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Assessing and enhancing operational efficiency in Sierra Leone's retail banking sector: A comparative analysis using CCR and BCC DEA models

Author

Listed:
  • Samuel Saio Mansaray
  • Xu Hongyi
  • Ibrahim Abdulai Sawaneh

Abstract

This study assesses the operational efficiency of 14 Sierra Leone commercial banks from 2020 to 2022, focusing on the adoption of financial innovation, such as digital banking, mobile services, and online payments. The research evaluates banks' performance by leveraging innovations using data envelope analysis (DEA) with constant and variable returns to scale models. Findings show varied efficiency, with some banks excelling and others lagging. The study underscores the need for strategic management and optimization so that banks can benefit fully from financial innovations. The insights inform policymakers and bank managers on enhancing the sector's operational performance through technology integration.

Suggested Citation

  • Samuel Saio Mansaray & Xu Hongyi & Ibrahim Abdulai Sawaneh, 2024. "Assessing and enhancing operational efficiency in Sierra Leone's retail banking sector: A comparative analysis using CCR and BCC DEA models," Managerial and Decision Economics, John Wiley & Sons, Ltd., vol. 45(6), pages 3705-3715, September.
    • Handle: RePEc:wly:mgtdec:v:45:y:2024:i:6:p:3705-3715
    DOI: 10.1002/mde.4225
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    References listed on IDEAS

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