scholarly journals Performance of Malaysian Insurance Companies Using Data Envelopment Analysis

2018 ◽  
Vol 11 (3) ◽  
pp. 1147 ◽  
Author(s):  
Ng Jia Bao ◽  
Rohaizan Ramlan ◽  
Fazeeda Mohamad ◽  
Azlina Md Yassin
Keyword(s):  
Data Envelopment Analysis ◽  
Insurance Industry ◽  
Secondary Data ◽  
Efficiency Score ◽  
Equity Capital ◽  
Insurance Companies ◽  
Data Envelopment ◽  
Insurance Company ◽  
Policy Makers ◽  
Using Data

The purpose of this study is to evaluate the performance of the local insurance in Malaysia for the period 2014-2015. The major challenge in the insurance industry is increasing competition in this market. Besides that, problematic in performance measurement to evaluate performance is another challenge in insurance industry. 24 local insurance companies involved in this study using quantitative method of Data Envelopment Analysis (DEA) output-orientation CCR model. This study utilizes three inputs and three outputs; operating expenses, equity capital and commission as well as net premium, net investment income, and net incurred claim. The secondary data sources were derived from official data of local insurance companies’ annual report respectively. The DEA-Solver-LV version 8 tools were used to analyze the data that have been collected to evaluate the performance of local insurance company. This DEA model allows integration of the performance for the insurance companies and provides management overall performance evaluation. The results showed that there are 8 efficient companies in 2014 and 9 efficient companies in 2015. The average efficiency score in 2014 was increased from 78.9% to 79.1% in 2015. The findings from this study will benefit the insurance associations in Malaysia, management of insurances companies and policy makers.

scholarly journals Penggunaan Data Envelopment Analysis (DEA) dalam Pengukuran Efisiensi Bank Umum Syari'ah di Indonesia

2018 ◽  
Vol 5 (2) ◽  
pp. 293
Author(s):  
Anita Puspitasari ◽  
Didit Purnomo ◽  
Triyono Triyono
Keyword(s):  
Data Envelopment Analysis ◽  
Commercial Bank ◽  
Secondary Data ◽  
Efficiency Score ◽  
Financial Statement ◽  
Data Envelopment ◽  
Output Variable ◽  
Period Data ◽  
The Difference ◽  
Using Data

The purpose of the research is to analayze efficiency level of Sharia Commercial Bank in Indonesia (Bank Mega Syariah, Bank Muamalat Indonesia, Bank Panin Dubai Syariah, Bank BNI Syariah, Bank BRI Syariah, and Bank Syariah Mandiri) 2014-2015 period. Data used in this research is secondary data taken from Financial Statement Publication issued by Otoritas Jasa Keuangan (OJK). This research uses input-output variable with Data Envelopment Analysis (DEA) Method.The result shows the difference of efficiency score for each Sharia Commercial Bank. Based on the calculacy using Data Envelopment Analysis (DEA) Method on BUSN Foreign Exchange of Sharia Commercial Bank in Indonesia only Bank Panin Dubai Syariah that has been succeeded with 100 percent of continuously efficiency during the research. The highest efficiency is experienced by Bank BNI Syariah and BRI Syariah because during the research they experienced inefficiency. During the research Bank Mega Syariah experienced efficiency three times on quarter March 2014, March 2015, and June 2015. Bank Muamalat Indonesia only experienced efficiency twice on quarter March 2014 and March 2015, beside that Bank Muamalat Indonesia experienced inefficiency. Bank Syariah Mandiri experienced efficiency twice on quarter March 2015 and quarter December 2015.

scholarly journals Measuring Efficiency of Life Insurance Instution in Indonesia: Data Envelopment Analysis Approach

2017 ◽  
Vol 5 (1) ◽  
pp. 012
Author(s):  
Aam S. Rusydiana ◽  
Taufiq Nugroho
Keyword(s):  
Data Envelopment Analysis ◽  
Life Insurance ◽  
Insurance Industry ◽  
Insurance Companies ◽  
Data Envelopment ◽  
Insurance Company ◽  
Life Insurance Company ◽  
Life Insurance Industry ◽  
Measuring Efficiency ◽  
Input Variables

