Measurement and Comparison of Variance in the Performance of Algerian Universities using models of Returns to Scale Approach

Abstract

This study aimed to measure and compare the performance of forty-seven Algerian universities, using models of returns to Scale approach, which is based primarily on the Data Envelopment Analysis  method. In order to achieve the objective of the study, a set of variables was chosen to represent the dimension of teaching. The variables consisted of three input variables, which were:  the total number of students  in the undergraduate level, students in the post graduate level and the number of permanent professors. On the other hand, the output variable was represented by the total number of students holding degrees of the two levels. Four basic models for data envelopment analysis method were applied. These were: (Scale Returns), represented by input-oriented and output-oriented constant returns and input-oriented and output-oriented  variable returns. After the analysis of data, results revealed that eight universities achieved full efficiency according to constant returns to scale in both input and output orientations. Seventeen universities achieved full efficiency according to the model of input-oriented returns to scale variable. Sixteen universities achieved full efficiency according to the model of output-oriented  returns to scale variable. Therefore, during the performance measurement, the size of the university, competition, financial and infrastructure constraints, and the process of resource allocation within the university  should be taken into consideration. Also, multiple input and output variables reflecting the dimensions of teaching, research, and community service should be included while measuring and assessing the performance of Algerian universities, rather than using two variables which do not reflect the actual performance of these universities.

Keywords: Performance of Algerian Universities, Data envelopment analysis method , Constant returns to scale, Variable returns to scale, Input-orientation, Output-orientation.