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pp. 1971-1987 | Article Number: ijese.2017.130
Published Online: October 31, 2017
Abstract
Data Envelopment Analysis (DEA) is the most popular method for efficiency measurement of decision making units (DMUs). DEA compares several homogeneous DMUs based on a number of input and output variables. The main purpose of this study is to measure the performance efficiency of elementary schools in Indonesia in the period 2014/2015 by applying two-stage DEA method. The first step is to calculate the scores of efficiency by using DEA approach while the second step uses econometric approach to analyze the impact of environmental variables on the school efficiency. In order to obtain efficiency scores, as many as 34 provinces in Indonesia are defined as DMUs by using six inputs and three outputs. The results reveal that VRS model of DEA produces better results than CRS model in the first stage for measuring the performance efficiency of elementary school in Indonesia. Furthermore, there are 12 provinces in Indonesia with efficient elementary schools on CRS model, whereas there are 17 provinces with elementary schools perform efficiently on VRS model. Moreover, there are three environmental variables significantly influence the efficiency of elementary school in Indonesia; the repetition rate, the average of science of national exam and the qualified teachers’ rate.
Keywords: school efficiency, two-stage DEA, robust regression
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