I. Introduction There is now a vast literature extolling the effects of privatization on the impr... more I. Introduction There is now a vast literature extolling the effects of privatization on the improvements of financial and operating performance in both developed and developing countries. However, there is no empirical evidence to show the effects of simultaneous adoption of privatization and competition reforms, especially on telecommunications in Asia. Boubakri and Cosset's study (1998) examined the financial and operating performance of newly privatized firms from various industries in general. Their main findings were sales, profits, investment, and operating efficiency all increased following privatization, including employment. Likewise, Megginson, Nash, and van Randenborgh (1994) examined thirty-two industries including telecommunications and found that the main measures of financial and operating performance and employment all increased significantly after privatization. The study by Eckel, Eckel, and Vijay (1997) found that privatization of the British Airways improved economic efficiency by reducing employment and increasing productivity. These studies, however, failed to delineate the effects of competition after monopoly was eroded by market forces. Bortolloti et al. (2001) examined the privatization of thirty-one national telecommunication companies in twenty-five countries. Their findings show that financial and operating performance improved significantly after privatization due to regulatory changes than privatization itself. Some studies emphasize the privatization to be a process including change of ownership: Ariff and Iyer (1995) and Thynne and Ariff (1989). These studies, however, examined these issues over too short a period of time: productivity gains and efficiency improvements do not occur within a few years. There are no hard statistical tests of performance and efficiency gains of Asian telecommunications (such as in Japan, Malaysia, and the Philippines) over a sufficiently long period of time to justify the long-term effects of simultaneous adoption of privatization and competition policies. The purpose of this paper is to fill a void in the literature. Sufficient time has elapsed since privatization and enough time to inject competition in the industry so that data are now available to examine the persistence of efficiency following the reforms. This study, therefore, tries to provide long-term effects of the simultaneous adoption of both privatization and competition reforms on performance and efficiency in Asian telecommunications. This is the main contribution of the research as addition of new findings to the existing studies on privatization. The study also provides new empirical evidence that competition is the effective agent of change than mere privatization as evident in the case of the Philippine telecommunications. The empirical findings of this study, moreover, could help inform the policymakers on the impact of reform changes on telecommunications in light of the ongoing debates on liberalization of trade in services. Generally in Asia, privatization of telecommunications has come at a much slower pace and through diverse processes because governments are more cautious in their approach due to political costs. Privatization in Asia is in two ways: sell-off of assets and transfer of rights (with/without assets) (Euromoney 1993). The sell-off of assets is a market-based privatization. It operates on the premise that the private sector is a more efficient provider of services and that it can compete in the market and get funds from the capital markets. Another way of privatization is the transfer of government rights to the private sector; this is widely adopted in Asia, because it can provide quick solutions to infrastructure bottlenecks in all sectors of the national economy. Privatization, which has been followed by competition or liberalization, has taken much longer (Mody and Walton 1998). Even the otherwise free-marketer economy of Singapore has 83 per cent government ownership in Singtel shares after almost a decade of privatization. …
This thesis was scanned from the print manuscript for digital preservation and is copyright the a... more This thesis was scanned from the print manuscript for digital preservation and is copyright the author. Researchers can access this thesis by asking their local university, institution or public library to make a request on their behalf. Monash staff and postgraduate students can use the link in the References field.
This thesis was scanned from the print manuscript for digital preservation and is copyright the a... more This thesis was scanned from the print manuscript for digital preservation and is copyright the author. Researchers can access this thesis by asking their local university, institution or public library to make a request on their behalf. Monash staff and postgraduate students can use the link in the References field.
This paper evaluates the relative efficiency of 23 Non Life Insurance companies in Indonesia, usi... more This paper evaluates the relative efficiency of 23 Non Life Insurance companies in Indonesia, using Data Envelopment Analysis (DEA) model. DEA is a management evaluation tool that assists in identifying the most efficient and inefficient decisionmaking units (DMUs) in the best practice frontier. Empirical results show that bigger insurance companies are found to be efficient than smaller firms. Moreover, companies with captive market and the company's group with non-captive market have relatively the same result. These findings are new empirical contributions to efficiency literature of the insurance industry. The paper also provides policy implications for the Indonesian insurance sector.
International Journal of Information Systems in the Service Sector, 2018
This paper aims to measure and analyze the efficiency of the US publicly-held insurance industry ... more This paper aims to measure and analyze the efficiency of the US publicly-held insurance industry from 2011 to 2013. The paper uses a two-stage efficiency model: (1) data envelopment analysis (DEA), a non-parametric model for measuring the efficiency of 141 panel data of US publicly-held insurance firms, and (2) stochastic Tobit regression model for determining associations between insurers' financial performance and efficiency. Three significant findings are obtained: (1) There is no evidence that US insurance firms consistently improve in efficiency over time using the input-output mix. (2) There is an overall positive significant association between insurers' financial performance and technical efficiency at a very high confidence level. (3) Type of insurance is found to have a negative and significant effect on efficiency. These new findings add empirical evidence to the efficiency analysis of the US insurance industry.
