The output estimation of a DMU to preserve and improvement of the relative efficiency

In this paper, we consider the inverse BCC model is used to estimate output levels of the Decision Making Units (DMUs), when the input levels are changed and maintain the efficiency index for all DMUs. Since the inverse BCC problem is in the form of a multi objective nonlinear programming model (MONLP), which is not easy to solve. Therefore, we propose a linear programming model, which gives a Pareto-efficient solution to the inverse BCC problem. So far, we propose a model for improvement of the current efficiency value for considered DMU. Numerical examples are, also, used to illustrate the proposed approaches

OECD ülkelerinin sağlık etkinliklerinin veri zarflama ve ters veri zarflama analizleri ile değerlendirilmesi

In the present study, the purpose was to evaluate the health effectiveness of the Organization for Economic Development and Co-operation (OECD) countries, including Turkey, with input-oriented DEA and inverse DEA models. The input and output variables were determined by examining the studies in the literature. In this respect, the input variables were identified as the number of physicians per thousand people, the number of hospital beds per thousand people, health expenditure per capita; and output variables were expected life expectancy at birth, and rate of surviving infants. According to the DEA results, only Turkey, Mexico and Colombia were found to be efficient. In addition, the input variable which affects at most the health efficiency scores of countries was determined as the number of physicians. According to the findings of the inverse DEA obtained in the study, it was determined that the current number of physicians in Turkey was sufficient, and that the healthcare expenditure per person and the number of hospital beds should be increased.Bu çalışmada 2018 yılı için Türkiye’nin de içinde bulunduğu Ekonomik Kalkınma ve İşbirliği Örgütü (OECD) ülkelerinin sağlık alanındaki etkinliklerinin girdi yönlü DEA ve ters DEA modelleri ile değerlendirilmesi amaçlanmıştır. Girdi ve çıktı değişkenleri literatürdeki çalışmalar incelenerek belirlenmiştir. Buna göre girdi değişkenleri bin kişi başına düşen hekim sayısı, bin kişi başına düşen hastane yatağı sayısı, kişi başına düşen sağlık harcaması, çıktı değişkenleri ise doğumda beklenen yaşam süresi ve hayatta kalan bebek oranıdır. DEA sonuçlarına göre sadece Türkiye, Meksika ve Kolombiya etkin bulunmuştur. Ayrıca ülkelerin sağlık etkinlik puanlarını en fazla etkileyen girdi değişkeni doktor sayısı olarak belirlenmiştir. Elde edilen ters DEA bulgularına göre ise doğumda yaşam beklentisi ve bebek hayatta kalma oranı değerlerinin örneklemdeki en iyi değerlere yükseltilmesi için Türkiye’nin mevcut doktor sayısının yeterli olduğu, kişi başı sağlık harcamasının ve hastane yatak sayısının ise arttırılması gerektiği ortaya koyulmuştur

Modelling generalized firms' restructuring using inverse DEA

The key consideration for firms’ restructuring is improving their operational efficiencies. Market conditions often offer opportunities or generate threats that can be handled by restructuring scenarios through consolidation, to create synergy, or through split, to create reverse synergy. A generalized restructuring refers to a move in a business market where a homogeneous set of firms, a set of pre-restructuring decision making units (DMUs), proceed with a restructuring to produce a new set of post-restructuring entities in the same market to realize efficiency targets. This paper aims to develop a novel inverse Data Envelopment Analysis based methodology, called GInvDEA (Generalized Inverse DEA), for modeling the generalized restructuring. Moreover, the paper suggests a linear programming model that allows determining the lowest performance levels, measured by efficiency that can be achieved through a given generalized restructuring. An application in banking operations illustrates the theory developed in the paper

Using slacks-based model to solve inverse DEA with integer intervals for input estimation

