• Title/Summary/Keyword: Data Envelopment analysis

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Efficiency Evaluation of Defence Industry Firms by Utilizing DEA (DEA를 활용한 국내 방산업체 효율성 분석)

  • Choi, Jae-Ho;Lee, Yoon-Woo;Jang, Min-uk;Seo, Sang-Won
    • Journal of the Korea Academia-Industrial cooperation Society
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    • v.19 no.9
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    • pp.501-507
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    • 2018
  • Owing to the complexity and modernization of weapon systems, the role of the defense industry in producing military supplies has become increasingly important. In previous defense industries, price competitiveness was a key factor in the product choice. On the other hand, as exports of domestic military supplies are expanding rapidly based on superior quality, there is a need to evaluate objectively the efficiency of management in the domestic defense industry. In this study, the efficiency of management was measured using DEA, which is one of the decision methodologies. In addition, the number of employees (QA Employee) and R&D performance were set as input variables to utilize DEA, and the output variables were based on sales and operating profit. Based on the results of the analysis, a future study will measure the efficiency of the management of domestic defense industry to help guide a strategic development plan.

Efficiency analysis of agricultural machinery rental system using the DEA model (자료포락분석법을 이용한 농기계 임대사업의 효율성 분석)

  • Hong, Soon-Jung;Huh, Yun-Kun;Chung, Sun-Ok;Hong, Song-Hyun
    • Korean Journal of Agricultural Science
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    • v.39 no.2
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    • pp.279-289
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    • 2012
  • This study was conducted to survey and diagnose operation status of the agricultural machinery rental service, analyse and compare operational efficiency among 82 city and county ATDEC (agricultural technology development and extension center) using the DEA (Data Envelopment Analysis) method, and recommend future direction, for improvement of the business. Input variables were invested budget and labor, and output variable was rental return. Percentages of return to investment on the rental service were calculated as 68.3% and 63.9% when analyzed with CCR (Charnes, Cooper and Rhodes) and BCC (Banker, Charnes and Cooper) models, respectively, indicating inefficiency of the service operation. Increase of rental charge would increase efficiency by 63.9~68.3% depending on models, and decrease of financial and labor investment would improve the efficiency by about 11.3%. Technical efficiency would be more important than scale efficiency, therefore adjustment of over-invested budget and labor needed to be made together with increase of rental charge to improve the operation. Among the ATDECs providing the rental service, 6 (7.3%), 43 (52.4%), and 33 (40.2%) were in state of CRS (constant return to scale), IRS (increasing return to scale), and DRS (decreasing return to scale), respectively. These indicated public aspects of the rental system, over-investment, lack of output component for input component, meaning that scale income would be increased by qualitative expand of rental charge. Efficiency analysis of the rental system by region showed that efficient ATDECs to be benchmarked by others were in the order of DMU-70, DMU-54, DMU-29, DMU-5, DMU-22, DMU-2, and DMU-61. More comprehensive and extensive survey and analyses would be necessary in the future.

Comparison of Efficiencies of Container Ports in the East Asia, Europe, and North America (동아시아 유럽 북미 컨테이너항만의 상대적 효율성 비교 분석)

  • Park, Koo-Woong
    • Journal of Korea Port Economic Association
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    • v.26 no.4
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    • pp.219-246
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    • 2010
  • Countries around the world are propelling policies and strategies to strengthen the competitiveness of their own ports as they recognize the roles and importance of the ports in the international trade and logistics. The main objective of this study is to compare efficiencies of major container ports and analyze the factors that affect the efficiencies in the three regions of East Asia, Europe, and North America, which cover most of world container shipping. We employ DEA models in analyzing the efficiencies of 45 container ports using 5 input and 2 output variables. We also carry out regression analyses to estimate the impacts of each factor on the throughput (TEU), overall technical efficiency (OTE), pure technical efficiency (PTE), and scale efficiency (SE). The analysis results show that East Asian ports, despite being smaller in average size, make greater output and achieve higher technical and scale efficiencies than European or North American ports.

