• Title/Summary/Keyword: frontier function

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Economic Efficiency of the Korean Container Terminals: A Stochastic Cost Frontier Approach

  • Seokwoo Jake Choi;Gi-Su Kim;BoKyung Kim
    • Journal of Korea Trade
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    • v.26 no.3
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    • pp.23-44
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    • 2022
  • Purpose - Recent issues such as vessel enlargement, strengthening of environmental regulations, and port smartization are expected to increase costs and intensify competition in the port industry. In the new normal era, when external growth has reached its limit, the efficient operation of ports is becoming indispensable for achieving sustainable growth. This study aims to identify the determinants of inefficiency by examining the cost structure and efficiency of container terminals in Korea and furthermore propose the political implications to derive the maximization of efficiency. Design/methodology - This study estimates the cost function of container terminal operators and identifies the efficiency of container terminals using stochastic cost frontier (SCF) in the first stage. In the second step, the SCF results are compared with the data envelopment analysis (DEA). Last, this paper proposes efficiency determinants on container terminal operation to establish appropriate strategies. Out of the 29 container terminal operators in South Korea, 13 operators participated in the survey. The translog cost function was estimated utilizing a total of 116 observations collected over the 2007-2017 period. Findings - Empirical analysis shows that economies of scale exist in Korea's container ports, which provides a rationale for the government's policy to establish the global terminal operator by integrating small terminal operators to enhance competitiveness. In addition, as a result of the determinants analysis, container throughput, weight of direct employment costs, and labour cost share have positive effects on improving cost efficiency, while inefficiency increases as the length of quay increases. More specifically, cost efficiency improves as the proportion of direct employment costs to outsourcing service costs increases. Originality/value - This study contributes to analyzing the inefficiency factors of container terminals through efficiency analysis with respect to a cost function. In addition, this study proposes the practical and political implications, such as establishing a long-term manpower pool, the application of the hybrid liner terminal system, and the construction of a statistical data system, to improve the cost inefficiency of terminal operators.

A Study on the Efficiency Analysis of IT Service Companies Using Meta Frontier and the Determinants of Efficiency Using Tobit Model (Meta Frontier를 이용한 국내 IT서비스기업의 효율성 분석 및 Tobit 모형을 이용한 효율성 결정요인 분석에 대한 연구)

  • Shin, Minsoo;Park, Jiyong
    • Journal of Information Technology Services
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    • v.16 no.4
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    • pp.15-31
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    • 2017
  • This study analyzes 45 Korea IT service companies from 2012 to 2016 using DEA analysis. Large enterprises, medium enterprises and small and medium enterprises (SMEs). CCR model and BCC model were used for efficiency analysis. Among the various analytical objects, the decision objects which yield the maximum output with minimum input are compared with other analysis objects. The relative inefficiency was measured through this, and Technical Efficiency (TE), Pure Technology Efficiency (PTE), Scale Efficiency (SE), scale profit, reference frequency were analyzed. Also, we analyzed the Technology Gap Ratio (TGR), which is the distance between production function and Meta-Frontier for each firm, using Meta-Frontier analysis. Finally, the Tobit model is used to analyze the sources of efficiency and inefficiency. The inputs are assets, capital, and employees, and the output factor is sales. The analysis shows that large firms are achieving technological achievements more efficiently than small and medium enterprises. As a result, medium-sized enterprises and SMEs can improve efficiency overall through efficient operation of workforce and appropriate combination of inputs such as assets and capital. Also, as a result of the influence factor analysis, it was found that the ratio of the managed asset ratio and the management cost ratio were significant factors influencing the efficiency of the IT service companies. This study suggests the efficiency analysis using DEA for many Korea IT service companies. Inefficient parts of each company are classified according to size and technology. Also, we identify the most efficient companies and analyze the causes of those companies whose profits are lower than their size.

Measuring the Performance of Technology Transfer Activities of the Public Research Institutes in Korea (국내 공공 연구기관들의 기술이전 효율성 분석)

  • Ok, Joo-Young;Kim, Byung-Keun
    • Journal of Technology Innovation
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    • v.17 no.2
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    • pp.131-158
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    • 2009
  • We examine the effects of environmental or organizational factors on the performance of TLOs(technology transfer offices) in the PRIs(Public research institutes) using SFA(Stochastic Frontier Analysis), a technique for estimating the efficiency of DMUs(decision making units). In SFA, independent variables are assumed to determine the efficient production technique(production frontier) or affect the efficiency of DMUs. Previous researchs show that input variables such as number of personnel, R&D expenditure affect the production frontier while environmental or organizational variables affect the efficiency. We tried to estimate various types of models to find out whether environmental or organizational variables affect output variables differently from the previous research. Main empirical findings are as follows. First, R&D expenditure tends to increase all output variables considered. Second, environmental factors such as type of institutions and location of institutions affect the level of outputs. Third, organizational factors such as reward system for technology transfer also appear to affect the output variables. Fourth, environmental or organizational variables affect the production frontier directly rather than affect the efficiency of DMUs. Lastly, the efficiency of each DMU appear to be 1 or near to 1. Since almost all DMUs are equally efficient, it may not be effective to evaluate technology transfer activities of PRIs by efficiency criteria. We believe that this research should be complemented by additional data. More general types of production function need to be considered, and new techniques with concepts like output distance functions need to be developed to analyse multiple outputs simultaneously.

