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Measuring Managerial and Program Efficiencies in a Swedish Savings and Loan

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Modelling Techniques for Financial Markets and Bank Management

Part of the book series: Contributions to Management Science ((MANAGEMENT SC.))

Abstract

Using Data Envelopment Analysis (DEA), we measure the managerial and program efficiencies of service delivery in each of fifty branches of a Swedish savings and loan bank. The primary modeling framework used in this paper is based upon a decomposition first suggested by Charnes and Cooper [4], and later refined into its constituent components by Byrnes [3].

The service function under analysis in this study is best viewed from the traditional banking perspective of intermediation. That is, the bank plays the role of financial intermediary, receiving deposits from numerous customers and using these monies to generate loans and investments [5] [6]. Our concern in this paper is to measure the performance of a bank’s management in achieving this transformation. Furthermore, we examine the efficiency of this service function at different levels of the organizational hierarchy.

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References

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  3. Byrnes, P., “The Effect of Ownership on Efficiency: A Nonparametric Programming Approach,” Ph.D. Dissertation, Southern Illinois University, Carbondale, Illinois, 1985.

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© 1996 Physica-Verlag Heidelberg

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Hartman, T., Storbeck, J.E. (1996). Measuring Managerial and Program Efficiencies in a Swedish Savings and Loan. In: Bertocchi, M., Cavalli, E., Komlósi, S. (eds) Modelling Techniques for Financial Markets and Bank Management. Contributions to Management Science. Physica-Verlag HD. https://doi.org/10.1007/978-3-642-51730-3_9

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  • DOI: https://doi.org/10.1007/978-3-642-51730-3_9

  • Publisher Name: Physica-Verlag HD

  • Print ISBN: 978-3-7908-0928-2

  • Online ISBN: 978-3-642-51730-3

  • eBook Packages: Springer Book Archive

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