The University of Southampton
University of Southampton Institutional Repository

Behind DEA efficiency in financial institutions

Serrano Cinca, C., Mar Molinero, C. and Chaparro Garcia, F. (1970) Behind DEA efficiency in financial institutions , Southampton, UK University of Southampton 34pp. (Discussion Papers in Accounting & Finance, AF02-7).

Record type: Monograph (Discussion Paper)

Abstract

DEA has been extensively used to measure the efficiency of financial institutions. Its advantages are clearly understood. But there are many unresolved problems. There are various views based on different modelling philosophies of what constitutes inputs and outputs in a financial institution. The paper explores up to what point the various combinations of inputs and outputs are equivalent, and up to what point the efficiency score obtained by a given institution changes under the various combinations of inputs and outputs. The extent to which two institutions that achieve the same efficiency score arrive at it following different strategies is explored with the aim of finding out what is behind such a score.

It is suggested that, not one but many different DEA specifications, containing different combinations of inputs and outputs, be modelled and that the results be analysed with the tools of multivariate statistics. Particular emphasis is placed on using tools that visualise the main characteristics of the data. By-products of the approach proposed here are the creation of league tables of financial institutions in terms of efficiencies and the possibility to assess strengths and weaknesses of individual institutions. This methodology is applied to the particular case of Spanish savings banks (Cajas de Ahorros) and proves to be particularly rewarding.

PDF AF02-7.pdf - Other
Download (126kB)

More information

Published date: 1 January 1970
Additional Information: ISSN 1356-3548
Keywords: efficiency, savings banks, principal component analysis, banking, data envelopment analysis

Identifiers

Local EPrints ID: 35756
URI: http://eprints.soton.ac.uk/id/eprint/35756
ISSN: 1356-3548
PURE UUID: 5449c0c4-54e5-4016-a016-95eeed326549

Catalogue record

Date deposited: 24 May 2006
Last modified: 17 Jul 2017 15:46

Export record

Contributors

Author: C. Serrano Cinca
Author: C. Mar Molinero
Author: F. Chaparro Garcia

University divisions

Download statistics

Downloads from ePrints over the past year. Other digital versions may also be available to download e.g. from the publisher's website.

View more statistics

Atom RSS 1.0 RSS 2.0

Contact ePrints Soton: eprints@soton.ac.uk

ePrints Soton supports OAI 2.0 with a base URL of http://eprints.soton.ac.uk/cgi/oai2

This repository has been built using EPrints software, developed at the University of Southampton, but available to everyone to use.

We use cookies to ensure that we give you the best experience on our website. If you continue without changing your settings, we will assume that you are happy to receive cookies on the University of Southampton website.

×