Dynamic Analysis Of Operation Performance Of Privatization Of Public Industry

Privatization is not only a national policy in developed countries such as U.S.,Great Britain and Japan, it is also a important approach for developing countries to develop economy.Taiwan began actively promoting privatization in July, 1989.The main aim of this paper is to evaluate public companies which has gone public or non-bank public company in recent 3 years by measure of DEA. It choose input(operation cost, operation fee, staff number) and output(operation revenue, operation net income), as CCR mode and BSS mode to analysis scale reward of every public company. With basis on public stock holding ratio, sample companies are categorized as non-public company, yet-public company and genuine public company to discuss operation performance of every public company. This research carries out a positive study base on sample data. Research result shows:(I)By operation efficiency evaluation analysis in 3 years, tangrongtiegong,tanwanhangye,zhongguogangtie,zhonghuadianxin,yangminghaiyun all have better operation performance , and they are all privatized companies.(II)Operation efficiency evaluation result in every category shows, total efficiency value of privatized company(0.951) is higher than non-privatized company(0.886), and fully-privatized company has the worst total efficiency value(0.882).(III)Evaluation analysis of every company operation efficiency shows, total efficiency value of fully-privatized company has grew from (2003,0.876)to (2005,0.945). In 2005, it has same total efficiency value with privatized company. This research data shows, fully-privatized company will have the best total efficiency value if it improves.By positive study in this research, privatization should be promoted, because operation performance of privatized is better than non-privatized company. The government should have a detail plan of privatization process and public stock dilution allocation. The authority should remove control dgree. Public stock should dilute and avoid direct interfere with company's normal operation. Privatized company should set up a target and incentive plan, enhance company efficiency to better improve operation performance.