform. Therefore, it is essential to conduct operational efficiency evaluation on provincial EGEs. While considering the influences of exterior environmental variables on the operational efficiency of provincial EGEs, a three-stage data envelopment analysis (DEA) methodology is first utilized to accurately assess the real operational efficiency of provincial EGEs excluding the exterior environmental values and statistical noise. The three-stage DEA model takes the amount of employees, the fixed assets investment, the 110 kV and below distribution line length, and the 110 kV and below transformer capacity as input variables and the electricity sales amount, the amount of consumers, and the line loss rate as output variables. The regression results of the stochastic frontier analysis model indicate that the operational efficiencies of provincial EGEs are significantly affected by exterior environmental variables. Results of the three-stage DEA model imply that the exterior environmental values and statistical noise result in the overestimation of operational efficiency of provincial EGEs, and the exclusion of exterior environmental values and statistical noise has provincial-EGE-specific influences. Furthermore, 26 provincial EGEs are divided into four categories to better understand the differences of operational efficiencies before and after the exclusion of exterior environmental values and statistical noise.


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