This study aims to measure the level of efficiency of the life insurance industry in Indonesia. The calculation of the efficiency level in this study is relative, not absolute. The approach used is Data Envelopment Analysis (DEA). There are 8 research objects: Prudential, BNI Life, PaninDai-IchiLife, Asuransi Jiwasraya and Life Insurance Adisaranan Wanaartha, Takaful Takaful Insurance, Amanahjiwa Giri sharia insurance and Al-Amin sharia life insurance. This study consists of three input variables (cost of Commissive (X1), Operational Cost (X2), Total Equity (X3) and 2 output variables (Premium) (Y1) and Investment Revenue (Y2)). The results explain that there are 15 perfectly efficient DMUs (100%). And an inefficient of 24 DMU, consisting of 7 DMU conditions IRS and 17 DMU with DRS conditions. Of all the DMU observed, Prudential insurance is a life insurance company that is able to maintain its gradual efficiency level from 2013 to 2016 when compared to other life insurance in this observation. In general, the main factor inefficiency of life insurance industry in Indonesia (in observation) from 2012 to 2016 is from the output side. To be more efficient then life insurance companies should increase the value of premiums by 91% and investment income of 8%.

scholarly journals A COMPARATIVE STUDY OF CONVENTIONAL AND SHARIAH LIFE INSURANCE EFFICIENCY USING DATA ENVELOPMENT ANALYSIS

2020 ◽  
Vol 9 ◽  
Author(s):  
Mulia Saputra ◽  
Muhammad Arfan ◽  
Neni Zahara
Keyword(s):  
Data Envelopment Analysis ◽  
Life Insurance ◽  
Value Added ◽  
Sampling Technique ◽  
Insurance Companies ◽  
Data Envelopment ◽  
Insurance Company ◽  
Life Insurance Company ◽  
Purposive Sampling ◽  
Test Input

This study aims to analyze and compare the efficiency between conventional life insurance companies and Islamic life insurance companies in Indonesia over the period of 2014-2018. The sample of this study was taken from 10 conventional life insurance companies and 10 shariah life insurance companies that were selected based on the purposive sampling technique. Measurement of efficiency in this study was conducted using the method of data envelopment analysis (DEA) based on Bankers-Charnes-Cooper (BCC) and Charnes-Cooper-Rhodes (CCR) models of the value-added approach. This was followed by testing the hypothesis using a different Mann-Whitney U-test. Input variables used are assets, capital, general and administrative costs, and commission expenses. Meanwhile, the output variables are premiums and investment income. The results showed that conventional life insurance companies are more efficient than Islamic life insurance companies based on the BCC and CCR models. Furthermore, the results of different tests using the Mann-Whitney U-test showed an insignificant difference in efficiency between conventional life insurance companies and Islamic life insurance companies during the study period. The results of the comparison of the average efficiency value with the DEA method indicated that the efficiency level of a conventional life insurance company was better than a shariah life insurance company.========================================================================================================Studi Perbandingan Efisiensi antara Asuransi Jiwa Konvensional dengan Syariah Menggunakan Data Envelopment Analysis. Penelitian ini bertujuan untuk menganalisis perbandingan efisiensi perusahaan asuransi jiwa konvensional dengan perusahaan asuransi jiwa syariah di indonesia pada periode 2014-2018. Sampel penelitian ini adalah 10 perusahaan asuransi jiwa konvensional dan 10 perusahaan asuransi jiwa syariah yang dipilih berdasarkan teknik purposive sampling. Pengukuran efisiensi dalam penelitian ini menggunakan metode data envelopment analysis (DEA) dengan model BCC dan CCR berdasarkan pendekatan nilai tambah. dilanjutkan dengan melakukan uji hipotesis menggunakan uji beda mann-whitney u-test. Variabel input yang digunakan adalah aset. modal. biaya administrasi dan umum. dan beban komisi. Sedangkan variabel outputnya adalah premi dan pendapatan investasi. Hasil penelitian menunjukkan bahwa perusahaan asuransi jiwa konvensional lebih efisien dibandingkan perusahaan asuransi jiwa syariah berdasarkan pengukuran dengan model BCC maupun model CCR. Selanjutnya hasil uji beda menggunakan uji mann-whitney u- test menunjukkan bahwa tidak terdapat perbedaan efisiensi yang signifikan antara perusahaan asuransi jiwa konvensional dan perusahaan asuransi jiwa syariah selama periode penelitian ini. Hasil perbandingan nilai efisiensi rata-rata dengan metode DEA menunjukkan bahwa tingkat efisiensi perusahaan asuransi jiwa konvensional lebih baik daripada perusahaan asuransi jiwa syariah.

