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Measuring the Efficiency of Service Delivery Processes: With Application to Retail Banking

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  • Frei, F.X.
  • Harker, P.T.
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    Abstract

    This paper presents a methodology that determines the role of design in calculating the efficiency of service delivery processes. The efficiency of these processes is determined by using a variation of frontier estimation (DEA-like) techniques. The methodology is then applied to a particular service delivery process in retail banking. The methodology allows one to address the question of how much inefficiency in a business process is due to the wrong process design, and how much is due to the right design, poorly executed.

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    Bibliographic Info

    Paper provided by Rochester, Business - Operations Management in its series Papers with number 96-04.

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    Length: 30 pages
    Date of creation: 1996
    Date of revision:
    Handle: RePEc:fth:robuom:96-04

    Contact details of provider:
    Postal: UNIVERSITY OF ROCHESTER, CENTER FOR MANUFACTURING AND OPERATIONS MANAGEMENT, WILLIAM E. SIMON GRADUATE SCHOOL OF BUSINESS ADMINISTRATION, ROCHESTER NEW YORK 14627 U.S.A.
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    Web page: http://www.simon.rochester.edu/
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    Related research

    Keywords: BANKING ; INFORMATION ; PRODUCTIVITY ; SERVICE INDUSTRY;

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    Cited by:
    1. Amel, Dean & Barnes, Colleen & Panetta, Fabio & Salleo, Carmelo, 2004. "Consolidation and efficiency in the financial sector: A review of the international evidence," Journal of Banking & Finance, Elsevier, vol. 28(10), pages 2493-2519, October.
    2. Frances X. Frei & Patrick T. Harker, 1998. "Measuring Aggregate Process Performance Using AHP," Center for Financial Institutions Working Papers 98-07, Wharton School Center for Financial Institutions, University of Pennsylvania.
    3. Frances X. Frei & Ravi Kalakota & Leslie M. Marx, 1997. "Process Variation as a Determinant of Service Quality and Bank Performance: Evidence from the Retail Banking Study," Center for Financial Institutions Working Papers 97-36, Wharton School Center for Financial Institutions, University of Pennsylvania.
    4. Fabio Panetta & Dario Focarelli & Carmelo Salleo, 2003. "Why do Banks Merge?," CEIS Research Paper 3, Tor Vergata University, CEIS.
    5. Steven J. Pilloff & Anthony M. Santomero, 1996. "The Value Effects of Bank Mergers and Acquisitions," Center for Financial Institutions Working Papers 97-07, Wharton School Center for Financial Institutions, University of Pennsylvania.

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