Efficiency measurement by data envelopment analysis: An application in the banking sector

In this study, in cases where multiple input and output, the entry selected that converts the output to a technique for evaluating the relative activities of decision making units, data envelopment analysis method has been investigated and an application of great importance to the country's economy work efficiently in the banking sector were analyzed. In addition, the Malmquist total factor productivity index method examined whether there was an improvement in activity values on the basis of years in the same application. VZA constitutes the theoretical background of this study. Both these techniques have been used very frequently in the banking sector in recent years. Relevant activities of the banks operating in our country included in the implementation section of the thesis in 2014, 2015, 2016, 2017 and 2018 (as of 30.09.2018) were evaluated. By determining the input and output variables which are thought to reflect the efficiency of these banks in the best way, the data sets of 2014, 2015, 2016, 2017 and 2018 (as of 30.09.2018) were compiled in the light of the data obtained from www.tbb.org website. As a result, according to the Data Envelopment Analysis, it was determined that the number of effective banks decreased from 2014 to 2018 over the years. In addition, in 2014-2018 period, there was a general decline in total factor productivity in the banking sector.