• Title/Summary/Keyword: Technical efficiency

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An Analysis of Management Performance and Efficiency of Medician Crop Farm - Mainly on Angelica dahurica and Bupleurum falcatum - (약용작물의 경영성과와 효율성 분석 -구릿대와 시호를 중심으로-)

  • Choi, Don-Woo;Lim, Cheong-Ryong
    • Journal of the Korea Academia-Industrial cooperation Society
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    • v.18 no.6
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    • pp.400-406
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    • 2017
  • This study was conducted to provide improvement measures for Korea's medicinal crop farmers whose business has been severely damaged by imported medicinal herbs. To accomplish this, the performance and efficiency of farming Angelica dahurica and Bupleurum falcatum were analyzed. The results of the analysis can be summarized as follows. First, the farming households cultivating Angelica dahurica had an average revenue of 1,363,000 KRW per 10 acres. The average income per 10 acres was 500,000 KRW, and the income ratio was 36.7%. Second, the farming households cultivating Bupleurum falcatum had an average revenue of 1,705,000 KRW per 10 acres, with an average income per 10 acres of 873,000 KRW and an income ratio of 44.6%. Third, the farming households cultivating Angelica dahurica were found to have a technical efficiency of 0.790, a pure technical efficiency of 0.856, and a scale efficiency of 0.924. Fourth, the farming households cultivating Bupleurum falcatum were found to have a technical efficiency of 0.670, a pure technical efficiency of 0.794, and a scale efficiency of 0.844. Both Angelica dahurica and Bupleurum falcatum farming households showed relative differences in technical efficiency. The pure technical aspects, rather than the scale aspects, were shown to contribute more to the differences.

Total Factor Productivity Growth and the Decomposition Components of Korean Port-Logistics Industry (항만물류산업의 총요소생산성과 그 분해요인분석)

  • Gang, Sang-Mok;Lee, Ju-Byeong
    • Journal of Korea Port Economic Association
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    • v.24 no.4
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    • pp.47-70
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    • 2008
  • The purpose of this study is to estimate total factor productivity(TFP) growth by stochastic frontier function and to grasp contributing factors of its growth rate by decomposing the total factor productivity into efficiency change, technical progress, scale change, and allocation change. Annual growth rate of total factor productivity for 1990-2003 is 0.019 (1.9%), higher than that of overall industry (0.010). The main component of TFP growth is not efficiency change but technical progress. Contributing factors of total factor productivity growth are change of allocation efficiency in port industry, technical progress in sea-transportation industry, and change of scale efficiency in transportation-equipment industry. The change of total factor productivity shows a decreasing trend since late in the 1990s. The annual technical efficiency of port-logistics industry is less than that of overall industry. Capital elasticity for output (0.391) is higher than labor elasticity (0.227), but scale economy of port-logistics industry is 0.618, which is far from optimal scale economy.

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Data Envelopment Analysis of the Management Efficiency of National Shipping Enterprises in South Korea -Chiefly on the Corporate Entertainment and Advertisement Cost- (DEA모형을 이용한 국적선사의 경영효율성 분석 -접대비와 광고·선전비를 중심으로-)

  • Park, Hyun-Jun;Kim, Hyuna;Lim, Young-Tae
    • Journal of Korea Port Economic Association
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    • v.32 no.2
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    • pp.123-135
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    • 2016
  • This study uses Data Envelopment Analysis(DEA) to investigate the management efficiency of Korean shipping companies based on business administration costs such as corporate entertainment, advertisement, and labor costs. We analyze shipping enterprises listed on the Korean stock market of the period of 2010-2014. Corporate entertainment, advertisement and labor costs are used as input variables and sales and net income are used as output variables. We use technical efficiency, pure technical efficiency, scale efficiency and returns to scale to propose a plan to improve the efficiency of inefficiency decision-making units (DMUs). The results of the efficiency analysis show that six of the DMUs in the technical efficiency of CCR model and eight of the DMUs in the pure technical efficiency of BCC model are in efficient state. In terms of return to scale, six of the DMUs(24% of all DMUs) show increasing returns to scale, while 13 DMUs(52% of all DMUs) showdecreasing returns to scale. Because multiple efficient state for DMUs exist in the technical efficiency analysis, we conduct a super efficiency analysis. The results show that the efficient state of the twomost efficient DMUs are 1.314 and 1.243, respectively. This implies that these DMUs could maintain their current levels of the efficiency if they increase the amount spent on advertisements, corporate entertainment and labor costs by 31.4% and 24.3%. respectively. We conclude this study by providing the efficiency states of each DMU and target for improving the inefficiencies in each case.