Analysis on Logistics Efficiency of China's Agricultural Products Cold Chain from the Green Perspective

  • Qi, Lu;Chung, Gi-Young;Kim, Hyung-Ho
    • International Journal of Advanced Culture Technology
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    • v.8 no.2
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    • pp.192-203
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    • 2020
  • Although the market demand for cold-chain logistics of agricultural products in China is growing rapidly, the technology and scale of cold-chain logistics in China still lag behind the developed countries, resulting in large energy consumption. In our country, many authors have studied the efficiency of cold-chain logistics by using analytic hierarchy process and data envelopment method, but they haven't eliminated the influence of environmental factors and random error factors on the efficiency of cold-chain logistics, and most of them are limited to regional research. Therefore, in this paper, the three-stage DEA method is used. Based on the green logistics idea, firstly, the efficiency of 29 listed logistics enterprises in China is analyzed. Secondly, this paper uses SFA model to exclude the influence of environment and error factors on the analysis results, taking the enterprise's operating years, local GDP and the proportion of cold chain assets as environmental variables. Finally, this paper estimates the efficiency value again by adjusting the input value. The results are as follows: the main reason of high efficiency enterprises is to achieve scale efficiency. So the scale of assets should be maintained or appropriately expanded. At the same time, the economic development and the number of years of enterprise establishment will significantly affect the efficiency of cold-chain logistics. The influence of these environmental variables on the accuracy of the analysis conclusion should be fully considered.

A Study on the Analysis of Management Efficiency of Start-up Investment Companies (창업투자회사의 경영 효율성 분석에 관한 연구)

  • Lee, Jun-Hyung;Yoon, Jun-Sang
    • Journal of Digital Convergence
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    • v.19 no.5
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    • pp.353-363
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    • 2021
  • This study analyzed to provide information for business improvement by analyzing the management efficiency of start-up investment companies so that startup investment companies can operate efficiently and by presenting information on inefficient factors. From 2014 to 2018, 83 start-up investment companies were analyzed using the DEA model. Input variables were he number of employees, capital, and output variables were selected for start-up investment assets, operating income, and net profit. As a result of the analysis, technical efficiency and pure technical efficiency showed a pattern with an increase in average, but scale efficiency repeatedly increased and decreased. It is believed that the decline in technology efficiency was due to the decrease in pure technology efficiency, and the inefficiency of start-up investment companies seems to have influenced the inefficiency of start-up investment companies rather than the inefficiency of scale. In addition, the size revenue shows that the DRS value is gradually decreasing, and the IRS value is generally increasing. It is believed that efficiency can be improved if operational inefficiency is improved based on the results and efficiency measures are established through scale expansion.

A Study of The Influential Factors of Efficiency in Korean and Chinese Banks (한국과 중국 은행산업의 효율성 영향요인에 관한 실증분석)

  • Zhu, Hui-Qin;Li, Ming-Ji
    • International Area Studies Review
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    • v.16 no.3
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    • pp.99-118
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    • 2012
  • This study have done comparative analysis of Korean banks' restructure and Chinese banks' reformation, especially derives main factors that influence existence and improvement of competitiveness of Korean banks. The study measured effectiveness of 15 Chinese banks and 13 Korean banks, and conducted empirical analysis of what are the factors affect the efficiency of banks. The result and implication are as follow. First, Korean commercial banks' efficiency is higher than banks in China, but Chinese commercial banks are getting better every year. Second, as the factors affect efficiency of the banks, it shows that the scale of bank, asset reliabilities, ownership structure and financial performance are significant. Third, about the factors affect efficiency, the ownership structure, financial intermediation ratio, and the health of the assets are significant in Chinese banks. Fourth, about the factors affect efficiency, the financial performance and asset reliability are significant in Korean banks. Based on the results, we have identified current problems of Chinese and Korean banks, and also pointed out Korean banks and Government how to improve competitiveness of Bank industry.

Analysis of Technical Efficiency in Online and Digital Content Industry (온라인 및 디지털 콘텐츠 산업의 기술적 효율성 분석)

  • So, Soon-Hu;Lee, Mi-na
    • Proceedings of the Korean Institute of Information and Commucation Sciences Conference
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    • 2016.10a
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    • pp.128-130
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    • 2016
  • The digital content industry is growing rapidly with the popularity of online content and mobile devices. This study estimates the technical efficiency of the online digital content industry, and identifies factors that could be causing inefficiency. Unlike most previous studies, which adopted input-oriented or output-oriented DEA model, this study employs non-oriented DEA model in order to deal with both input surpluses and output shortfalls. The input variables for the empirical analysis are number of companies and number of workers. The total sales is used as the output variables. The empirical results show that the technical efficiency of the online digital content industry is relatively low mainly due to the scale efficiency rather than the pure technical efficiency. This implies that industry-specific policies should be implemented in order to improve technical efficiency as well as to strengthen technological innovation capability. Therefore, it is expected that the results obtained in this study can be used as a good reference for helping the online digital content industry enhance their competitiveness.

