دانلود رایگان مقاله انگلیسی بهره وری شعبه بانک تحت تغییرات محیط زیست: DEA راه انداز بر اساس گزارشات حسابداری سود و زیان ماهانه - الزویر 2017

AΒSTRACT

The objective of this study is to measure efficiency change of bank branches under external environment deterioration. In particular, we utilize a bootstrap input-oriented profit DEA and investigate homogeneous and heterogeneous branches according to branch size and location to measure efficiency change by contrasting expansion, recession and capital control effects that constitute a unique phenomenon in the postwar period in the Eurozone. Our primary research explicitly focuses on the whole retail network of a Greek systemic bank based on unpublished monthly branch Profit and Loss statements and covers the period from January 2006 to July 2016. We find that early and deep recession reduces on average branch network efficiency. The imposition of capital controls (end-month June 2015) initially causes marginal effects with a subsequent efficiency improvement in the first seven months of 2016 when economic conditions are normalized. The paper documents that branch size and location matter. On the whole, we capture efficiency deterioration in the long-run contrary to recent European evidence. Apart from the efficiency measurement over time, we provide directions to bank management for performance improvement in the capital control period. More specifically, a bootstrap DEA-based Decision Tree classification exactly quantifies for the first time a potential upgrading of underperforming branches and a second-stage bootstrap DEA regression locates important efficiency drivers such as the diversification of income and the depositoriented activity that could improve efficiency of the total retail network.

6. Conclusion and discussion

This paper explores efficiency change in retail banking taking into account external environmental transformation such as recession and capital control effects which followed the expansion years hence shedding new light on the unique phenomenon of capital controls and the successive recession stages. We utilize a bootstrap inputoriented profit DEA to measure efficiency change by moving from one economic stage to another. Furthermore, a bootstrap DEA-based decision tree model qualifies in terms of input minimization the relative inefficient branches, whereas a second-stage regression reveals important efficiency drivers within the whole retail network. The analysis at bank branch level allows the measurement of efficiency creation and destruction directly at the primary sources of operational profits and expenses, whereas the primary monthly information ensured the immediate capture of any efficiency change. To deal with heterogeneity we investigated a homogeneous sample of branches according to branch size and location defined by bottom- and top-level management.

The study reveals substantial efficiency deterioration during the early and the deep recession period. The efficiency destruction seems to fade out in the first stage of capital controls, whereas in the first seven months of 2016 an efficiency improvement is observed. The analysis shows that branch size and location matter. Furthermore, we propose an input orientation strategy that suggests the way of transformation of the most inefficient homogeneous branches into the most efficient ones. In particular, an input-oriented bootstrap DEA-based DT classification is applied to the homogenous branch group during the second stage of the capital control period. Our specific methodology offers bank management clear efficiency guidelines for branch network consolidation and restructuring. Especially, the approach outcome defines the boundaries for the efficient management of operational expenses and provisions and prioritizes the strategic steps for the efficiency improvement of the most inefficient branches. Based on the derived DT results, the executives of the bank under study focused initially on the reduction of operational expenses primarily through branch mergers given the high concentration of the homogeneous branches in urban areas with a relative low dispersion rate. Subsequently, they attempted to reduce loan loss impairments by concentrating on remedial management. Generally, this combined approach offers bank managers accurate information to what extent they should reduce inputs (i.e. expenses, provisions) in order to increase branch efficiency hence  moving poorly performing homogenous branches from the last two to the first two efficiency categories.