A Global Malmquist Productivity Index Approach to the Evaluation of Taiwanese Bank Performance

• Main Authors: Chin-Hsien Tsai, 蔡錦賢
• Other Authors: Shiang-Tai Liu
• Format: Others
• Language: zh-TW
• Published: 2006
• Online Access: http://ndltd.ncl.edu.tw/handle/75335214023216103770

碩士 === 萬能科技大學 === 經營管理研究所 === 94 === Competition among banks gradually intensified in recent years, only the organizations with excellent managerial performance can survive in this competitive environment. Performance evaluation not only can help managers to understand their advantage or disadvantage within the industry, but can also provide improvement suggestions and references for the decision-making in the future, such as to be able to hold their competitiveness. This paper applies a non-parametric programming approach of data envelopment analysis to evaluate 25 Taiwanese bank performances from 1997 to 2001. First, we use CCR model to measure relative efficiency of bank annually. Then, a Malmquist productivity index is used to measure the change of efficiency. Finally, we use a global Malmquist productivity index to determine the change of efficiency by a single index. The empirical result of global Malmquist productivity index conclude that the whole of banking’s productivity during 1997 to 2001 is increasing slightly and the cause of poor productivity is the decline of efficiency change. In addition, as we have divided, old banks are more efficient than new ones, and the poor productivity of new banks is caused by the decline of production technology.