Composite Indicators based on the Principle of Least Action and Data Envelopment Analysis. An application to Corporate Social Responsibility Data

This study shows how the non-parametic optimisation model of Data Envelopment Analysis can be applied to Corporate Social Responsibility in a company-wide analysis of the capacity of people, processes, and other resources to meet the expected social obligations to all stakeholders under the organisation’s promulgated corporate citizenship. Data used in the analysis are the scores of empirical results from an Australian bank study. The DEA model identified 11 decision making units, from a cohort of 231, that were leading exponents of the behavioural characteristics required to be rated as the most efficient in meeting the corporate social responsibility criteria set by the firm. These findings can be used to investigate why some units succeeded so well while others wallowed. The analysis can provide valuable information for developing an efficient organizational structure for the company for achieving good corporate governance.

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Efficiency Analysis of Mexican Stock Exchange Sustainable Firms

Revista Mexicana de Economía y Finanzas ◽

10.21919/remef.v17i1.481 ◽

2021 ◽

Vol 17 (1) ◽

pp. 1-22

Author(s):

Norma Laura Godínez-Reyes ◽

Rodrigo Gómez-Monge ◽

Argelia Calderón-Gutiérrez ◽

Gerardo Gabriel Alfaro-Calderón

Keyword(s):

Corporate Governance ◽

Corporate Social Responsibility ◽

Data Envelopment Analysis ◽

Stock Exchange ◽

Parametric Method ◽

Efficiency Analysis ◽

Data Envelopment ◽

Sustainable Value ◽

Corporate Social ◽

The Impact

This research aims at analyzing the impact that the variables of sustainable value generation (ESG) have on the efficiency of firms listed on the Mexican Stock Exchange Sustainable Index during the period 2014-2017. The non-parametric method of Data Envelopment Analysis (DEA) was used to determine their efficiency. Results indicate that, given the level of profitability, the variable that most affects the generation of sustainable value is corporate governance (G), followed by environmental (E) and social (S) practices. The main limitation of the study is the sample size. The originality of this paper lies in the fact that it determines corporate efficiency using financial performance as an input of a DEA model and sustainable value ratings as outputs. Conclusions show that corporate social responsibility activities may enhance firms’ sustainable efficiency. Therefore, it is proposed that corporate efficiency might be complemented by sustainable value measurements.

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Corporate social responsibility awareness and performance: the case of Chinese airports

International Journal of Productivity and Performance Management ◽

10.1108/ijppm-07-2019-0336 ◽

2020 ◽

Vol ahead-of-print (ahead-of-print) ◽

Author(s):

Thanh Ngo ◽

Qixia Tian

Keyword(s):

Corporate Social Responsibility ◽

Content Analysis ◽

Social Responsibility ◽

Data Envelopment ◽

Content Type ◽

And Performance ◽

Corporate Social ◽

The Relationship ◽

Larger Sample ◽

Practical Implications

PurposeThis study examines the corporate social responsibility (CSR) awareness of major Chinese airports during the 2013–2017 period as well as its influence on the airports' performance.Design/methodology/approachThe authors first used a content analysis to quantify CSR awareness of the examined airports reflecting their annual and CSR reports. Alongside other characteristics such as location and size, CSR awareness’ influence on the airports' performance (measured by data envelopment analysis [DEA]) was consequently examined.FindingsThe CSR awareness varies among airport and over time; however, an increasing concern about this issue is found in the Chinese airport industry. Particularly, Chinese airports tend to focus more on customers and the society and that increase of CSR awareness could improve the airports' performance.Research limitations/implicationsThe authors analyzed only four Chinese airports, and the data may be influenced by other factors such as politics, culture, business behaviors or management. Studies with larger sample (e.g. more airports from China and/or other countries) or with more CSR aspects and indicators will contribute to this matter.Originality/valueThis is the first study to combine the content analysis and the DEA into a single framework to examine the relationship between CSR awareness and performance, especially for Chinese airports. It can therefore provide important practical implications to Chinese aviation managers.

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