A Nonparametric Analysis to Evaluate Scale of Indian Banking Operations

A Nonparametric Analysis to Evaluate Scale of Indian Banking Operations
Author: Piyush Kumar Singh
Publisher:
Total Pages: 21
Release: 2016
Genre:
ISBN:

In the present study, Data Envelopment Analysis (DEA) was used to estimate scale efficiency of Indian banks during 2008-2012. The given period was characterized by global financial crisis, rapid regulatory reforms and intense competition among Indian banking sector. The results showed considerable variation in average levels of scale efficiency across various ownership groups of Indian banking system. In general, public and private banks are found to be more scale efficient than foreign banks. There was higher scale efficiency of smaller public, private and foreign banks than larger counterparts in respective groups to believe that small banks had better prospect in the area of scale of operations. The trend of scale efficiency during 2008-2012 across the public, private and foreign banks of India was also examined and the results showed low heterogeneity in scale efficiency of public and private banks after 2008, whereas higher heterogeneity in foreign banks across the study period 2008-2012. The ownership possibly explained the difference across the scale efficiency of banks in India.

A Non-Parametric Approach to Estimate Profit Efficiency of Indian Banks

A Non-Parametric Approach to Estimate Profit Efficiency of Indian Banks
Author: Piyush Kumar Singh
Publisher:
Total Pages: 19
Release: 2017
Genre:
ISBN:

This study attempts to analyse the profit efficiency of Indian banks during 2008-2012 to offer an understanding of their business performance and trends during the period. The extant literature suggests that conventional ratio-based performance measures are inadequate to address the different issues related to the scope of activities of modern banking, viz. resource allocation, optimal strategy selection, inefficiencies associated with revenue side of banking operations. Sophisticated performance measurement techniques would be required to provide useful insights about the effectiveness, efficiency and stability of the banks. Hence, to examine the importance of these aspects for Indian banks, this study employs non parametric approach to estimate profit efficiencies of Indian banks. We use Data Envelopment Analysis (DEA), a non-parametric, mathematical programming technique, to estimate profit efficiency (PE) of 66 Indian banks (26 public, 19 private and 21 foreign banks). Profit efficiency is estimated by employing DEA at variable returns of scale (VRS). The study reinforces the use of DEA for measurement of the profit efficiency of Indian banks to get better insight about the banking operations. The study reports that large public, private and foreign sector banks were more profit efficient than small and medium banks in their respective groups. The outcomes point towards different ways of managing bank resources for improving efficiency of operations in terms of both input (cost) and output (revenue).

Deregulation and Efficiency of Indian Banks

Deregulation and Efficiency of Indian Banks
Author: Sunil Kumar
Publisher: Springer Science & Business Media
Total Pages: 340
Release: 2013-10-23
Genre: Business & Economics
ISBN: 8132215451

​ The goal of this book is to assess the efficacy of India’s financial deregulation programme by analyzing the developments in cost efficiency and total factor productivity growth across different ownership types and size classes in the banking sector over the post-deregulation years. The work also gauges the impact of inclusion or exclusion of a proxy for non-traditional activities on the cost efficiency estimates for Indian banks, and ranking of distinct ownership groups. It also investigates the hitherto neglected aspect of the nature of returns-to-scale in the Indian banking industry. In addition, the work explores the key bank-specific factors that explain the inter-bank variations in efficiency and productivity growth. Overall, the empirical results of this work allow us to ascertain whether the gradualist approach to reforming the banking system in a developing economy like India has yielded the most significant policy goal of achieving efficiency and productivity gains. The authors believe that the findings of this book could give useful policy directions and suggestions to other developing economies that have embarked on a deregulation path or are contemplating doing so.