scholarly journals Performance Assessment Based on the Relative Efficiency of Indian Opencast Coal Mines Using Data Envelopment Analysis and Malmquist Productivity Index

Energies ◽  
2020 ◽  
Vol 13 (18) ◽  
pp. 4902
Author(s):  
Biswaranjita Mahapatra ◽  
Chandan Bhar ◽  
Sandeep Mondal
Keyword(s):  
Data Envelopment Analysis ◽  
Technical Efficiency ◽  
Primary Source ◽  
Efficiency Score ◽  
Malmquist Productivity Index ◽  
Productivity Index ◽  
Scale Efficiency ◽  
Data Envelopment ◽  
Significant Difference ◽  
Using Data

Coal is the primary source of energy in India. Despite being the second-largest coal-producingcountry, there exists a significant difference in demand and production in India. In this study, the relativeefficiency of twenty-eight selected opencast mines from a large public sector undertaking coal companyin India for 2018–2019 was assessed and ranked by using data envelopment analysis (DEA). This studyused input-oriented DEA with efficiency decomposition to pure technical efficiency, technical efficiency,and scale efficiency. The result showed that 25% and 36% of mines were efficient in technical efficiencyand pure technical efficiency, respectively, whereas the eight mines scale efficiency was inefficient witha decreasing return to scale. Further, in this study, theMalmquist Productivity Index (MPI)was employedto measure the efficiency of the selected mines for three consecutive years (2016–2017 to 2018–2019).The result shows that in only three mines the efficiency is continuously improving from 2016–2017 to2018–2019, whereas in more than 20% of mines the efficiency score is decreasing. Comparing theMPIefficiency and productivity assessment throughout the years, changes in innovation and technology areincreasing from 2017–2018 to 2018–2019. Finally, the study concluded with a comprehensive evaluationof each variable with mines performance. The author formulated the strategies, which in turn help coalprofessionals to improve the efficiency of the mine.

scholarly journals A COMPARATIVE STUDY OF CONVENTIONAL AND SHARIAH LIFE INSURANCE EFFICIENCY USING DATA ENVELOPMENT ANALYSIS

2020 ◽  
Vol 9 (2) ◽  
pp. 110
Author(s):  
Mulia Saputra ◽  
Muhammad Arfan ◽  
Neni Zahara
Keyword(s):  
Data Envelopment Analysis ◽  
Life Insurance ◽  
Value Added ◽  
Sampling Technique ◽  
Insurance Companies ◽  
Data Envelopment ◽  
Insurance Company ◽  
Life Insurance Company ◽  
Purposive Sampling ◽  
Test Input

