PERFORMANCE OF ROAD FREIGHT TRANSPORT COMPANIES BASED ON DEA ANALYSIS

Abstract

This study evaluates the performance of road transport companies using Data Envelopment Analysis (DEA) to measure relative technical efficiency. The analysis is based on multiple input variables, including employees, assets, material costs, and labor costs, and output indicators such as EBIT, efficiency ratio, and value added. An input-oriented CCR model under constant returns to scale is applied to assess how efficiently firms utilize their resources. The results indicate substantial variability in efficiency levels across the sample, with only a limited number of companies operating on the efficiency frontier. Most firms exhibit varying degrees of inefficiency, suggesting significant potential for improving resource utilization. The analysis of slack variables reveals that inefficiencies are not purely proportional but also structural, requiring targeted adjustments in specific inputs and outputs. Efficient firms serve as benchmarks for less efficient ones, highlighting best practices within the sector. The findings emphasize the importance of optimizing input use and enhancing output generation to improve overall performance. Overall, the study demonstrates the usefulness of DEA as a tool for performance evaluation and benchmarking in the road transport sector, offering valuable insights for managerial decision-making and policy development aimed at increasing efficiency and competitiveness.