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Benchmarking the Performance of Productive Units Using Cross-Efficiency Techniques: An Empirical Approach for Water Companies

Author

Listed:
  • Ramon Sala-Garrido

    (University of Valencia)

  • Manuel Mocholi-Arce

    (University of Valencia)

  • Maria Molinos-Senante

    (Centro de Derecho y Gestión del Agua UC
    Pontificia Universidad Católica de Chile, Avda. Vicuña Mackenna)

  • Michail Smyrnakis

    (Hartree Centre, Science and Technology Facility Council (STFC))

  • Alexandros Maziotis

    (Pontificia Universidad Católica de Chile, Avda. Vicuña Mackenna)

Abstract

Water companies provide essential services to society, such as drinking water and sanitation. Improving the management of these companies is fundamental for evaluating their performance. This study employs cross-efficiency data envelopment analysis techniques to assess a sample of water companies during the years 2010–2018. The assessment focuses on three main topics: i) the impact of service quality on water companies' performance; ii) the influence of environmental variables on efficiency and eco-efficiency in water companies and; iii) the effect of ownership on water company performance. The results reveal that service quality significantly influences water companies' performance. Additionally, it demonstrates that customer density and ownership of water companies impact economic and environmental efficiency, with public water companies showing the best performance. However, the quality of service of public water companies had deteriorated over time.

Suggested Citation

  • Ramon Sala-Garrido & Manuel Mocholi-Arce & Maria Molinos-Senante & Michail Smyrnakis & Alexandros Maziotis, 2023. "Benchmarking the Performance of Productive Units Using Cross-Efficiency Techniques: An Empirical Approach for Water Companies," Water Resources Management: An International Journal, Published for the European Water Resources Association (EWRA), Springer;European Water Resources Association (EWRA), vol. 37(14), pages 5459-5476, November.
    • Handle: RePEc:spr:waterr:v:37:y:2023:i:14:d:10.1007_s11269-023-03614-w
    DOI: 10.1007/s11269-023-03614-w
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