This research attempts to provide performance measurement model for the consumer indust... more This research attempts to provide performance measurement model for the consumer industry listed on Indonesia Stock Exchange (IDX) by using the data envelopment analysis (DEA) and the stochastic frontier analysis (SFA). There were 36 panel irms analyzed over the period of 2000-2005 or 216 pooled observations. The output variable was total sales and input variables were labor, inventory, ixed assets and capital. Z-variables are age of the irm, size of the irm, market share and time period. Empirical indings reveal that the average technical eficiency (mean TE) for consumer industry was 0.6630. The study indicates the existence of output slacks (output deicits) and input slacks (input wastages) in the consumer industry's operation. The study also shows that the joint effect of four z-variables on the technical ineficiencies of the consumer industry was signiicant although the individual effects of one or more variables might not be statistically signiicant. ");} // --> activate javascript
American Journal of Business Education (AJBE), 2011
This paper measures the technical efficiency of 16 selected colleges and universities in Metro Ma... more This paper measures the technical efficiency of 16 selected colleges and universities in Metro Manila, Philippines, using academic data for the SY 2001 2005. Using the data envelopment analysis (DEA), on average, schools posted 0.807 index score and need additional 19.3% efficiency growth to be efficient. Overall, there are top four efficient schools, with an average technical efficiency score between 99-100%, representing 25% of the sample. The slacks and efficient targets results have schools policy decision-making implications: Through DEA, schools have a reference set of actual values and accurate information for performance improvement on their resource allocation usage and output targets. The benchmarking characteristics of DEA may help schools administrators aspire for better performance by learning from other efficient schools.
International Business & Economics Research Journal (IBER), 2011
This paper evaluates the efficiency and productivity growth of State Universities and Colleges (S... more This paper evaluates the efficiency and productivity growth of State Universities and Colleges (SUCs) in the Philippines. The SUCs performance is determined on the changes in total factor productivity (TFP), technological, and technical efficiency. We use two Data envelopment analysis (DEA) models for the first time in estimating the relative performance of SUCs. Firstly, the output-orientated DEA-Malmquist index is calculated from panel data of 59 SUCS over the period 1999-2003 or a total of 295 observations, and secondly, the DEA multi-stage model (input reduction) is estimated. The two DEA models are calculated using three educational outputs and three inputs. Using Malmquist Index model, findings reveal that 49 SUCs or 83 percent are efficient. The technological index shows that six (6) SUCs or 10.16 percent only shows a technological progress. In terms of total factor productivity, SUCs obtained an index score of 1.002, which implies a productivity growth. This means that 27 SU...
International Business & Economics Research Journal (IBER), 2010
The paper is the first attempt at examining the technical efficiency and benchmarking the perform... more The paper is the first attempt at examining the technical efficiency and benchmarking the performance of 15 social foundations in the Philippines for the period 2000-2005 using the data envelopment analysis (DEA) model. The 65.55% of social foundations are operating at increased returns to scale, 4.45% at decreased returns to scale and 30% at constant returns to scale. Forty percent of firms are efficiently utilizing their expenses and the majority shows resource excesses (capital and labor). All firms show output deterioration for donations and total awards to beneficiaries. With the aid of the DEA tool, measurement of the efficiency of social foundations has been verified and proven as manageable and quantifiable from a multidimensional assessment. Results reveal the importance of technical efficiency assessment for the non-profit sector.
International Business & Economics Research Journal (IBER), 2011
This paper examines the productivity performance of private electric cooperatives (ECs) in the Ph... more This paper examines the productivity performance of private electric cooperatives (ECs) in the Philippines. Our sample draws on 15 regions in the Philippines, with a total of 117 cooperatives over the period 1999-2003. Data envelopment analysis (DEA) models are used to calculate productive performance of our panel sample. Our findings suggest that regional electric cooperatives (RECs) are technologically-oriented, yet, show a declining efficiency change of 0.1 percent annually. In this case, the electricity industry across regions may adopt a weighted combination of electricity-based technologies and supported with policies of autonomy without losing the service-oriented culture. Thus, productivity is driven more by technological innovations in the industry than managerial efficiency. This is a new empirical contribution to the electricity productivity literature.
