Analysis of Technical Efficiency of Rural Bank in Tasikmalaya Indonesia Using Data Envelopment Analysis (DEA) Approach

Abstract

This study aimed to implement a model of assessment of the level of efficiency in Rural Bank with non-parametric statistical approach. This research was conducted at Rural Bank in the Tasikmalaya City with a span that is in 2013 and 2014. The analysis tool used is Data Envelopment Analysis (DEA). The results showed that of 5 Rural Bank, as many as 4 Rural Bankexperiencing technical efficiency in 2013 and 2014. Among those who have efficient that Artha Galunggung, Artha Sukapura, Artha Jaya Mandiri and Pola Dana. While 1 Rural Bank that has not experienced the efficiency during the study period, namely Siliwangi. The cause of the inefficiency of Siliwangi are too much assets, too much third party fund unemployed, too much deposits are unemployed, so the lack of credit, as well as too the lack of operating income. So in order to achieve optimal efficiency it must reduce its assets by 15%, decrease in deposits from savings by 21% and reduced deposits by 42%, should increase lending as much as 6% and operating income should be increased as much as 6%. Whereas in 2014, Siliwangi be in a position decreasing (declining condition) or the condition through a period of efficient, so it can not be given a solution.