Business excellence: the managerial and value-creation efficiencies of the insurance companies
The competitive global environment today has brought with it profound challenges, leading to excessive risk-taking behaviour by insurance companies. These companies require retaining their performance at high levels, while dealing with risk-taking behaviour. Following this, performance evaluation ha...
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my.uniten.dspace-231952023-05-29T14:38:20Z Business excellence: the managerial and value-creation efficiencies of the insurance companies Nourani M. Devadason E.S. Kweh Q.L. Lu W.-M. 57189315827 6507162579 55661469500 25625212800 The competitive global environment today has brought with it profound challenges, leading to excessive risk-taking behaviour by insurance companies. These companies require retaining their performance at high levels, while dealing with risk-taking behaviour. Following this, performance evaluation has emerged as a fundamental building block of total quality management and business excellence for an organisation. Hence, this paper aims to decompose the overall performance of an insurer into two efficiency components, managerial efficiency and value-creation efficiency, where risk management activities are embedded in the efficiency evaluation. This paper applies a network data envelopment analysis model to evaluate the performance of 30 Malaysian insurers for the period 2008�2012. The performance analysis indicates that the average overall efficiency of the insurance sector in Malaysia was approximately 63.5%, largely attributed to value-creation efficiency. The frontier projection analysis reveals that Malaysian insurers should enhance their managerial ability by substantially reducing their input quantities. Finally, through a managerial decision-making matrix, only nine insurers are classified as having high levels of both managerial and value-creation efficiencies. Significant differences in managerial efficiency and value-creation efficiency among insurers suggest that decision-makers in insurance companies of Malaysia seem to have directed resources to address the specific inefficiency types. � 2016 Informa UK Limited, trading as Taylor & Francis Group. Final 2023-05-29T06:38:20Z 2023-05-29T06:38:20Z 2017 Article 10.1080/14783363.2015.1133244 2-s2.0-84954468641 https://www.scopus.com/inward/record.uri?eid=2-s2.0-84954468641&doi=10.1080%2f14783363.2015.1133244&partnerID=40&md5=4326b9594b2d99ecda8fda5837bf0a93 https://irepository.uniten.edu.my/handle/123456789/23195 28 7-Aug 879 896 Routledge Scopus |
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The competitive global environment today has brought with it profound challenges, leading to excessive risk-taking behaviour by insurance companies. These companies require retaining their performance at high levels, while dealing with risk-taking behaviour. Following this, performance evaluation has emerged as a fundamental building block of total quality management and business excellence for an organisation. Hence, this paper aims to decompose the overall performance of an insurer into two efficiency components, managerial efficiency and value-creation efficiency, where risk management activities are embedded in the efficiency evaluation. This paper applies a network data envelopment analysis model to evaluate the performance of 30 Malaysian insurers for the period 2008�2012. The performance analysis indicates that the average overall efficiency of the insurance sector in Malaysia was approximately 63.5%, largely attributed to value-creation efficiency. The frontier projection analysis reveals that Malaysian insurers should enhance their managerial ability by substantially reducing their input quantities. Finally, through a managerial decision-making matrix, only nine insurers are classified as having high levels of both managerial and value-creation efficiencies. Significant differences in managerial efficiency and value-creation efficiency among insurers suggest that decision-makers in insurance companies of Malaysia seem to have directed resources to address the specific inefficiency types. � 2016 Informa UK Limited, trading as Taylor & Francis Group. |
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57189315827 |
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57189315827 Nourani M. Devadason E.S. Kweh Q.L. Lu W.-M. |
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Nourani M. Devadason E.S. Kweh Q.L. Lu W.-M. Business excellence: the managerial and value-creation efficiencies of the insurance companies |
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Nourani M. |
title |
Business excellence: the managerial and value-creation efficiencies of the insurance companies |
title_short |
Business excellence: the managerial and value-creation efficiencies of the insurance companies |
title_full |
Business excellence: the managerial and value-creation efficiencies of the insurance companies |
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Business excellence: the managerial and value-creation efficiencies of the insurance companies |
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Business excellence: the managerial and value-creation efficiencies of the insurance companies |
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business excellence: the managerial and value-creation efficiencies of the insurance companies |
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Routledge |
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2023 |
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1806423248208920576 |
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