I. Introduction There is now a vast literature extolling the effects of privatization on the impr... more I. Introduction There is now a vast literature extolling the effects of privatization on the improvements of financial and operating performance in both developed and developing countries. However, there is no empirical evidence to show the effects of simultaneous adoption of privatization and competition reforms, especially on telecommunications in Asia. Boubakri and Cosset's study (1998) examined the financial and operating performance of newly privatized firms from various industries in general. Their main findings were sales, profits, investment, and operating efficiency all increased following privatization, including employment. Likewise, Megginson, Nash, and van Randenborgh (1994) examined thirty-two industries including telecommunications and found that the main measures of financial and operating performance and employment all increased significantly after privatization. The study by Eckel, Eckel, and Vijay (1997) found that privatization of the British Airways improved economic efficiency by reducing employment and increasing productivity. These studies, however, failed to delineate the effects of competition after monopoly was eroded by market forces. Bortolloti et al. (2001) examined the privatization of thirty-one national telecommunication companies in twenty-five countries. Their findings show that financial and operating performance improved significantly after privatization due to regulatory changes than privatization itself. Some studies emphasize the privatization to be a process including change of ownership: Ariff and Iyer (1995) and Thynne and Ariff (1989). These studies, however, examined these issues over too short a period of time: productivity gains and efficiency improvements do not occur within a few years. There are no hard statistical tests of performance and efficiency gains of Asian telecommunications (such as in Japan, Malaysia, and the Philippines) over a sufficiently long period of time to justify the long-term effects of simultaneous adoption of privatization and competition policies. The purpose of this paper is to fill a void in the literature. Sufficient time has elapsed since privatization and enough time to inject competition in the industry so that data are now available to examine the persistence of efficiency following the reforms. This study, therefore, tries to provide long-term effects of the simultaneous adoption of both privatization and competition reforms on performance and efficiency in Asian telecommunications. This is the main contribution of the research as addition of new findings to the existing studies on privatization. The study also provides new empirical evidence that competition is the effective agent of change than mere privatization as evident in the case of the Philippine telecommunications. The empirical findings of this study, moreover, could help inform the policymakers on the impact of reform changes on telecommunications in light of the ongoing debates on liberalization of trade in services. Generally in Asia, privatization of telecommunications has come at a much slower pace and through diverse processes because governments are more cautious in their approach due to political costs. Privatization in Asia is in two ways: sell-off of assets and transfer of rights (with/without assets) (Euromoney 1993). The sell-off of assets is a market-based privatization. It operates on the premise that the private sector is a more efficient provider of services and that it can compete in the market and get funds from the capital markets. Another way of privatization is the transfer of government rights to the private sector; this is widely adopted in Asia, because it can provide quick solutions to infrastructure bottlenecks in all sectors of the national economy. Privatization, which has been followed by competition or liberalization, has taken much longer (Mody and Walton 1998). Even the otherwise free-marketer economy of Singapore has 83 per cent government ownership in Singtel shares after almost a decade of privatization. …
This thesis was scanned from the print manuscript for digital preservation and is copyright the a... more This thesis was scanned from the print manuscript for digital preservation and is copyright the author. Researchers can access this thesis by asking their local university, institution or public library to make a request on their behalf. Monash staff and postgraduate students can use the link in the References field.
This thesis was scanned from the print manuscript for digital preservation and is copyright the a... more This thesis was scanned from the print manuscript for digital preservation and is copyright the author. Researchers can access this thesis by asking their local university, institution or public library to make a request on their behalf. Monash staff and postgraduate students can use the link in the References field.
This paper evaluates the relative efficiency of 23 Non Life Insurance companies in Indonesia, usi... more This paper evaluates the relative efficiency of 23 Non Life Insurance companies in Indonesia, using Data Envelopment Analysis (DEA) model. DEA is a management evaluation tool that assists in identifying the most efficient and inefficient decisionmaking units (DMUs) in the best practice frontier. Empirical results show that bigger insurance companies are found to be efficient than smaller firms. Moreover, companies with captive market and the company's group with non-captive market have relatively the same result. These findings are new empirical contributions to efficiency literature of the insurance industry. The paper also provides policy implications for the Indonesian insurance sector.
International Journal of Information Systems in the Service Sector, 2018
This paper aims to measure and analyze the efficiency of the US publicly-held insurance industry ... more This paper aims to measure and analyze the efficiency of the US publicly-held insurance industry from 2011 to 2013. The paper uses a two-stage efficiency model: (1) data envelopment analysis (DEA), a non-parametric model for measuring the efficiency of 141 panel data of US publicly-held insurance firms, and (2) stochastic Tobit regression model for determining associations between insurers' financial performance and efficiency. Three significant findings are obtained: (1) There is no evidence that US insurance firms consistently improve in efficiency over time using the input-output mix. (2) There is an overall positive significant association between insurers' financial performance and technical efficiency at a very high confidence level. (3) Type of insurance is found to have a negative and significant effect on efficiency. These new findings add empirical evidence to the efficiency analysis of the US insurance industry.
