The Research On The Efficiency Evaluation Of Commercial Banks Based On Synthesis-variable DEA Method

Commercial bank has been acting a pivotal role in the domestic economy developing process, its operation quality plays an important role on stabilization security of national economy and even relates to the national competitive power. In recent years, the government has taken a lot of measures such as peeling off non-performed loans, reforming state-own banks by injecting fund directly, and encouraging strategic investors to take stock of Chinese commercial banks to reduce their non-performed loans and advance their operation efficiency. With an eye to more and more foreign commercial banks have integrated the Chinese finance system in every aspect, how to evaluate the effect of these measures and how to enhance the efficiency achievements level of commercial banks in China have gradually sparked everybody's attention.In order to carry on the science and the precise evalutation of China's commercial banks, this paper chooses four state-owned commercial banks and ten shareholding commercial banks as decision making units, and also we choose the DEA model as its relative valid evaluation tool. DEA is a classical efficiency assessment method which has advantage other tools unable to substitute, also it has stronge economical significance when used in the commercial banks'efficiency appraisal, but from former relative articals, we can find that its inherent limit and insufficient has greatly affected the scientific nature of its evaluation results. In view of this, this paper has introduced synthesis-variable DEA, involved the method of canonical correlation analysis, and done with the correlative index accordingly. From the results of empirical study, the synthesis-variable DEA's efficiency measuring accuracy and separating capacity are both obvious, this result has built a more solid foundation for the better evaluation of domestic commmercial banks. As to the commercial banks which synthesis efficiency are equal to 1, in order to deepen the separating capacity of commercial banks'achievements level, this paper has introduced a kind of new sorting method, using this easy method, we can sort the commercial banks which had achieved the DEA efficiency. In addition, considered the method of frontier efficiency analysis is unable to substitute the financial index analysis completely, this paper's efficiency assessment method chooses frontier efficiency analytsis as a basic method, introduces and synthesizes the financial index analysis and the slack variable analysis, made every effort to get a comprehensive and reasonable evaluation to the efficiency level of commercial banks.