Authors: Susila Munisamy; Wang Danxia
Addresses: Faculty of Economics and Administration, University of Malaya, 50603 Kuala Lumpur, Malaysia ' Economics Research Unit, AmInvestment Management Sdn. Bhd., Level 10, Bangunan AmBank Group, 55 Jalan Raja Chulan, 50200 Kuala Lumpur, Malaysia
Abstract: This paper employs a smoothed homogenous bootstrapped frontier approach to obtain data envelopment analysis (DEA) efficiency estimates for a more reliable efficiency ranking of Asian container ports. The paper applies desirable statistical properties to DEA efficiency estimates pertaining to consistency, unbiasedness, and estimation of confidence intervals. The paper uses a three-pronged analysis, first by identifying outliers using the log-ratio analysis; second, testing hypothesis with regard to global returns to scale employing a bootstrap methodology; and third, implementing the smooth homogenous bootstrap method to derive bias-corrected DEA efficiency estimates and to build confidence intervals. The results of the study enable individual ports to assess whether their production is efficient compared to their counterparts and indicate strategies for efficiency improvement.
Keywords: data envelopment analysis; DEA; bootstrapped frontier; outlier detection; global returns to scale; container ports; container shipping; efficiency ranking; Asia; efficiency improvement; port efficiency.
International Journal of Shipping and Transport Logistics, 2013 Vol.5 No.6, pp.668 - 690
Available online: 10 Sep 2013 *Full-text access for editors Access for subscribers Purchase this article Comment on this article