Research On The Operating Efficiency Of PICC P&C T Branch Based On DEA Model And Malmquist Index

As an important part of the financial industry,the insurance industry has made great headway in both market size and market maturity in the past 20 years.Property insurance,as an essential segment of the insurance industry,has also been expanding in its overall market size.With the growth of the market and the continuous increase of property insurance operators,the competition in the property insurance market is increasingly fierce.In order to grab market shares,property insurance operators generally adopt a strategy of providing high-proportion cost compensations,intentionally or unintentionally ignoring the problem of operating efficiency.In particular,in order to achieve the KPI assessment targets,grassroots companies are generally in blind pursuit of scale and pay little attention to operating efficiency.However,this is contrary to the law of business operation and development.Operating efficiency reflects the relationship between the input and output of an operating institution,and also reflects the comparative sustainability of a company.It is not only an important indicator of business operation,but also an essential part of economics and management studies.In this paper,PICC T Branch is selected as the research object,and the operation data of 27 grass-roots business units under T Branch are selected to study their operating efficiency.This research is divided into four steps.First,based on a summary of previous research results,the importance of conducting research on the operating efficiency of T Branch,as well as the purpose and methods adopted in the research,is expounded.Second,a theoretical framework is constructed to illustrate the concepts involved in data envelopment analysis and Malmquist index analysis.Third,the index data of sales force,service charge,settled claim,written premium and profit of 27grass-roots business units under the supervision of T Branch for 4 consecutive years from 2016 to 2019 are taken as samples to be placed into the established theoretical framework for an analysis of those units' operating efficiency.Finally,suggestions for improvement are put forward based on the above results and the actual situation of T branch in practice.