Abstract: This study applies nonparametric DEA to analyze Taiwan’s 46 comprehensive and 73 technical universities from 2012 to 2017. The inter-category comparison of efficient universities percentage reveals that, on the whole, private universities outperform public universities in the same category. In addition, comprehensive universities outperform technical universities. However, the trend analyses confirm that facing the challenge of the higher education crisis, performance improvement is much more urgent for PriCU, PubTECH and PriTECH than for PubCU, especially for PriTECH. The crisis in higher education has hit private universities harder than public ones, and technical universities harder than comprehensive ones, and is worsening fast. Moreover, for PubCU, PubTECH, and PriTECH to better their overall operational efficiency, facilitating management efficiency or innovating teaching and research are equally crucial with optimizing operational scale. Conversely, for PriCU, they should, first of all, put more emphasis on scale efficiency improvement to boom their efficiencies. In terms of scale efficiency, it is required to together consider pure technical efficiency and scale return, and thus seems no merger combinations can better their efficiencies and simultaneously solve their urgent crisis. That thus suggests PriCU, PubTECH, and PriTECH should take other ways, such as to raise income from outputs other than tuition fees, rather than a merger, to reduce the shock as could as possible and thus improve their scale efficiency. Finally, the robustness test suggests consolidated estimation is a more objective and fair evaluation of university efficiency.
Abstract: This study applies nonparametric data envelopment analysis (DEA) to investigate two cases of educational university mergers. The purpose of this study is by comparing the performance differences between pre-merger and post-merger universities to provide a reference for policy makers and management to solve the higher education crisis in Taiwan. This study finds that it seems, so far, no significantly merger synergies reflecting in efficiencies improvement are found from the two cases of post-merger in Taiwan. National Pingtung University (NPTU) is still technical efficiency university after merger. Their efficiency scores are always 1.0 from 2012 to 2017, except 2014. Though, National Tsing Hua University (NTHU) suffers from decay of efficiency scores after merger; their technical efficiency, pure technical efficiency and scale efficiency all dropped after merger.