Coordination efficiency in multi-output settings: a DEA approach

Cherchye, Laurens; Rock, Bram De; Hennebel, Veerle

doi:10.1007/s10479-015-1892-7

Cited by 18 publications

(15 citation statements)

References 28 publications

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“…Cherchye et al . () consider a model of a Decision Making Unit with several subdivisions (they give an example of a university with subdivisions in research and teaching). They are interested in measuring whether efficiency gains are possible from reallocating common inputs over the different subdivisions.…”

Section: Mixed Farm Modelmentioning

confidence: 97%

“…In line with Cherchye et al . (), this allocation might not be optimal and a better reallocation is possible. Let

{boldX}_{t} \in R_{+}^{C}

with

C \subseteq \{1, \dots, N_{C}\} \cap \{1, \dots, N_{L}\}

be the process‐specific inputs that have to be allocated among both subprocesses such that

X_{t}^{C, m} + X_{t}^{L, m} = X_{t}^{m} \forall m \in C .

Thus, C is the subset of inputs, common to crop and livestock, that can be reallocated among both subprocesses.…”

Section: Mixed Farm Modelmentioning

confidence: 99%

“…Using a nonparametric framework, this paper extends the static, radial framework suggested by Cherchye et al . () to a dynamic context of coordination Luenberger productivity growth. Cherchye et al .…”

Section: Introductionmentioning

confidence: 99%

“…Cherchye et al . ()'s radial framework only identifies inefficiencies in the input direction. We generalise this approach by developing a directional distance function framework in which inputs as well as outputs are choice variables, which is consistent with profit‐maximising behaviour.…”

Section: Introductionmentioning

confidence: 99%

“…They develop a radial input-oriented framework. Using this framework, Cherchye et al (2015) address the question of efficient allocation of common output-specific inputs over subdivisions. They develop a coordination efficiency measure that quantifies the possible efficiency gains from reallocating some inputs over the subdivisions.…”

Section: Introductionmentioning

confidence: 99%

See 4 more Smart Citations

To Mix or Specialise? A Coordination Productivity Indicator for English and Welsh farms

Ang¹,

Kerstens²

2016

J Agricultural Economics

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This paper introduces a nonparametric measure of coordination productivity growth where the subprocesses are explicitly modelled in the production technology. The coordination productivity indicator is decomposed into a coordination technical inefficiency change component and a coordination technical change component. This decomposition allows assessment of reallocation impacts on the different sources of productivity growth. The empirical application focuses on a large panel of English and Welsh farms over the period 2007–2013. The results show that coordination inefficiency significantly increases with the proportion of resources allocated to livestock production in economic and statistical terms. Coordination inefficient farms should generally allocate more land to crop production. Depending on the region, the average coordination productivity growth ranges from −9.7% to 15.9% per year. It is driven by coordination technical change rather than coordination inefficiency change.

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Section: Mixed Farm Modelmentioning

confidence: 97%

“…In line with Cherchye et al . (), this allocation might not be optimal and a better reallocation is possible. Let