A Two-Stage Value Chain DEA Application To Assess Performance Measurement Of Commercial Banks In Cambodia
This study aims to assess the performance efficiency of commercial banks in Cambodia within 2011 to 2014
utilizing two-stage value chain data envelopment analysis (DEA) application. The model is integrated with intangible
perspective to investigate two sub-processes of banks operation and profitability performance. This paper not only
determines cause of inefficiency factors for commercial banks, but it also offers a benchmarking process and reference set as
best-performed for the relative inefficient banks to improve their performance in both stages as well as an entire
performance. The empirical analysis illustrates that three banks obtain efficiency score in overall performance among 27
banks while only one bank and 24 banks are inefficient in operation and profitability process, respectively. This result
indicates that 96.30%and 11.11% of the banksefficiently perform in operation and profitability process, respectively.
Furthermore, the model provides a benchmarking value to inefficient banks to enhance the intermediate outputs and the
service quality in order to move to efficiency frontier line.
Keywords- Data Envelopment Analysis (DEA), Two-stage value chain, Cambodia's commercial banks.