Examining the Efficiency of Listed Animal Feed Manufacturers Using Data Envelopment Analysis

Abstract

     The purposes of this research were to study the production efficiency of the Animal Feed Manufacturers Group, and to compare their production efficiency to search for a reference set of Animal Feed Manufacturers companies. This issue is important as efficient production is crucial for a company. Data were collected from the factory information of 14 Animal Feed Manufacturers companies that were members of the Thai Animal Feed Manufacturer Association. The data were evaluated for production efficiency using data envelopment analysis. The results found that there were 9 animal feed manufacturers who had absolute efficiency, and 5 who had absolute inefficiency. The companies with absolute inefficiency had efficiency scores between 0.8910 and 0.9979, and as a whole had an average efficiency score of 0.9878. When the CCR (Charnes, Cooper and Rhodes) Input-Oriented model was used in the research, there were 3 typical companies. When the BCC (Banker, Charnes and Cooper) Input-Oriented model was used in the research, there were 4 typical companies. The comparison of the efficiency of Thai animal feed manufacturers found that 9 companies had absolute efficiency in the CCR Input-Oriented model, while in the BCC Input-Oriented model there were 10 companies. As these were efficiency scores, they could not be arranged in order.