Operations, Quality, and Profitability in the Provision of Banking Services
We develop a framework for combining strategic benchmarking with efficiency benchmarking of the services offered by bank branches. In particular, a cascade of efficiency benchmarking models is developed guided by the service-profit chain. Three models---based on the nonparametric technique of Data Envelopment Analysis---are developed in order to implement the framework in a practical setting: (i) an operational efficiency model, (ii) a service quality efficiency model, and (iii) a profitability efficiency model. The use of the models is illustrated using data from the branches of a commercial bank. Empirical results indicate that we gain superior insights by analyzing simultaneously the design of operations together with the quality of the provided services and profitability, rather than by benchmarking these three dimensions separately. Relationships are also established between operational efficiency and profitability, and between operational efficiency and service quality.
Volume (Year): 45 (1999)
Issue (Month): 9 (September)
|Contact details of provider:|| Postal: |
Web page: http://www.informs.org/
More information through EDIRC
When requesting a correction, please mention this item's handle: RePEc:inm:ormnsc:v:45:y:1999:i:9:p:1221-1238. 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: (Mirko Janc)
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.