This study aims to analyze and compare the efficiency between conventional life insurance companies and Islamic life insurance companies in Indonesia over the period of 2014-2018. The sample of this study was taken from 10 conventional life insurance companies and 10 shariah life insurance companies that were selected based on the purposive sampling technique. Measurement of efficiency in this study was conducted using the method of data envelopment analysis (DEA) based on Bankers-Charnes-Cooper (BCC) and Charnes-Cooper-Rhodes (CCR) models of the value-added approach. This was followed by testing the hypothesis using a different Mann-Whitney U-test. Input variables used are assets, capital, general and administrative costs, and commission expenses. Meanwhile, the output variables are premiums and investment income. The results showed that conventional life insurance companies are more efficient than Islamic life insurance companies based on the BCC and CCR models. Furthermore, the results of different tests using the Mann-Whitney U-test showed an insignificant difference in efficiency between conventional life insurance companies and Islamic life insurance companies during the study period. The results of the comparison of the average efficiency value with the DEA method indicated that the efficiency level of a conventional life insurance company was better than a shariah life insurance company.========================================================================================================Studi Perbandingan Efisiensi antara Asuransi Jiwa Konvensional dengan Syariah Menggunakan Data Envelopment Analysis. Penelitian ini bertujuan untuk menganalisis perbandingan efisiensi perusahaan asuransi jiwa konvensional dengan perusahaan asuransi jiwa syariah di indonesia pada periode 2014-2018. Sampel penelitian ini adalah 10 perusahaan asuransi jiwa konvensional dan 10 perusahaan asuransi jiwa syariah yang dipilih berdasarkan teknik purposive sampling. Pengukuran efisiensi dalam penelitian ini menggunakan metode data envelopment analysis (DEA) dengan model BCC dan CCR berdasarkan pendekatan nilai tambah. dilanjutkan dengan melakukan uji hipotesis menggunakan uji beda mann-whitney u-test. Variabel input yang digunakan adalah aset. modal. biaya administrasi dan umum. dan beban komisi. Sedangkan variabel outputnya adalah premi dan pendapatan investasi. Hasil penelitian menunjukkan bahwa perusahaan asuransi jiwa konvensional lebih efisien dibandingkan perusahaan asuransi jiwa syariah berdasarkan pengukuran dengan model BCC maupun model CCR. Selanjutnya hasil uji beda menggunakan uji mann-whitney u- test menunjukkan bahwa tidak terdapat perbedaan efisiensi yang signifikan antara perusahaan asuransi jiwa konvensional dan perusahaan asuransi jiwa syariah selama periode penelitian ini. Hasil perbandingan nilai efisiensi rata-rata dengan metode DEA menunjukkan bahwa tingkat efisiensi perusahaan asuransi jiwa konvensional lebih baik daripada perusahaan asuransi jiwa syariah.

scholarly journals Analisis Efisiensi Asuransi Umum Syariah di Indonesia Tahun 2013-2015: Aplikasi Metode Data Envelopment Analysis (DEA)

2017 ◽  
Vol 4 (9) ◽  
pp. 757
Author(s):  
Yulia Wahyu Ningsih ◽  
Noven Suprayogi
Keyword(s):  
Data Envelopment Analysis ◽  
Insurance Companies ◽  
Scale Efficiency ◽  
Data Envelopment ◽  
Insurance Company ◽  
Average Value ◽  
General Insurance ◽  
Decision Making Unit ◽  
Dea Analysis ◽  
Input Variables

This study aims to analyze the efficiency of sharia general insurance companies in Indonesia. The input variables used are total assets, expenses, and payment of claims, while the output variable is the income and tabarru’ funds. The method were used to measure the level of efficiency is the Data Envelopment Analysis (DEA) with the assumption of Variable Return to Scale (VRS) with input and output orientation. The samples are 12 sharia general insurance companies during 2013-2015. The results of the study indicate that the average result of DEA analysis for the entire DMU (Decision Making Unit) has not been efficient. The average value of economic efficiency (CRS) by 0.978, technically efficiency (VRS) for 0.925, and scale efficiency for 0.945. Source of inefficiency sharia insurance company is the scale of operations and management of input to output is not optimal.

Assessing the Technical Efficiency of Traditional and Corporate Agents in Indian Life Insurance Industry: Slack-based Data Envelopment Analysis Approach

2018 ◽  
Vol 21 (2) ◽  
pp. 490-506 ◽  
Author(s):  
Ankitha Shetty ◽  
Savitha Basri
Keyword(s):  
Data Envelopment Analysis ◽  
Technical Efficiency ◽  
Life Insurance ◽  
Insurance Industry ◽  
Distribution Channels ◽  
Insurance Companies ◽  
Data Envelopment ◽  
Life Insurance Industry ◽  
Significant Difference

