Efficiency measurement of business units using non-parametric method

In the wake of the economic crisis, IT companies being totally dependent on project-based business, need to find ways to score higher profit with minimum resources usage. Measuring business performance and presenting the resulting information for action is one aspect of achieving business success.Th...

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Main Authors: Ku-Mahamud, Ku Ruhana, Mat Kasim, Maznah, Abd Ghani, Nor Farzana, Abdullah, Fader, Ahmad, Faudziah, Abd Razak, Rafidah
Format: Monograph
Language:English
English
Published: Universiti Utara Malaysia 2010
Subjects:
Online Access:https://repo.uum.edu.my/id/eprint/7517/1/kU.pdf
https://repo.uum.edu.my/id/eprint/7517/4/1.Ku%20Ruhana%20Ku%20Mahamud.pdf
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author Ku-Mahamud, Ku Ruhana
Mat Kasim, Maznah
Abd Ghani, Nor Farzana
Abdullah, Fader
Ahmad, Faudziah
Abd Razak, Rafidah
author_facet Ku-Mahamud, Ku Ruhana
Mat Kasim, Maznah
Abd Ghani, Nor Farzana
Abdullah, Fader
Ahmad, Faudziah
Abd Razak, Rafidah
author_sort Ku-Mahamud, Ku Ruhana
collection UUM
description In the wake of the economic crisis, IT companies being totally dependent on project-based business, need to find ways to score higher profit with minimum resources usage. Measuring business performance and presenting the resulting information for action is one aspect of achieving business success.This research has revealed that organization’s performance can be measured not only by analyzing the organization’s business units but also by analyzing the projects produced by each business units.Efficiency business model can also be formulated by using data related to each undertaken projects.In-Fusion Solutions Sdn. Bhd., a company specializing in providing e-learning solution has been used as a case study.In this research, the efficiency measurement model for products produced by organization has been developed based on a non-parametric technique, called Data Envelopment Analysis.The model optimizes a ratio of multiple weighted outputs to a multiple weighted inputs, where the efficient unit will have a score of one, and the inefficient unit will have a score less than one.The model is simple and practical in implementation.It is hope that the projects which act as the decision making unit can later be used to determine the efficiency of the company department/unit that housed the projects.Projection for inefficient projects has also been provided and management should find a way to reduce cost of labor, material and project duration in details without disturbing the production of output.To elaborate more on the real project undertakings by the company, a case study on Fusionware, a subsidiary of In-Fusion Solutions Sdn. Bhd. in India has been developed.The case study focused on aspects dealing with projects from TWICE Group, a parent company of Fusionware in India, which undergoes development process in 2010.After almost two years being established, Fusionware has decided to grow and being independent from the parent company.The case study highlights the real life challenges in dealing with IT projects, especially when juggling with the project resources such as labour expertise, material and timeline to complete the projects.
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spelling uum-75172014-07-07T00:31:08Z https://repo.uum.edu.my/id/eprint/7517/ Efficiency measurement of business units using non-parametric method Ku-Mahamud, Ku Ruhana Mat Kasim, Maznah Abd Ghani, Nor Farzana Abdullah, Fader Ahmad, Faudziah Abd Razak, Rafidah QA Mathematics In the wake of the economic crisis, IT companies being totally dependent on project-based business, need to find ways to score higher profit with minimum resources usage. Measuring business performance and presenting the resulting information for action is one aspect of achieving business success.This research has revealed that organization’s performance can be measured not only by analyzing the organization’s business units but also by analyzing the projects produced by each business units.Efficiency business model can also be formulated by using data related to each undertaken projects.In-Fusion Solutions Sdn. Bhd., a company specializing in providing e-learning solution has been used as a case study.In this research, the efficiency measurement model for products produced by organization has been developed based on a non-parametric technique, called Data Envelopment Analysis.The model optimizes a ratio of multiple weighted outputs to a multiple weighted inputs, where the efficient unit will have a score of one, and the inefficient unit will have a score less than one.The model is simple and practical in implementation.It is hope that the projects which act as the decision making unit can later be used to determine the efficiency of the company department/unit that housed the projects.Projection for inefficient projects has also been provided and management should find a way to reduce cost of labor, material and project duration in details without disturbing the production of output.To elaborate more on the real project undertakings by the company, a case study on Fusionware, a subsidiary of In-Fusion Solutions Sdn. Bhd. in India has been developed.The case study focused on aspects dealing with projects from TWICE Group, a parent company of Fusionware in India, which undergoes development process in 2010.After almost two years being established, Fusionware has decided to grow and being independent from the parent company.The case study highlights the real life challenges in dealing with IT projects, especially when juggling with the project resources such as labour expertise, material and timeline to complete the projects. Universiti Utara Malaysia 2010 Monograph NonPeerReviewed application/pdf en https://repo.uum.edu.my/id/eprint/7517/1/kU.pdf application/pdf en https://repo.uum.edu.my/id/eprint/7517/4/1.Ku%20Ruhana%20Ku%20Mahamud.pdf Ku-Mahamud, Ku Ruhana and Mat Kasim, Maznah and Abd Ghani, Nor Farzana and Abdullah, Fader and Ahmad, Faudziah and Abd Razak, Rafidah (2010) Efficiency measurement of business units using non-parametric method. Project Report. Universiti Utara Malaysia. (Unpublished)
spellingShingle QA Mathematics
Ku-Mahamud, Ku Ruhana
Mat Kasim, Maznah
Abd Ghani, Nor Farzana
Abdullah, Fader
Ahmad, Faudziah
Abd Razak, Rafidah
Efficiency measurement of business units using non-parametric method
title Efficiency measurement of business units using non-parametric method
title_full Efficiency measurement of business units using non-parametric method
title_fullStr Efficiency measurement of business units using non-parametric method
title_full_unstemmed Efficiency measurement of business units using non-parametric method
title_short Efficiency measurement of business units using non-parametric method
title_sort efficiency measurement of business units using non parametric method
topic QA Mathematics
url https://repo.uum.edu.my/id/eprint/7517/1/kU.pdf
https://repo.uum.edu.my/id/eprint/7517/4/1.Ku%20Ruhana%20Ku%20Mahamud.pdf
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