Volume 1 • No.2 | December, 2017
DEA Model for Measuring Operational Efficiency of Vietnam’s Commercial Banks by Using Genetic Algorithms
Nguyen Quang Khai
Abstract:
Data envelopment analysis (DEA) is a nonparametric method used to evaluate the performance of organizations. In recent years, the application of the DEA method in measuring the operational efficiency of commercial banks has become more popular. This research was conducted by using genetic algorithms, whose aim was to find out appropriate variables to evaluate the performance of Vietnam’s commercial banks. The result pointed out three input variables including the total amount deposit, the number of employees and leverage; and two output variables including the total revenue and net income. The model was built from the data of Vietnam’s commercial banks and provides a framework to assist further researches that apply DEA in evaluating the bank’s performance.
JEL classification: C14 . C58 . G21 . G30.
Citation: Nguyen Quang Khai (2017). DEA Model for Measuring Operational Efficiency of Vietnam’s Commercial Banks by Using Genetic Algorithms. Banking Technology Review, vol 2, no. 2, pp. 257-272.