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Implementation of Adaptive Movement Control for Waiter Robot using Visual Information

  • Nakazawa, Minoru;Guo, Qinglian;Nagase, Hiroshi
    • Proceedings of the Korean Society of Broadcast Engineers Conference
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    • 2009.01a
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    • pp.808-811
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    • 2009
  • Robovie-R2 [1], developed by ATR, is a 110cm high, 60kg weight, two wheel drive, human like robot. It has two arms with dynamic fingers. It also has a position sensitive detector sensor and two cameras as eyes on his head for recognizing his surrounding environment. Recent years, we have carried out a project to integrate new functions into Robovie-R2 so as to make it possible to be used in a dining room in healthcare center for helping serving meal for elderly. As a new function, we have developed software system for adaptive movement control of Robovie-R2 that is primary important since a robot that cannot autonomously control its movement would be a dangerous object to the people in dining room. We used the cameras on Robovie-R2's head to catch environment images, applied our original algorithm for recognizing obstacles such as furniture or people, so as to control Roboie-R2's movement. In this paper, we will focus our algorithm and its results.

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Job Mismatch in Korean Regional labor Market: Matching Efficiency Analysis using Stochastic Production Frontier Approach (한국 지역노동시장에서의 일자리 미스매치에 관한 연구 - 확률변경생산함수를 이용한 결합 효율성 분석 -)

  • Yang, Jun Seok;Jeon, Yongil
    • Journal of the Economic Geographical Society of Korea
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    • v.15 no.4
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    • pp.752-765
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    • 2012
  • We analyze the relation empirically between regional labor market characteristics and job matching efficiency with the adaption of stochastic frontier production function. Our empirical results suggest that, as both the ratio of 50 years-old-job seekers and the level of spatial density increase, job matching efficiencies also rise. In contrast, an increase in the ratio of firms which offer permanent contracts lowers job matching efficiencies. And the job matching efficiency is relatively higher in metropolitan areas. Finally, We find a negative relation between total industrial production and job matching efficiency, which implies that job seekers tend to accept uncongenial jobs in the recessions.

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International Environmental Efficiency with CO2 Using Meta Stochastic Frontier Analysis (메타확률 프런티어를 사용한 CO2의 국제환경효율)

  • Li, Ziyao;Kang, Sangmok
    • Environmental and Resource Economics Review
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    • v.30 no.3
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    • pp.471-501
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    • 2021
  • We measure Environmental Efficiency (EE) based on CO2 in four income groups from 1998 to 2018, using the Meta Stochastic Frontier Analysis method by Input Distance Function. Our results showed that economic growth and energy consumption would increase carbon dioxide emissions, and increasing labor and capital input will reduce it. Moreover, we compared Group Environmental Efficiency (GEE), Meta Environmental Efficiency (MEE), and Environmental Gap Ratio (EGR). The results showed that GEEs were be overestimated. Furthermore, the MEE showed a downward trend during this period. The lower-middle-income group had the highest EGR performance. High-income and upper-middle-income groups showed less efficiency in MEE and EGR. To improve environmental efficiency, we must reduce fossil fuels and find more scientific and technological ways to solve existing environmental problems as soon as possible.

An Analysis on the Efficiency of Container Terminal using Stochastic Frontier Model (SFM을 이용한 컨테이너터미널의 효율성 분석)

  • Kim Un-Soo;Kwak Kyu-Seok
    • Journal of Navigation and Port Research
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    • v.29 no.1 s.97
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    • pp.105-111
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    • 2005
  • Recently, global terminal operotors are struggling to attract more cargoes into their ports through enlarging facilities and trying to be more efficient operotion Many researches on container terminal efficiency have been conducted, but most of the traditional studies are focused on the partial efficiency of the container terminal using quantitative questionnaires and basic statistical data In this paper, the Stochastic Frontier Model of the interaction among the variables was employed to execute numerical analysis on the efficiency of terminal. The objective of this paper is to measure the level of efficiency in the container terminals every year and to assess the influence in container terminal's efficiency on domestic and foreign terminals by changing the terminal scales and the level of input factors.

A Geopolitical Approach of Transfrontier Peace Park in Southern Africa : Implication for the DMZ International Eco-Peace Park (남부아프리카 초 국경평화공원의 지정학적 접근: DMZ 세계생태평화공원 조성에 주는 시사점)

  • Moon, Nam Cheol
    • Journal of the Korean association of regional geographers
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    • v.23 no.2
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    • pp.311-324
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    • 2017
  • This study has the purpose of geopolitical analysis on the role, function and problem of (trans) frontier park in Southern Africa. Frontier parks in Southern Africa had been used as a buffer zone between colonial empires and British colonial administration during the colonial period and as an interdiction zone of communism and black liberation movement during the apartheid regime, the cold war and the civil war. The ecological transfrontier peace parks in Southern Africa which is integrating the adjacent Frontier parks is utilized as a means of a conflict resolution and peace building after the end of cold war, civil war and apartheid regime, The ecological transfrontier peace parks in Southern Africa is very highly regarded as an effective means for a conflict resolution and peace building. But it is also being criticized for a reproduction of South Africa's politico-economic domination and of a socio-spatial division between racial groups.

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On Nonparametric Estimation of Data Edges

  • Park, Byeong U.
    • Journal of the Korean Statistical Society
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    • v.30 no.2
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    • pp.265-280
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    • 2001
  • Estimation of the edge of a distribution has many important applications. It is related to classification, cluster analysis, neural network, and statistical image recovering. The problem also arises in measuring production efficiency in economic systems. Three most promising nonparametric estimators in the existing literature are introduced. Their statistical properties are provided, some of which are new. Themes of future study are also discussed.

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