IDEAS home Printed from https://ideas.repec.org/p/pra/mprapa/30936.html
   My bibliography  Save this paper

Εφαρμογή Μετρήσεων Απόδοσης – Αποτελεσματικότητας - Αποδοτικότητας Στη Δημόσια Διοίκηση: Διεθνής Και Ελληνική Εμπειρία
[Performance – effectiveness – efficiency measurement methods in public sector: international and greek experience]

Author

Listed:
  • Zervopoulos, Panagiotis
  • Palaskas, Theodosios

Abstract

A plethora of performance – effectiveness – efficiency measurement methods have been developed and implemented to public organizations since the mid-nineteenth century. However, the ’60s have been considered a milestone for the measurement methods embraced by the public sector, initially in the United States and later in most of the OECD countries, when sophisticated accounting and financial performance methods were developed. During the first era, of the ’60s and ’70s, the public administration became process-oriented and adopted output assessment methods. The second era of measurement methods’ implementation to public organizations started in very early ’80s and continues today. During the second period, the public administration’s strategy started becoming extroverted focusing on the outcomes assessment rather than the output, shifting from financial performance assessment methods to those of efficiency, effectiveness and performance. The main goals set for the second period are expenses squeeze for public organizations, efficiency and effectiveness attainment, transparency and accountability. The implementation of performance – effectiveness – efficiency measurement methods within public organizations is a condition for measuring and assessing the output and outcome of the administrative units, and for establishing operational optimization plans, though, it is not adequate to ensure the accomplishment of the aforementioned goals. Political and managerial commitment to the implementation and handling of measurement methods, the application of the proposed methods’ reforms to the operational units, personnel experience to the usage of measurement methods, and readiness for change are considered vital prerequisites for success. It has been established that the more sophisticated the method, the more demanding it turns to be. As a consequence, the failure rate is greater for the performance assessment methods (i.e., for the Balanced Scorecard) than the straight financial performance ones or the efficiency measurement methods. Given the drawbacks of most of the existing performance – effectiveness –efficiency measurement methods, which are already adopted by public organizations, and the attributes of public administration, we have developed a comparative effectiveness measurement method called Quality-driven – Efficiency-adjusted Data Envelopment Analysis (QE-DEA). This method introduces synchronous analysis of operational efficiency and citizen satisfaction for a group of homogeneous operational/administrative units. It’s not demanding in terms of data collection, imputation, elaboration and report, hence, skilled personnel are not required. Nevertheless, similar to the rest of the performance – effectiveness – efficiency measurement methods, QE-DEA goal attainment depends on political and managerial commitment to restructuring the assessed public organizations according to a road-map provided in order to improve their effectiveness.

Suggested Citation

  • Zervopoulos, Panagiotis & Palaskas, Theodosios, 2010. "Εφαρμογή Μετρήσεων Απόδοσης – Αποτελεσματικότητας - Αποδοτικότητας Στη Δημόσια Διοίκηση: Διεθνής Και Ελληνική Εμπειρία [Performance – effectiveness – efficiency measurement methods in public sector," MPRA Paper 30936, University Library of Munich, Germany.
  • Handle: RePEc:pra:mprapa:30936
    as

    Download full text from publisher

    File URL: https://mpra.ub.uni-muenchen.de/30936/1/MPRA_paper_30936.pdf
    File Function: original version
    Download Restriction: no
    ---><---

    References listed on IDEAS

    as
    1. Athanassopoulos, Antreas D., 1997. "Service quality and operating efficiency synergies for management control in the provision of financial services: Evidence from Greek bank branches," European Journal of Operational Research, Elsevier, vol. 98(2), pages 300-313, April.
    Full references (including those not matched with items on IDEAS)