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Efficiency Analysis of Security Management System of Affiliates of Conglomerate Using DEA-SBM Model (DEA-SBM 모형을 이용한 대기업 계열사 보안관리 체계 효율성 분석)

  • Jung, Hyuk;Lee, Kyung-ho
    • Journal of the Korea Institute of Information Security & Cryptology
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    • v.32 no.2
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    • pp.341-353
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    • 2022
  • Conglomerates are strengthening cooperative relations by sharing information and dispatching manpower with each other to improve the overall competitiveness and technology of the group, including affiliates, and to enhance synergy. As a result, we are making every effort to increase the level of information protection of the entire group, but information leakage accidents that bypass affiliates and partner companies continue to occur. In addition, the results of the evaluation of the security management system of affiliates conducted by the parent company and the effectiveness of the actual security level have been raised. In addition, each company has limited resources that can be put into security management, so it is time for an more efficient security management system than ever before. In this study, the efficiency of operating the security management system of affiliates of steel companies is reviewed using the DEA-SBM model, and based on the analysis results, improvement measures to improve the level of security management are suggested.

Management Efficiency of Chestnut-Cultivating Households in Chungnam Province (충남지역 밤나무 재배 임가의 경영 효율성 분석)

  • Won, Hyun-Kyu;Jeon, Jun-Heon;Yoo, Byoung-Il;Lee, Seong-Youn;Lee, Jung-Min;Ji, Dong-Hyun
    • Journal of Korean Society of Forest Science
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    • v.102 no.3
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    • pp.390-397
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    • 2013
  • The study, utilizing a data envelopment analysis (DEA) which is one of the nonparametric estimation methods, aims to evaluate the management efficiency of chestnut tree cultivators in such provinces in Chungchungnam-do as Cheong-yang, Gong-ju, Bu-yeo and so on. The analysis data of this study is based on inputs and outputs of 20 forestry households surveyed in the 2012 survey titled 'A Study on Current Level and Condition of Chestnut Cultivation and Management', which was conducted from March 2012 to October 2012. The elements of inputs are composed of management cost, harvesting cost, material cost, non-operation expenses and cultivation area, while the element of output is a gross margin only. Then the study analyzes a technical efficiency, a puretechnical efficiency and a scale efficiency using CCR and BCC model among DEA methods. Based on that, it also provides improvement methods for forestry households that turned out to be inefficient. In order to verify the result of DEA analysis, the study additionally compares a result of this efficiency study with that of chestnuts management standard diagnostic table. According to the result, the average value of technical efficiency analyzed was 0.667, proving to be inefficient in general. Given that the average value of pure-technical efficiency was 0.944 and that of scale efficiency was 0.703, it can be inferred that inefficiency exists in the field of scale, not in the field of cultivation techniques. As for forestry households with the efficiency score of 1, it is shown that there were 6 households that recorded 1 in the technical efficiency field and 13 households that recorded 1 in the pure technical efficiency. Meanwhile, there were 6 households that recorded 1 in all of the three aspects. In the comparison with the scores from chestnuts management standard diagnostic table, there were 5 households made a high score of over 80, among which are 3 households with score 1 in the technical efficiency. Also, the results of this study and the chestnuts management standard diagnostic table are proved to have the same result, both of them showing the same households that recorded the highest score and the lowest score. This means the management efficiency evaluation using DEA can be applied to the fieldwork along with the chestnuts management standard diagnostic table.

Analyzing Regional Public Hospitals' Efficiency and Productivity Change (지방의료원의 효율성 및 생산성변화 분석)

  • Jeon, Jin-hwan;Kim, Jong-Ki
    • The Journal of the Korea Contents Association
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    • v.10 no.5
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    • pp.303-313
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    • 2010
  • The purpose of this study is to evaluate the performance efficiency and productivity change of the regional public hospital in Korea. We use DEA(Data Envelopment Analysis) for CCR, BCC model, and MPI(Malmquist Productivity Index). DEA is a useful nonparametric technique for measurement of efficiency of a DMU(Decision Making Unit) and MPI is a evaluation method to measure DMU's productivity change. We utilize 34 regional public hospital's time-series data over 6 years from 2003 to 2008.The results of this study were as follows. First, technical efficiency(TE) shows that approximately 3.6% of inefficiency exists on the regional public hospitals and it reveals that the cause for technical inefficiency is due to scale inefficiency. Second, MPI's results show that regional public hospital made effort to improve total factor productivity change to raise technical efficiency. In order to raise efficiency, the regional public hospitals should deploy internal innovation and the government should support welfare policies.