Profitability of a sample of Portuguese bank branches and its decomposition into technical and allocative components

Detalhes bibliográficos
Autor(a) principal: Portela, M. C. A. S.
Data de Publicação: 2005
Outros Autores: Thanassoulis, Emmanuel
Tipo de documento: Artigo
Idioma: eng
Título da fonte: Repositório Científico de Acesso Aberto de Portugal (Repositórios Cientìficos)
Texto Completo: http://hdl.handle.net/10400.14/5360
Resumo: The efficiency literature, both using parametric and non-parametric methods, has been focusing mainly on cost efficiency analysis rather than on profit efficiency. In for-profit organisations, however, the measurement of profit efficiency and its decomposition into technical and allocative efficiency is particularly relevant. In this paper a newly developed method is used to measure profit efficiency and to identify the sources of any shortfall in profitability (technical and/or allocative inefficiency). The method is applied to a set of Portuguese bank branches first assuming long run and then a short run profit maximisation objective. In the long run most of the scope for profit improvement of bank branches is by becoming more allocatively efficient. In the short run most of profit gain can be realised through higher technical efficiency.
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spelling Profitability of a sample of Portuguese bank branches and its decomposition into technical and allocative componentsData envelopment analysisProfit efficiencyBank branchesThe efficiency literature, both using parametric and non-parametric methods, has been focusing mainly on cost efficiency analysis rather than on profit efficiency. In for-profit organisations, however, the measurement of profit efficiency and its decomposition into technical and allocative efficiency is particularly relevant. In this paper a newly developed method is used to measure profit efficiency and to identify the sources of any shortfall in profitability (technical and/or allocative inefficiency). The method is applied to a set of Portuguese bank branches first assuming long run and then a short run profit maximisation objective. In the long run most of the scope for profit improvement of bank branches is by becoming more allocatively efficient. In the short run most of profit gain can be realised through higher technical efficiency.ElsevierVeritati - Repositório Institucional da Universidade Católica PortuguesaPortela, M. C. A. S.Thanassoulis, Emmanuel2011-09-09T16:17:19Z20052005-01-01T00:00:00Zinfo:eu-repo/semantics/publishedVersioninfo:eu-repo/semantics/articleapplication/pdfhttp://hdl.handle.net/10400.14/5360eng"European Journal of Operational Research". ISSN 0377-2217. 162: 3 (2005) 850-86610.1016/j.ejor.2003.10.018info:eu-repo/semantics/openAccessreponame:Repositório Científico de Acesso Aberto de Portugal (Repositórios Cientìficos)instname:Agência para a Sociedade do Conhecimento (UMIC) - FCT - Sociedade da Informaçãoinstacron:RCAAP2023-07-12T17:09:51Zoai:repositorio.ucp.pt:10400.14/5360Portal AgregadorONGhttps://www.rcaap.pt/oai/openaireopendoar:71602024-03-19T18:05:18.989302Repositório Científico de Acesso Aberto de Portugal (Repositórios Cientìficos) - Agência para a Sociedade do Conhecimento (UMIC) - FCT - Sociedade da Informaçãofalse
dc.title.none.fl_str_mv Profitability of a sample of Portuguese bank branches and its decomposition into technical and allocative components
title Profitability of a sample of Portuguese bank branches and its decomposition into technical and allocative components
spellingShingle Profitability of a sample of Portuguese bank branches and its decomposition into technical and allocative components
Portela, M. C. A. S.
Data envelopment analysis
Profit efficiency
Bank branches
title_short Profitability of a sample of Portuguese bank branches and its decomposition into technical and allocative components
title_full Profitability of a sample of Portuguese bank branches and its decomposition into technical and allocative components
title_fullStr Profitability of a sample of Portuguese bank branches and its decomposition into technical and allocative components
title_full_unstemmed Profitability of a sample of Portuguese bank branches and its decomposition into technical and allocative components
title_sort Profitability of a sample of Portuguese bank branches and its decomposition into technical and allocative components
author Portela, M. C. A. S.
author_facet Portela, M. C. A. S.
Thanassoulis, Emmanuel
author_role author
author2 Thanassoulis, Emmanuel
author2_role author
dc.contributor.none.fl_str_mv Veritati - Repositório Institucional da Universidade Católica Portuguesa
dc.contributor.author.fl_str_mv Portela, M. C. A. S.
Thanassoulis, Emmanuel
dc.subject.por.fl_str_mv Data envelopment analysis
Profit efficiency
Bank branches
topic Data envelopment analysis
Profit efficiency
Bank branches
description The efficiency literature, both using parametric and non-parametric methods, has been focusing mainly on cost efficiency analysis rather than on profit efficiency. In for-profit organisations, however, the measurement of profit efficiency and its decomposition into technical and allocative efficiency is particularly relevant. In this paper a newly developed method is used to measure profit efficiency and to identify the sources of any shortfall in profitability (technical and/or allocative inefficiency). The method is applied to a set of Portuguese bank branches first assuming long run and then a short run profit maximisation objective. In the long run most of the scope for profit improvement of bank branches is by becoming more allocatively efficient. In the short run most of profit gain can be realised through higher technical efficiency.
publishDate 2005
dc.date.none.fl_str_mv 2005
2005-01-01T00:00:00Z
2011-09-09T16:17:19Z
dc.type.status.fl_str_mv info:eu-repo/semantics/publishedVersion
dc.type.driver.fl_str_mv info:eu-repo/semantics/article
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status_str publishedVersion
dc.identifier.uri.fl_str_mv http://hdl.handle.net/10400.14/5360
url http://hdl.handle.net/10400.14/5360
dc.language.iso.fl_str_mv eng
language eng
dc.relation.none.fl_str_mv "European Journal of Operational Research". ISSN 0377-2217. 162: 3 (2005) 850-866
10.1016/j.ejor.2003.10.018
dc.rights.driver.fl_str_mv info:eu-repo/semantics/openAccess
eu_rights_str_mv openAccess
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dc.publisher.none.fl_str_mv Elsevier
publisher.none.fl_str_mv Elsevier
dc.source.none.fl_str_mv reponame:Repositório Científico de Acesso Aberto de Portugal (Repositórios Cientìficos)
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