Efficiency and Productivity Change Evaluation of Paraná’s Credit Unions

Abstract

The use of tools which can aid in the productive units evaluation may become a key-factor for the companies management, resulting in an important competitive advantage. The goal of this paper is to evaluate Paraná’s credit union’s efficiency and productivity change. For that, it was used Data Envelopment Analysis (DEA), Principal Components Analysis (PCA) and Malmquist Index (MI) techniques. The analysis considered 45 units (each credit union researched), each of one with 10 variables in each period (8 inputs and 2 outputs). This evaluation has taken into account quarterly credit union’s data, from January 2009 to July 2015 (27 periods). The results showed that DMUs 453, 498 and 517 were considered 100% efficient in all periods, considering them as benchmarks. There was no case that a DMU was not considered 100% efficient in at least one observation. The MI showed that the difference between the biggest and the smallest average was significant (varying between 19.837 for DMU 251 and 0.926 for DMU 450). The average between all MI was 4.735 with a standard deviation of 3.547, evidencing the different measures of efficiency between each DMU when compared to the others.