Advances in DEA Theory and Applications

Advances in DEA Theory and Applications
Author: Kaoru Tone
Publisher: John Wiley & Sons
Total Pages: 579
Release: 2017-06-26
Genre: Mathematics
ISBN: 111894562X

A key resource and framework for assessing the performance of competing entities, including forecasting models Advances in DEA Theory and Applications provides a much-needed framework for assessing the performance of competing entities with special emphasis on forecasting models. It helps readers to determine the most appropriate methodology in order to make the most accurate decisions for implementation. Written by a noted expert in the field, this text provides a review of the latest advances in DEA theory and applications to the field of forecasting. Designed for use by anyone involved in research in the field of forecasting or in another application area where forecasting drives decision making, this text can be applied to a wide range of contexts, including education, health care, banking, armed forces, auditing, market research, retail outlets, organizational effectiveness, transportation, public housing, and manufacturing. This vital resource: Explores the latest developments in DEA frameworks for the performance evaluation of entities such as public or private organizational branches or departments, economic sectors, technologies, and stocks Presents a novel area of application for DEA; namely, the performance evaluation of forecasting models Promotes the use of DEA to assess the performance of forecasting models in a wide area of applications Provides rich, detailed examples and case studies Advances in DEA Theory and Applications includes information on a balanced benchmarking tool that is designed to help organizations examine their assumptions about their productivity and performance.

INDIAN BANKING

INDIAN BANKING
Author: Prof.Sri Hari V.,
Publisher: Archers & Elevators Publishing House
Total Pages: 160
Release:
Genre: Antiques & Collectibles
ISBN: 9390996368

Efficiency Models in Data Envelopment Analysis

Efficiency Models in Data Envelopment Analysis
Author: J. K. Sengupta
Publisher: Springer
Total Pages: 245
Release: 2006-10-06
Genre: Business & Economics
ISBN: 023059817X

This volume discusses the latest techniques and their economic applications for modern industries like computer, pharmaceutical, banking and other manufacturing. Both econometric and mathematical programming techniques are analyzed so as to develop a synthetic approach.

Performance of Financial Institutions

Performance of Financial Institutions
Author: Patrick T. Harker
Publisher: Cambridge University Press
Total Pages: 516
Release: 2000-05-18
Genre: Business & Economics
ISBN: 9780521777674

The efficient operation of financial intermediaries--banks, insurance and pension fund firms, government agencies and so on--is instrumental for the efficient functioning of the financial system and the fueling of the economies of the twenty-first century. But what drives the performance of these institutions in today's global environment? In this volume, world-renowned scholars bring their expertise to bear on the issues. Primary among them are the definition and measurement of efficiency of a financial institution, benchmarks of efficiency, identification of the drivers of performance and measurement of their effects on efficiency, the impact of financial innovation and information technologies on performance, the effects of process design, human resource management policies, as well as others.

Handbook of Operations Analytics Using Data Envelopment Analysis

Handbook of Operations Analytics Using Data Envelopment Analysis
Author: Shiuh-Nan Hwang
Publisher: Springer
Total Pages: 511
Release: 2016-07-01
Genre: Business & Economics
ISBN: 1489977058

This handbook focuses on Data Envelopment Analysis (DEA) applications in operations analytics which are fundamental tools and techniques for improving operation functions and attaining long-term competitiveness. In fact, the handbook demonstrates that DEA can be viewed as Data Envelopment Analytics. Chapters include a review of cross-efficiency evaluation; a case study on measuring the environmental performance of OECS countries; how to select a set of performance metrics in DEA with an application to American banks; a relational network model to take the operations of individual periods into account in measuring efficiencies; how the efficient frontier methods DEA and stochastic frontier analysis (SFA) can be used synergistically; and how to integrate DEA and multidimensional scaling. In other chapters, authors construct a dynamic three-stage network DEA model; a bootstrapping based methodology to evaluate returns to scale and convexity assumptions in DEA; hybridizing DEA and cooperative games; using DEA to represent the production technology and directional distance functions to measure band performance; an input-specific Luenberger energy and environmental productivity indicator; and the issue of reference set by differentiating between the uniquely found reference set and the unary and maximal types of the reference set. Finally, additional chapters evaluate and compare the technological advancement observed in different hybrid electric vehicles (HEV) market segments over the past 15 years; radial measurement of efficiency for the production process possessing multi-components under different production technologies; issues around the use of accounting information in DEA; how to use DEA environmental assessment to establish corporate sustainability; a summary of research efforts on DEA environmental assessment applied to energy in the last 30 years; and an overview of DEA and how it can be utilized alone and with other techniques to investigate corporate environmental sustainability questions.