Evaluation of the Efficiency of Korea's Domestic Passenger Shipping Routes using DEA Window (DEA Window 모형을 활용한 한국의 내항여객운송항로 효율성 평가)

  • Kim, Tae Il;Park, Sung Hwa
    • Journal of Korea Port Economic Association
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    • v.38 no.1
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    • pp.113-127
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    • 2022
  • The purpose of this study is to analyze the efficiency of 90 domestic passenger shipping routes using the DEA Window model as a Decision Making Unit (DMU). Data from 2015 to 2019 are divided into three windows, and efficiency was analyzed by using the number of passenger ships of sails, gross tonnage and distance traveled as input variables and transportation performance of the general public and islanders as output variables. As a result of the analysis, improvements are derived and presented for routes with low relative efficiency. In particular, the efficiency is evaluated for general routes operated by private operators as profit routes and auxiliary routes supported by the government as non-profit routes. In addition, scale efficiency (SE) is derived by using the technical efficiency (TE) of the CCR model and the pure technical efficiency (PTE) values of the BCC model. It is found that the inefficiency of the route was due to pure technical efficiency (PTE) rather than scale efficiency (SE). It will be necessary to consider the improvements for each route shown in the analysis results of this study when establishing the policy for the domestic passenger shipping route.

Productivity of the Health Center and Efficient Inputs & Outputs in Kyungnam Province (보건소 보건사업의 효율성 평가와 정책적 의의 - DEA를 이용한 경상남도 사례분석 -)

  • 김진현;유왕근
    • Health Policy and Management
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    • v.9 no.4
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    • pp.87-119
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    • 1999
  • The main purpose of this research is to measure and analyze how productive the health centers are and how much inputs(or outputs) in the inefficient health centers should be decreased(or increased) for efficiency. The evaluation of the performance of health centers gives a strong incentive to improve resource allocation in regional health planning. It has been, however, implemented very rarely until now. In this regard, this paper measures the performance of the health centers with a single indicator for multiple-outputs in terms of productivity(technical efficiency), based on Data Envelopment method. The 20 Kyungnam health centers which provide clinic services and specific primary health care services were analyzed. The results show that 50.0% of 20 health centers were productive with respective to overall technical efficiency, 65.0% were productive for pure technical efficiency, and 50.0% for scale efficiency. The inefficient group includes Geoje, Mahsan, Miryang, Sahchun, Tongyoung, Gosung, Nahmhae, Euryang, Hahmahn, Hahbchun health centers. The worst case was identified as Tongyoung health center which represented a 47.5% efficiency, compared with productive health centers. The empirical results for input-output analysis indicates that the low-productive health centers have excessive manpower in administration department, producing low outputs in clinical services and vaccination program. These findings imply that a systemic evaluation of the performance of the Korean health centers and the subsequent structural reform are strongly required.

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An Analysis of the Efficiency of Item-based Agricultural Cooperative Using the DEA Model (확률적 DEA모형에 의한 품목농협의 효율성 분석)

  • Lee, Sang-Ho
    • Journal of agriculture & life science
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    • v.45 no.6
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    • pp.279-289
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    • 2011
  • The purpose of this study is to estimate efficiency of item-based agricultural cooperative by using Data Envelopment Analysis. A proposed method employs a bootstrapping approach to generating efficiency estimates through Monte Carlo simulation resampling process. The technical efficiency, pure technical efficiency, and scale efficiency measure of item-based agricultural cooperative is 0.80, 0.87, 0.93 respectively. However the bias-corrected estimates are less than those of DEA. We know that the DEA estimator is an upward biased estimator. In technical efficiency, average lower and upper confidence bounds of 0.726 and 0.8747. According to these results, the DEA bootstrapping model used here provides bias-corrected and confidence intervals for the point estimates, it is more preferable.

