Volume 1, Issue 1, December 2016, Page: 19-23
An Empirical Investigation on the Efficiency of Healthcare Companies with Data Envelopment Analysis Model
Lam Weng Siew, Department of Physical and Mathematical Science, Faculty of Science, UniversitiTunku Abdul Rahman, Kampar Campus, Kampar, Malaysia; Centre for Mathematical Sciences, Centre for Business and Management, UniversitiTunku Abdul Rahman, Kampar Campus, Kampar, Malaysia
Liew Kah Fai, Department of Physical and Mathematical Science, Faculty of Science, UniversitiTunku Abdul Rahman, Kampar Campus, Kampar, Malaysia
Lam Weng Hoe, Department of Physical and Mathematical Science, Faculty of Science, UniversitiTunku Abdul Rahman, Kampar Campus, Kampar, Malaysia; Centre for Mathematical Sciences, Centre for Business and Management, UniversitiTunku Abdul Rahman, Kampar Campus, Kampar, Malaysia
Received: Oct. 24, 2016;       Accepted: Dec. 2, 2016;       Published: Jan. 7, 2017
DOI: 10.11648/j.bsi.20160101.13      View  2267      Downloads  75
Abstract
Healthcare service quality plays an important role in today’s competitive environment. The people are very concern on their health status nowadays and willing to seek an affordable treatment from the healthcare companies. Besides affordable treatment, the people are also particular on the healthcare efficiency as the quality of the services and companies performance aresignificantly determined by the company’s efficiency. Data Envelopment Analysis (DEA) is a mathematical linear programming model which is utilized for measuring the efficiency of the companies as the ratio of the sum-weighted outputs to sum-weighted inputs. The objective of this study is to evaluate and compare the efficiency of the healthcare companies in Malaysia withDEA model. In this study, the data consists of 12healthcare companies that are listed in Malaysia stock market. The period of study is from year 2011 until 2015. The results of this study show thatAHEALTH, HAIO, IHH, PHARMA and YSPSAH are ranked as efficient healthcare companies. This study is significant because the DEA model helps to identify the efficient healthcare companies based on multiple inputs and outputs.
Keywords
Healthcare Company, Data Envelopment Analysis, Efficiency, Linear Programming Model
To cite this article
Lam Weng Siew, Liew Kah Fai, Lam Weng Hoe, An Empirical Investigation on the Efficiency of Healthcare Companies with Data Envelopment Analysis Model, Biomedical Statistics and Informatics. Vol. 1, No. 1, 2016, pp. 19-23. doi: 10.11648/j.bsi.20160101.13
Copyright
Copyright © 2016 Authors retain the copyright of this article.
This article is an open access article distributed under the Creative Commons Attribution License (http://creativecommons.org/licenses/by/4.0/) which permits unrestricted use, distribution, and reproduction in any medium, provided the original work is properly cited.
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