This paper deals with an inverse data envelopment analysis (DEA) based on the non-radial slacks-based model in the presence of uncertainty employing both integer and continuous interval data. To this matter, suitable technology and formulation for the DEA are proposed using arithmetic and partial orders for interval numbers. The inverse DEA is discussed from the following question: if the output of DMUo increases from Y-o to /beta(o), such the new DMU is given by (alpha(o)& lowast;, /3) belongs to the technology, and its inefficiency score is not less than t-percent, how much should the inputs of the DMU increase? A new model of inverse DEA is offered to respond to the previous question, whose interval Pareto solutions are characterized using the Pareto solution of a related multiple-objective nonlinear programming (MONLP). Necessary and sufficient conditions for input estimation are proposed when output is increased. A functional example is presented on data to illustrate the new model and methodology, with continuous and integer interval variables

Exploring the Nexus between Banking Sector Reform and Performance: Evidence from Newly Acceded EU Countries

The aim of this study is to examine the relationship between banking sector reform and bank performance – measured in terms of efficiency, total factor productivity growth and net interest margin – accounting for the effects through competition and bank risk-taking. To this end, we develop an empirical model of bank performance and draw on recent econometric advances to consistently estimate it. The model is applied to bank panel data from ten newly acceded EU countries. The results indicate that both banking sector reform and competition exert a positive impact on bank efficiency, while the effect of reform on total factor productivity growth is significant only toward the end of the reform process. Finally, the effect of capital and credit risk on bank performance is in most cases negative, while it seems that higher liquid assets reduce the efficiency and productivity of banks.Bank performance; Banking sector reform; Competition; Risk-taking

Multi-Dimensional Assessment of Transit System Efficiency and Incentive-based Subsidy Allocation

Over the past several decades, contending with traffic congestion and air pollution has emerged as one of the imperative issues across the world. Development of a transit-oriented urban transport system has been realized by an increasing number of countries and administrations as one of the most effective strategies for mitigating congestion and pollution problems. Despite the rapid development of public transportation system, doubts regarding the efficiency of the system and financing sustainability have arisen. Significant amount of public resources have been invested into public transport; however complaints about low service quality and unreliable transit system performance have increasingly arisen from all walks of life. Evaluating transit operational efficiency from various levels and designing incentive-based mechanisms to allocate limited subsidies/resources have become one of the most imperative challenges faced by responsible authorities to sustain the public transport system development and improve its performance and levels of service. After a comprehensive review of existing literature, this dissertation aims to develop a multi-dimensional framework composed of a series of robust multi-criteria evaluation models to assess the operational and financial performance of transit systems at various levels of application (i.e. region/city level, operator level, and route level). It further contributes to bridging the gap between transit efficiency evaluation and the subsequent subsidy allocation by developing a set of incentive-based resource allocation models taking various levels of operational and financial efficiencies into consideration. Case studies using real-world transit data will be performed to validate the performance and applicability of the proposed models

Public sector efficiency: evidence for new EU member states and emerging markets

In this paper we analyse public sector efficiency in the new member states of the European Union compared to that in emerging markets. After a conceptual discussion of expenditure efficiency measurement issues, we compute efficiency scores and rankings by applying a range of measurement techniques. The study finds that expenditure efficiency across new EU member states is rather diverse especially as compared to the group of top performing emerging markets in Asia. Econometric analysis shows that higher income, civil service competence and education levels as well as the security of property rights seem to facilitate the prevention of inefficiencies in the public sector. JEL Classification: C14, H40, H50DEA, Efficiency, emerging markets, Government expenditure, new EU member states

Alternative efficiency measures for multiple-output production

This paper has two main purposes. Firstly, we develop various ways of defining efficiency in the case of multiple-output production. Our framework extends a previous model by allowing for nonseparability of inputs and outputs. We also specifically consider the case where some of the outputs are undesirable, such as pollutants. We investigate how these efficiency definitions relate to one another and to other approaches proposed in the literature. Secondly, we examine the behavior of these definitions in two examples of practically relevant size and complexity. One of these involves banking and the other agricultural data. Our main findings can be summarized as follows. For a given efficiency definition, efficiency rankings are found to be informative, despite the considerable uncertainty in the inference on efficiencies. It is, however, important for the researcher to select an efficiency concept appropriate to the particular issue under study, since different efficiency definitions can lead to quite different conclusions