The distribution channels play an imperative role in the life insurance industry. In India, traditional and corporate agency are contributing immensely to the profitability of the insurance companies. The challenges faced by the distributional channels such as high attrition, soaring expense ratio and sales inefficiency have created the need to probe into the efficiency aspects of the channel players. In the absence of such studies in India, this article evaluates the technical efficiency of distribution channels in life insurance industry by analysing the data collected from 12 insurance companies for the period 2012 to 2016. The efficiency scores were obtained by applying data envelopment analysis that considered two inputs (number of agents and commission expenses) and two outputs (average business premium and total policies sold). The findings reveal no significant difference in the efficiency scores of bancassurance and traditional agents. Quiet life hypothesis that market share (ratio of premium contribution to total premium) of distributional channels and their efficiency scores are negatively correlated is not supported. Moreover, the slack analysis shows excess inputs per output generated for both the channels. If the companies that scored low in efficiency do not plug the leakages regarding commission as well a number of agents, adverse performance in the long-term and consequent financial crisis are inevitable.

scholarly journals Modelling of Technical Efficiency of Indian Scientific Laboratories using Data Envelopment Analysis (DEA)

2021 ◽  
Author(s):  
Abhishek Kumar ◽  
Alpana Srivastava ◽  
Rajesh Tiwari ◽  
R P Jeevan Kumar
Keyword(s):  
Data Envelopment Analysis ◽  
Technical Efficiency ◽  
Scientific Productivity ◽  
Sustainable Growth ◽  
Data Envelopment ◽  
Scientific Performance ◽  
Policy Makers ◽  
Global Innovation ◽  
Increase In Productivity ◽  
Using Data

Performance Measurement (PM) is a thoughtful demand of every sector for a sustainable growth. There are intangible factors known as economic growth drivers, where Research and Development (R&D), is a vital indicator. As per Global Innovation Index–2020, India ranks 48th among the 131 economies for its education, software exports, R&D and market value. Every year, a massive amount is invested in research labs but the output generated is much lower as compared to world average. Measurement of Scientific Productivity (SP) is a genesis of this though. Earlier, Publications and Patents were considered as means to identify growth but there exists a need holistic measurement of innovative potential. In this study, Technical Efficiency (TEs) of Indian Scientific Laboratories (CSIR) was measured using Data Envelopment Analysis (DEA) with few more parameters – Scientific Performance Indicators (SPIs). This study concluded with demarcation of efficient and lesser efficient laboratories during a specific period. This study would contribute towards an introspection by policy makers and government to re-evaluate the organizational outputs as per their mandates. Such studies are envisaged to assess the strength and weakness and furthermore, plan to contribute efficiently to increase in productivity of organization and national economy as well.

scholarly journals Selection and Analysis of Input-Output Variables using Data Envelopment Analysis of Decision Making Units - Indian Private Sector Banks

2021 ◽  
Vol 10 (5) ◽  
pp. 119-127
Author(s):  
B. Vittal ◽  
Raju Nellutla ◽  
M. Krishna Reddy
Keyword(s):  
Decision Making ◽  
Data Envelopment Analysis ◽  
Banking System ◽  
Efficiency Score ◽  
Data Envelopment ◽  
Input Output ◽  
Key Factor ◽  
And Performance ◽  
Using Data ◽  
Decision Making Units

In banking system the evaluation of productivity and performance is the key factor among the fundamental concepts in management. For identify the potential performance of a bank efficiency is the parameter to evaluate effective banking system. To measure the efficiency of a bank selection of appropriate input-output variables is one of the most vital issues. The suitable identification of input-output variables helps to create and identify model in order to evaluate the efficiency and analysis. The Data Envelopment Analysis (DEA) is a mathematical approach used to measure the efficiency of identified Decision Making Units (DMUs). The DEA is a methodology for evaluating the relative efficiency of peer decision making units of identified input/output variables for the financial year 2018-19. In this study the basic DEA CCR, BCC models used for measure the efficiency of DMUs. In addition to these models for minimize the input excess and output shortfall Slack Based Measure (SBM) efficiency used. The SBM is a scalar measure which directly deals with slacks of input, output variables which help in obtain improved efficiency score compare with previous model. The result from the analysis is

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