An Integrated Performance Evaluation Model for the Photovoltaics Industry
Global warming is causing damaging changes to climate around the World. For environmental protection and natural resource scarcity, alternative forms of energy, such as wind energy, fire energy, hydropower energy, geothermal energy, solar energy, biomass energy, ocean power and natural gas, are gaining attention as means of meeting global energy demands. Due to Japanâ€™s nuclear plant disaster in March 2011, people are demanding a good alternative energy resource, which not only produces zero or little air pollutants and greenhouse gases, but also with a high safety level to protect the World. Solar energy, which depends on an infinite resource, the sun, is one of the most promising renewable energy sources from the perspective of environmental sustainability. Currently, the manufacturing cost of solar cells is still very high, and the power conversion efficiency is low. Therefore, photovoltaics (PV) firms must continue to invest in research and development, commit to product differentiation, achieve economies of scale, and consider the possibility of vertical integration, in order to strengthen their competitiveness and to acquire the maximum benefit from the PV market. This research proposes a performance evaluation model by integrating analytic hierarchy process (AHP) and data envelopment analysis (DEA) to assess the current business performance of PV firms. AHP is applied to obtain expertsâ€™ opinions on the importance of the factors, and DEA is used to determine which firms are efficient. A case study is performed on the crystalline silicon PV firms in Taiwan. The findings shall help the firms determine their strengths and weaknesses and provide directions for future improvements in business operations.
References listed on IDEAS
Please report citation or reference errors to , or , if you are the registered author of the cited work, log in to your RePEc Author Service profile, click on "citations" and make appropriate adjustments.:
- Korpela, Jukka & Lehmusvaara, Antti & Nisonen, Jukka, 2007. "Warehouse operator selection by combining AHP and DEA methodologies," International Journal of Production Economics, Elsevier, vol. 108(1-2), pages 135-142, July.
- Liu, Fuh-Hwa Franklin & Hai, Hui Lin, 2005. "The voting analytic hierarchy process method for selecting supplier," International Journal of Production Economics, Elsevier, vol. 97(3), pages 308-317, September.
- Wang, Ying-Ming & Chin, Kwai-Sang, 2009. "A new data envelopment analysis method for priority determination and group decision making in the analytic hierarchy process," European Journal of Operational Research, Elsevier, vol. 195(1), pages 239-250, May.
- Fthenakis, Vasilis & Mason, James E. & Zweibel, Ken, 2009. "The technical, geographical, and economic feasibility for solar energy to supply the energy needs of the US," Energy Policy, Elsevier, vol. 37(2), pages 387-399, February.
- R. D. Banker & A. Charnes & W. W. Cooper, 1984. "Some Models for Estimating Technical and Scale Inefficiencies in Data Envelopment Analysis," Management Science, INFORMS, vol. 30(9), pages 1078-1092, September.
- Thompson, Russell G. & Langemeier, Larry N. & Lee, Chih-Tah & Lee, Euntaik & Thrall, Robert M., 1990. "The role of multiplier bounds in efficiency analysis with application to Kansas farming," Journal of Econometrics, Elsevier, vol. 46(1-2), pages 93-108.
- 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.
- Tseng, Fang-Mei & Chiu, Yu-Jing & Chen, Ja-Shen, 2009. "Measuring business performance in the high-tech manufacturing industry: A case study of Taiwan's large-sized TFT-LCD panel companies," Omega, Elsevier, vol. 37(3), pages 686-697, June.
- Charnes, A. & Cooper, W. W. & Rhodes, E., 1978. "Measuring the efficiency of decision making units," European Journal of Operational Research, Elsevier, vol. 2(6), pages 429-444, November.
- Ramanathan, Ramakrishnan & Ramanathan, Usha, 2010. "A qualitative perspective to deriving weights from pairwise comparison matrices," Omega, Elsevier, vol. 38(3-4), pages 228-232, June.
- B. Hollingsworth & P. Smith, 2003. "Use of ratios in data envelopment analysis," Applied Economics Letters, Taylor & Francis Journals, vol. 10(11), pages 733-735.
- Takamura, Yoshiharu & Tone, Kaoru, 2003. "A comparative site evaluation study for relocating Japanese government agencies out of Tokyo," Socio-Economic Planning Sciences, Elsevier, vol. 37(2), pages 85-102, June.
- Avkiran, Necmi K., 2011. "Association of DEA super-efficiency estimates with financial ratios: Investigating the case for Chinese banks," Omega, Elsevier, vol. 39(3), pages 323-334, June.
When requesting a correction, please mention this item's handle: RePEc:gam:jeners:v:5:y:2012:i:4:p:1271-1291:d:17374. See general information about how to correct material in RePEc.
For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: (XML Conversion Team)
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 references are entirely missing, you can add them using this form.
If the full references list an item that is present in RePEc, but the system did not link 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 profile, as there may be some citations waiting for confirmation.
Please note that corrections may take a couple of weeks to filter through the various RePEc services.