scholarly journals Higher Education Efficiency Frontier Analysis: A Review of Variables to Consider

2020 ◽  
Vol 13 (3) ◽  
pp. 140-153
Author(s):  
Gustavo Ferro ◽  
Vanesa D'Elia
Keyword(s):  
Higher Education ◽  
Efficiency Frontier ◽  
Frontier Analysis

scholarly journals The cost efficiency of Vietnamese banks – the difference between DEA and SFA

2020 ◽  
Vol 22 (2) ◽  
pp. 209-227
Author(s):  
Phong Hoang Nguyen ◽  
Duyen Thi Bich Pham
Keyword(s):  
Cost Efficiency ◽  
Stochastic Frontier Analysis ◽  
Random Noise ◽  
Stochastic Frontier ◽  
Time Consistency ◽  
Efficiency Frontier ◽  
Content Type ◽  
Frontier Analysis ◽  
The Difference ◽  
The Cost

PurposeThe paper aims to enrich previous findings for an emerging banking industry such as Vietnam, reporting the difference between the parametric and nonparametric methods when measuring cost efficiency. The purpose of the study is to assess the consistency in issuing policies to improve the cost efficiency of Vietnamese commercial banks.Design/methodology/approachThe cost efficiency of banks is assessed through the data envelopment analysis (DEA) and the stochastic frontier analysis (SFA). Next, five tests are conducted in succession to analyze the differences in cost efficiency measured by these two methods, including the distribution, the rankings, the identification of the best and worst banks, the time consistency and the determinants of efficiency frontier. The data are collected from the annual financial statements of Vietnamese banks during 2005–2017.FindingsThe results show that the cost efficiency obtained under the SFA models is more consistent than under the DEA models. However, the DEA-based efficiency scores are more similar in ranking order and stability over time. The inconsistency in efficiency characteristics under two different methods reminds policy makers and bank administrators to compare and select the appropriate efficiency frontier measure for each stage and specific economic conditions.Originality/valueThis paper shows the need to control for heterogeneity over banking groups and time as well as for random noise and outliers when measuring the cost efficiency.

Service quality in Brazilian mobile telephony: an efficiency frontier analysis

2009 ◽  
Vol 41 (18) ◽  
pp. 2299-2307 ◽  
Author(s):  
Marcelo Resende ◽  
Henrique César Tupper
Keyword(s):  
Service Quality ◽  
Mobile Telephony ◽  
Efficiency Frontier ◽  
Frontier Analysis

Incubator performance: an efficiency frontier analysis

2008 ◽  
Vol 2 (4) ◽  
pp. 354 ◽  
Author(s):  
Lise Aaboen ◽  
Peter Lindelof ◽  
Hans Lofsten
Keyword(s):  
Efficiency Frontier ◽  
Frontier Analysis

scholarly journals The Internal Carbon Emissions Reduction Efficiency Of The South African Banking Sector: A Data Envelopment Analysis

2013 ◽  
Vol 13 (1) ◽  
pp. 69
Author(s):  
Alfred Bimha
Keyword(s):  
Data Envelopment Analysis ◽  
Carbon Emissions ◽  
Banking Sector ◽  
Operating Costs ◽  
Data Envelopment ◽  
Efficiency Frontier ◽  
Frontier Analysis ◽  
Carbon Reduction ◽  
Reduction Efficiency ◽  
Carbon Emissions Reduction

In this study, a BCC/CCR Data Envelopment Analysis (DEA) Input-Oriented model is employed to measure the carbon reduction efficiency of the four major banks in South Africa (ABSA, Standard Bank, First National Bank, and Nedbank). Specifically, the Banxia Frontier Analysis DEA software is utilized to make two runs on publicly available data. In the first run, number of employees and operating costs are treated as inputs and carbon emissions as the output. In the second run, again, the number of employees and operating costs are treated as inputs, but electricity usage, paper usage, and business travel are treated as outputs. Results are opposite to those generated by the DEA input-oriented model; firms distant from the efficiency frontier are deemed efficient in terms of reducing carbon emissions and firms lying on the efficiency frontier are deemed inefficient. The first run reveals one bank (ABSA) to be inefficient and the second run demonstrates two banks (ABSA and Standard Bank) to be inefficient. Taken in sum, the current research study seeks to facilitate the measurement of carbon reduction efficiency within the banking sector.

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