Efficiency Analyses of Higher Education in Taiwan: Implications to Higher Education Crisis

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.

Effect of Merger on Efficiencies: A Study of Taiwanese Higher Education

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.

Evaluating Efficiency of Nina Distribution Company Using Window Data Envelopment Analysis and Malmquist Index

Achieving continuous sustained economic growth and following economic development can be the target for all countries which are looking for it. In this regard, distribution industry plays an important role in growth and development of any nation. So, estimating the efficiency and productivity of the so called industry and identifying factors influencing it, is very necessary. The objective of the present study is to measure the efficiency and productivity of seven branches of Nina Distribution Company using window data envelopment analysis and Malmquist productivity index from spring 2013 to summer 2015. In this study, using criteria of fixed assets, payroll personnel, operating costs and duration of collection of receivables were selected as inputs and people and net sales, gross profit and percentage of coverage to customers were selected as outputs. Then, the process of performance window data envelopment analysis was driven and process efficiency has been measured using Malmquist index. The results indicate that the average technical efficiency of window Data Envelopment Analysis (DEA) model and fluctuating trend is sustainable. But the average management efficiency in window DEA model is related with negative growth (decline) of about 13%. The mean scale efficiency in all windows, except in the second one which is faced with 8%, shows growth of 18% compared to the first window. On the other hand, the mean change in total factor productivity in all branches of the industry shows average negative growth (decrease) of 12% which are the result of a negative change in technology.

Assessing Efficiency Trends in the Indian Sugar Industry

This paper measures technical and scale efficiencies of 40 Indian sugar companies for the period from 2004-05 to 2013-14. The efficiencies are estimated through input-oriented DEA models using one output variable—value of output (VOP) and five input variables—capital cost (CA), employee cost (EMP), raw material (RW), energy & fuel (E&F) and other manufacturing expenses (OME). The sugar companies are classified into integrated and non-integrated categories to know which one achieves higher level of efficiency. Sources of inefficiency in the industry are identified through decomposing the overall technical efficiency (TE) into pure technical efficiency (PTE) and scale efficiency (SE). The paper also estimates input-reduction targets for relatively inefficient companies and suggests measures to improve their efficiency level. The findings reveal that the TE does not evince any trend rather it shows fluctuations across years, largely due to erratic and cyclical pattern of sugar production. Further, technical inefficiency in the industry seems to be driven more by the managerial inefficiency than the scale inefficiency, which implies that TE can be improved through better conversion of inputs into output.

Impacts of Financial Development and Operating Scale on Bank Efficiencies in Taiwan

This paper adopts a two-stage data envelopment analysis to explore the impacts of financial development and bank operating scale on bank efficiencies. The sample comprises unbalanced panel data of 32 Taiwanese listed domestic commercial banks over the period 1998 to 2013. Empirical results show that pure technical efficiency is positively related to financial development, whereas the effect of financial development on scale efficiency is insignificant. Enlargement of bank operating scale improves bank efficiencies, but the efficiency gains are decreased gradually when the scale increases. Increases in capital adequacy ratio and market power of loans lead into a growth of bank efficiencies.

Efficiency for Sustainable Growth: Evidence from the North African Countries

Improved resource efficiency of production is a key requirement for sustainable growth, worldwide. In this regards, by considering the energy and tourism as the extra inputs to the classical Coub-Douglas production function, this study aims at investigating the efficiency changes in the North African countries. To this end, the study uses panel data for the period 1995-2010 and adopts the Malmquist index based on the data envelopment analysis. Results show that tourism increases technical and scale efficiencies, while it decreases technological and total factor productivity changes. On the other hand, when the production function is augmented by the energy input; technical efficiency change decreases, while the technological change, scale efficiency change and total factor productivity change increase. Thus, in order to satisfy the needs for sustainable growth, North African governments should take some measures for increasing the contribution that the tourism makes to economic growth and some others for efficient use of resources in the energy sector.

The Effect of Risky Assets to Operating Efficiencies for Listed Securities Firms in Taiwan Using the Data Envelopment Analysis

This paper employs a the variable returns to scale DEA model to take account of risky assets and estimate the operating efficiencies for the 21 domestic listed securities firms during the period 2005-2009. Evidence is found that on average the brokerage securities firms- operating efficiencies are better than integrated securities firms. Evidence is also found that the technical inefficiency from inappropriate management constitutes the main source of the operating inefficiency for both types of securities firms. Moreover, the scale economies prevail in brokerage and integrated securities firms, in other words, which exhibit the characteristic of increasing returns to scale.