Cross-Efficiency Evaluation Method with Compete-Cooperate Matrix

Cross-efficiency evaluation method is an effective and widespread adopted data envelopment analysis (DEA) method with self-assessment and peer-assessment to evaluate and rank decision making units (DMUs). Extant aggressive, benevolent, and neutral cross-efficiency methods are used to evaluate DMUs with competitive, cooperative, and nontendentious relationships, respectively. In this paper, a symmetric (nonsymmetric) compete-cooperate matrix is introduced into aggressive and benevolent cross-efficiency methods and compete-cooperate cross-efficiency method is proposed to evaluate DMUs with diverse (relative) relationships. Deviation maximization method is applied to determine the final weights of cross-evaluation to enhance the differentiation ability of cross-efficiency evaluation method. Numerical demonstration is provided to illustrate the reasonability and practicability of the proposed method

Hospital efficiency: directed internship: Deloitte & NOVA SBE

A Work Project, presented as part of the requirements for the Award of a Masters Degree in Economics from the NOVA – School of Business and EconomicsIn a context of economic recession, where resource scarcity follows every manager, efficiency is the only way out. Health Care is no exception. Continuous budgetary cuts from central authorities led to increasing pressures in hospital managers to achieve efficient results. In light of being able to quantify efficiency, this work project has the aim of identifying the best of two frontier based analysis (Stochastic Frontier Analysis and Data Envelopment Analysis) by performing efficiency estimations for a single year using variables from the Portuguese reality, allowing the identification of inefficiency sources. Efficiency scores will be obtained to compare hospitals for efficiency ranks and several efficiency-seeking suggestions will be stated in the end. The scores obtained from the estimations show that some hospitals still have a rough path to endure if they are to achieve economic efficiency. From the analysis we can see that efficient hospitals vary for each model. (8 in SFA [hospitals with a score higher than 0.95] and 17 in DEA). Estimation outputs suggest that changes in hospital size or services provided should occur in order to achieve higher efficiency, which is in light with the presently taken health policies

Internal Determinants Of Bank Profitability In South Africa: Does Bank Efficiency Matter?

In a study conducted by Ncube (2009) to evaluate bank cost and profit efficiency, it was established that South African banks were more efficient at managing costs than generating profits. In this paper, the aim is to complement this particular work by exploring the internal determinants of bank profitability but with more focus on the impact of bank efficiency. Applying a two step-methodology framework to a panel of four small banks and four large banks for the period 2005-2011, total factor productivity efficiency (TFPE) scores were generated using the DEA methodology. Within the first stage, the intermediation approach was followed in which bank inputs included total operating expenses, labour, fixed assets, and total deposits while interest income, non-interest income and gross loans were considered as output variables. Each bank`s efficiency score for each of the periods was then evaluated based on its distance from the constructed efficiency frontier. In the second stage analysis, the Generalised Least Squares Fixed Effects Model was then performed to examine the impact of TFPE among other internal determinant factors on bank profitability indicators, specifically return on average assets (ROAA) and net interest margin (NIM). The obtained empirical findings showed that high total factor productivity efficiency and capital adequacy lead to higher profitability, while high cost inefficiency, diversification activities, large bank size, and high credit risk leads to lower profitability. Of great importance was that both models confirmed the positive role of attaining efficiency as an important driver of profitability among banks

Economic cross-efficiency

This paper introduces a series of new concepts under the name of Economic Cross-Efficiency, which is rendered operational through Data Envelopment Analysis (DEA) techniques. To achieve this goal, from a theoretical perspective, we connect two key topics in the efficiency literature that have been unrelated until now: economic efficiency and cross-efficiency. In particular, it is shown that, under input (output) homotheticity, the traditional bilateral notion of input (output) cross-efficiency for unit l, when the weights of an alternative counterpart k are used in the evaluation, coincides with the well-known Farrell notion of cost (revenue) efficiency for evaluated unit l when the weights of k are used as market prices. This motivates the introduction of the concept of Farrell Cross-Efficiency (FCE) based upon Farrell's notion of cost (revenue) efficiency. One advantage of the FCE is that it is well defined under Variable Returns to Scale (VRS), yielding scores between zero and one in a natural way, and thereby improving upon its standard cross-efficiency counterpart. To complete the analysis we extend the FCE to the notion of Nerlovian cross-inefficiency (NCI), based on the dual relationship between profit inefficiency and the directional distance function. Finally, we illustrate the new models with a recently compiled dataset of European warehousesSpanish Ministry for Science and Innovation and the State Research Agency under grants PID2019-105952GB-I00/AEI/10.13039/501100011033 and EIN2020-112260/AEI/10.13039/50110001103

Assessment of efficiency in basic and secondary education in Tunisia: A regional analysis

To determine the factors enhancing the efficiency of basic and secondary education in 24 governorates of Tunisia in 1999, 2003, 2006 and 2008, we apply a non-parametric approach, Data Envelopment Analysis (DEA) to multi-inputs and multi-outputs. Physical resources used in the study are: the number of classes per 100 students and the number of schools per million inhabitants. Human and financial resources are described by the number of teacher per 100 students and education spending per student respectively. The output measures include the success rate of baccalaureate exam and the rate of non-doubling in the 9th year. Our results show the absence of significant relationship between school resources and student performance. The output variable, non-doubling rate in the 9th year is the only factor able to influence the efficiency level of governorates in terms of 2nd cycle of basic education and secondary education. By regressing efficiency scores on non-discretionary variables, we find that inefficiency in education is strongly related to poverty within governorates.info:eu-repo/semantics/publishedVersio