International Journal of Industrial Engineering and Production Research (Sep 2024)
Analysis of The Efficiency Performance Of Cooperatives In Indonesia: Analysis Of Provincial Cooperatives Using The Data Envelopment Analysis Approach
Abstract
Cooperative performance efficiency describes the level of cooperative ability to utilize resources to generate profits. Efficient performance will increase productivity and strengthen business competitiveness. This study was conducted on 34 secondary cooperatives at the provincial level throughout Indonesia. Data was analyzed from 2019 - 2021 using the DEA (Data Envelopment Analysis) method. The results of the analysis show that the efficiency of cooperative performance in Indonesia is very low because the use of input resources exceeds the target needed to generate optimal profits. By using the DEA method, the level of achievement of input use in generating optimum profits is described in detail, starting from the number of cooperative members, utilization of own capital, utilization of external capital, utilization of assets, and the level of business volume developed by the cooperative. The results of this study greatly contribute to improving cooperative performance by evaluating the use of input resources in generating optimum profits according to the capacity of the cooperative