R&D Performance Evaluation in the Chinese Food Manufacturing Industry Based on Dynamic DEA in the COVID-19 Era

Abstract

Nowadays, China’s food consumption structure is shifting from being survival-oriented to health-oriented. However, the food industry is still facing a research and development (R&D) dilemma. Scientific evaluation of an enterprise’s R&D performance can help to reduce the investment risk of R&D and promote economic benefits. This study implements the dynamic data envelopment analysis (DDEA) technique to measure and evaluate the level of R&D performance in the Chinese food manufacturing industry. Twenty-eight listed companies were selected for the study, considering the time period from 2019 to 2021. After constructing a system of inputs, outputs and carry-over indicators, overall and period efficiency scores were obtained. The results reveal that the overall level of R&D in the industry is relatively low (0.332). Average efficiency scores across years were estimated as 0.447, 0.460, 0.430 for 2019, 2020, and 2021, respectively. Lastly, this study considers the actual business situation of the industry and makes suggestions for improvement from the perspective of enterprises and the government; these anticipate aiding the food manufacturing industry to improve the performance management of R&D activities.