Catalytic Oxidative and Adsorptive Desulfurization of Heavy Naphtha Fraction

  • Abbas, Mohammad N.;Alalwan, Hayder A.
    • Korean Chemical Engineering Research
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    • v.57 no.2
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    • pp.283-288
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    • 2019
  • Catalytic removal of sulfur compounds from heavy naphtha (HN) was investigated using a combination of an oxidation process using hydrogen peroxide and an adsorption process using granulated activated carbon (GAC) and white eggshell (WES). This study investigated the impact of changing several operating parameters on the desulfurization efficiency. Specifically, the volume ratio of $H_2O_2$ to HN (0.01~0.05), agitation speed ($U_{speed}$) of the water bath shaker ($100-500{\pm}1rpm$), pH of sulfur solution (1~5), amount of adsorbent (0.1~2.5 g), desulfurization temperature ($25{\sim}85{\pm}1^{\circ}C$) and contact time (10~180 minutes) were examined. The results indicate that the desulfurization efficiency resulting from catalytic and adsorption processes of GAC is better than that of WES for oxidation and removing sulfur compounds from HN due to its high surface area. The desulfurization efficiency depends strongly on all investigated operating parameters. The maximum removal efficiency of GAC and WES achieved by this study was 86 and 65, respectively.

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.

An Assessing of Franchisor's Firm Performance Based on Data Envelopment Analysis (DEA 분석을 통한 프랜차이즈 기업의 평가)

  • Kim, Seonmin
    • Journal of the Korea Safety Management & Science
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    • v.16 no.4
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    • pp.359-369
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    • 2014
  • Due to the severe market conditions, pre-entrepreneur seeks to start their business through franchise company. This paper, using the data envelopment analysis(DEA) method, examines efficiency of a group of franchise company in order to provide efficiency information with pre-entrepreneur. Output-oriented DEA model is applied in the investigation of efficiency, and the overall efficiency score is decomposed into pure technical efficiency and scale efficiency. The input variables selected to evaluate the efficiency are franchise deposit, franchise contribution cost and the output variables are sales and number of franchises, and length of business. The results of this paper show franchise industry have the low level of overall efficiency and the main sources of inefficiency is found technical rather than scale. As a result, this paper provides not only the current status of efficiency information of a franchise with pre-entrepreneur but also give warning when they sign-up with franchise business.

The estimation of the productivity in adjacent water fisheries (연근해어업 업종별 생산성 추정에 관한 연구)

  • Park, Cheol-Hyung
    • The Journal of Fisheries Business Administration
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    • v.45 no.1
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    • pp.63-77
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    • 2014
  • This study is to estimate the recent changes in total factor productivity of 15 Korean adjacent water fisheries based on Malmquist productivity indices. The study adopted both input and output oriented productivity measures utilizing a hyperbola distance function. In addition to this point, the study also calculated the 95% confidence interval for the various components of the productivities in order to access the statistical significance of estimates using 2000 times of re-sampling process through the smoothed bootstraping. The results of the study showed us that there was 18% reduction in the overall total factor productivity during the study period from 2007 to 2011, which turned out to be 5% of annual decrease in productivity. The study found that the main reason of this decrease in total productivity is about 22% downward shift of a fisheries production function due to recent conditions of a devastated fishing ground. When we evaluated the statistical significance of changes in technical efficiency combining both pure technical and scale efficiency based on the 95% confidence intervals, we could not find any evidence of changes in those components of total factor productivity. When we accessed the productivity of the each of 15 adjacent water fisheries methods, only the large danish seine fisheries showed us about 7% increase in productivity. Even though the large trawling and the large tow-boat trawling revealed no changes in productivity, all of the other 12 fisheries suffered the decreases in productivities.