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Managing airline productivity using data envelopment analysis

Author

Listed:
  • Dauw-Song Zhu
  • Chih-Te Lin
  • Chieh-Ju Yang
  • Kuo-Chung Chang

Abstract

This study evaluated the operation performance of domestic airlines based on data envelopment analysis in terms of cost-efficiency, service-effectiveness and cost-effectiveness for each company. The result shows the following: firstly, the rank of performance is from the top UNI followed by FAT, MDN, and TNA in last. Secondly, the four domestic airlines performed well from a service-effectiveness perspective. The rank of performance on service-effectiveness is from the top TNA followed by FAT, MDN, and UNI in last. Thirdly, the four domestic airlines performed well in terms of cost-effectiveness. The rank of performance on cost-effectiveness is from the highest TNA followed by FAT, UNI, and MDN in last. None of the airlines performed well from the perspective of cost-efficiency, service-effectiveness and cost-effectiveness. Lastly, the TNA airline was shown to be the most efficient and effective company.

Suggested Citation

  • Dauw-Song Zhu & Chih-Te Lin & Chieh-Ju Yang & Kuo-Chung Chang, 2012. "Managing airline productivity using data envelopment analysis," International Journal of Business Performance Management, Inderscience Enterprises Ltd, vol. 13(3/4), pages 294-311.
  • Handle: RePEc:ids:ijbpma:v:13:y:2012:i:3/4:p:294-311
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