    Most related items

    These are the items that most often cite the same works as this one and are cited by the same works as this one.
    1. Debdatta Pal & Subrata K. Mitra, 2018. "The efficiency of microfinance institutions with problem loans: A directional distance function approach," Computational and Mathematical Organization Theory, Springer, vol. 24(3), pages 285-307, September.
    2. Pal, Debdatta, 2010. "Measuring Technical Efficiency of Microfinance Institutions in India," Indian Journal of Agricultural Economics, Indian Society of Agricultural Economics, vol. 65(4), pages 1-19.
    3. Wijesiri, Mahinda & Yaron, Jacob & Meoli, Michele, 2017. "Assessing the financial and outreach efficiency of microfinance institutions: Do age and size matter?," Journal of Multinational Financial Management, Elsevier, vol. 40(C), pages 63-76.
    4. Yi-cheng Liu & Yue-cune Chang, 2013. "The Regional Performances of Agricultural Bank of China Applying GEE Method Multiple Linear Regression," Journal of Applied Finance & Banking, SCIENPRESS Ltd, vol. 3(5), pages 1-3.
    5. Widiarto, Indra & Emrouznejad, Ali, 2015. "Social and financial efficiency of Islamic microfinance institutions: A Data Envelopment Analysis application," Socio-Economic Planning Sciences, Elsevier, vol. 50(C), pages 1-17.
    6. Ole Olesen & Niels Petersen, 1999. "Probabilistic Bounds on the Virtual Multipliers in Data Envelopment Analysis: Polyhedral Cone Constraints," Journal of Productivity Analysis, Springer, vol. 12(2), pages 103-133, September.
    7. Paradi, Joseph C. & Rouatt, Stephen & Zhu, Haiyan, 2011. "Two-stage evaluation of bank branch efficiency using data envelopment analysis," Omega, Elsevier, vol. 39(1), pages 99-109, January.
    8. Carlos S�nchez-Gonz�lez & Jos� Luis Sarto & Luis Vicente, 2013. "The efficiency of Spanish mutual funds companies: A slacks-based measure approach," Documentos de Trabajo dt2013-01, Facultad de Ciencias Económicas y Empresariales, Universidad de Zaragoza.
    9. Giokas, Dimitris I., 2008. "Assessing the efficiency in operations of a large Greek bank branch network adopting different economic behaviors," Economic Modelling, Elsevier, vol. 25(3), pages 559-574, May.
    10. Subhash C. Ray & Abhiman Das & Kankana Mukherjee, 2017. "Labor-Cost Efficiency with Indivisible Outputs and Inputs: A Study of Indian Bank Branches," Working papers 2017-04, University of Connecticut, Department of Economics.
    11. Süleyman KALE & Mehmet Hasan EKEN, 2022. "Bank Efficiency and Economic Growth in the OECD Countries," Journal for Economic Forecasting, Institute for Economic Forecasting, vol. 0(3), pages 46-66, October.
    12. Balammal Aruna & Madhumathi R & Ganesh MP, 2019. "Performance Evaluation Frameworks in the Context of Indian Microfinance Institutions," Foundations of Management, Sciendo, vol. 11(1), pages 209-228, January.
    13. Christos Floros, 2020. "Banking Development and Economy in Greece: Evidence from Regional Data," JRFM, MDPI, vol. 13(10), pages 1-13, October.
    14. Aude Hubrecht-Deville, 2007. "Branch banking networks assessment using DEA:A benchmarking analysis," Working Papers CREGO 1071103, Université de Bourgogne - CREGO EA7317 Centre de recherches en gestion des organisations.
    15. Subhash C. Ray & Abhiman Das & Kankana Mukherjee, 2018. "Measures of Labor Use Efficiency from a Cost-Based Dual Representation of the Technology: A Study of Indian Bank Branches," Working papers 2018-17, University of Connecticut, Department of Economics.
    16. B Gutiérrez-Nieto & C Serrano-Cinca & C Mar Molinero, 2009. "Social efficiency in microfinance institutions," Journal of the Operational Research Society, Palgrave Macmillan;The OR Society, vol. 60(1), pages 104-119, January.
    17. Siriopoulos, Costas & Tziogkidis, Panagiotis, 2010. "How do Greek banking institutions react after significant events?--A DEA approach," Omega, Elsevier, vol. 38(5), pages 294-308, October.
    18. Dekker, David & Post, Thierry, 2001. "A quasi-concave DEA model with an application for bank branch performance evaluation," European Journal of Operational Research, Elsevier, vol. 132(2), pages 296-311, July.
    19. Halkos, George & Tzeremes, Nickolaos, 2010. "Measuring the effect of virtual mergers on banks’ efficiency levels:A non parametric analysis," MPRA Paper 23696, University Library of Munich, Germany.
    20. Hao Zhou & Xinyi Li & Xiaoli Li, 2023. "Can the Digital Economy Improve the Level of High-Quality Financial Development? Evidence from China," Sustainability, MDPI, vol. 15(9), pages 1-13, April.

    More about this item

    Keywords

    Efficiency; Effectiveness; Performance; Public Management; Greek Public Sector Reform; QE-DEA;
    All these keywords.

    JEL classification:

    • D73 - Microeconomics - - Analysis of Collective Decision-Making - - - Bureaucracy; Administrative Processes in Public Organizations; Corruption
    • P41 - Political Economy and Comparative Economic Systems - - Other Economic Systems - - - Planning, Coordination, and Reform
    • C61 - Mathematical and Quantitative Methods - - Mathematical Methods; Programming Models; Mathematical and Simulation Modeling - - - Optimization Techniques; Programming Models; Dynamic Analysis

    NEP fields

    This paper has been announced in the following NEP Reports:

    Statistics

    Access and download statistics

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:pra:mprapa:30936. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    If CitEc recognized a bibliographic reference but did not link an item in RePEc to it, you can help with this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: Joachim Winter (email available below). General contact details of provider: https://edirc.repec.org/data/vfmunde.html .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.