This research attempts to provide performance measurement model for the consumer indust... more This research attempts to provide performance measurement model for the consumer industry listed on Indonesia Stock Exchange (IDX) by using the data envelopment analysis (DEA) and the stochastic frontier analysis (SFA). There were 36 panel irms analyzed over the period of 2000-2005 or 216 pooled observations. The output variable was total sales and input variables were labor, inventory, ixed assets and capital. Z-variables are age of the irm, size of the irm, market share and time period. Empirical indings reveal that the average technical eficiency (mean TE) for consumer industry was 0.6630. The study indicates the existence of output slacks (output deicits) and input slacks (input wastages) in the consumer industry's operation. The study also shows that the joint effect of four z-variables on the technical ineficiencies of the consumer industry was signiicant although the individual effects of one or more variables might not be statistically signiicant. ");} // --> activate javascript
American Journal of Business Education (AJBE), 2011
This paper measures the technical efficiency of 16 selected colleges and universities in Metro Ma... more This paper measures the technical efficiency of 16 selected colleges and universities in Metro Manila, Philippines, using academic data for the SY 2001 2005. Using the data envelopment analysis (DEA), on average, schools posted 0.807 index score and need additional 19.3% efficiency growth to be efficient. Overall, there are top four efficient schools, with an average technical efficiency score between 99-100%, representing 25% of the sample. The slacks and efficient targets results have schools policy decision-making implications: Through DEA, schools have a reference set of actual values and accurate information for performance improvement on their resource allocation usage and output targets. The benchmarking characteristics of DEA may help schools administrators aspire for better performance by learning from other efficient schools.
International Business & Economics Research Journal (IBER), 2011
This paper evaluates the efficiency and productivity growth of State Universities and Colleges (S... more This paper evaluates the efficiency and productivity growth of State Universities and Colleges (SUCs) in the Philippines. The SUCs performance is determined on the changes in total factor productivity (TFP), technological, and technical efficiency. We use two Data envelopment analysis (DEA) models for the first time in estimating the relative performance of SUCs. Firstly, the output-orientated DEA-Malmquist index is calculated from panel data of 59 SUCS over the period 1999-2003 or a total of 295 observations, and secondly, the DEA multi-stage model (input reduction) is estimated. The two DEA models are calculated using three educational outputs and three inputs. Using Malmquist Index model, findings reveal that 49 SUCs or 83 percent are efficient. The technological index shows that six (6) SUCs or 10.16 percent only shows a technological progress. In terms of total factor productivity, SUCs obtained an index score of 1.002, which implies a productivity growth. This means that 27 SU...
International Business & Economics Research Journal (IBER), 2010
The paper is the first attempt at examining the technical efficiency and benchmarking the perform... more The paper is the first attempt at examining the technical efficiency and benchmarking the performance of 15 social foundations in the Philippines for the period 2000-2005 using the data envelopment analysis (DEA) model. The 65.55% of social foundations are operating at increased returns to scale, 4.45% at decreased returns to scale and 30% at constant returns to scale. Forty percent of firms are efficiently utilizing their expenses and the majority shows resource excesses (capital and labor). All firms show output deterioration for donations and total awards to beneficiaries. With the aid of the DEA tool, measurement of the efficiency of social foundations has been verified and proven as manageable and quantifiable from a multidimensional assessment. Results reveal the importance of technical efficiency assessment for the non-profit sector.
International Business & Economics Research Journal (IBER), 2011
This paper examines the productivity performance of private electric cooperatives (ECs) in the Ph... more This paper examines the productivity performance of private electric cooperatives (ECs) in the Philippines. Our sample draws on 15 regions in the Philippines, with a total of 117 cooperatives over the period 1999-2003. Data envelopment analysis (DEA) models are used to calculate productive performance of our panel sample. Our findings suggest that regional electric cooperatives (RECs) are technologically-oriented, yet, show a declining efficiency change of 0.1 percent annually. In this case, the electricity industry across regions may adopt a weighted combination of electricity-based technologies and supported with policies of autonomy without losing the service-oriented culture. Thus, productivity is driven more by technological innovations in the industry than managerial efficiency. This is a new empirical contribution to the electricity productivity literature.
Uploads
Papers by Emilyn Cabanda