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The effects of working from home on technical efficiency within the service industry: A meta‐frontier approach

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  • Migyeong Yang
  • Soobin Jang
  • Michelle Goh
  • Daeho Lee

Abstract

The COVID‐19 pandemic has accelerated the introduction of working from home (WFH), but it has not been verified how it affects corporate performance, and many companies are still hesitant to introduce WFH. In this study, service companies were divided into a group that introduced WFH and a group that did not introduce WFH during the COVID‐19 pandemic, and the technical efficiencies of the two groups were compared through meta‐frontier analysis. As a result, the WFH group had a lower technical efficiency (TE) but a higher meta‐technology ratio (MTR) than the group that did not introduce WFH, suggesting that the introduction of WFH can be positive for improving corporate performance in the long run.

Suggested Citation

  • Migyeong Yang & Soobin Jang & Michelle Goh & Daeho Lee, 2024. "The effects of working from home on technical efficiency within the service industry: A meta‐frontier approach," Managerial and Decision Economics, John Wiley & Sons, Ltd., vol. 45(4), pages 2189-2195, June.
    • Handle: RePEc:wly:mgtdec:v:45:y:2024:i:4:p:2189-2195
    DOI: 10.1002/mde.4132
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