COMPARING EFFICIENCY OF SAVING AND CREDIT COOPERATIVES OWNED BY GOVERNMENT EMPLOYEES AND GENERAL PUBLIC IN JAKARTA: A DATA ENVELOPMENT ANALYSIS APPROACH

Abstract

Cooperatives have an essential role in Indonesian economy due to their contribution to the provision of capital within employees and societies. The government of Indonesia makes it easier to establish cooperatives, causing the number of cooperatives to increase over time. Therefore, it becomes necessary to study the effectiveness and efficiency of their resource management. This study aims to examine the efficiency of cooperatives in terms of input variables, namely members, total capital, and operational costs and output variables, namely profits, assets, loans, and debt repayments. The saving and credit cooperatives used in this study are owned by government employees (first type) and the general public (second type). 22 cooperatives based in DKI Jakarta were taken as the sample of this study. 11 of them are owned by government employees, and the remaining 11 were managed by the general public. The efficiency of these two types of cooperatives was analyzed separately and then compared using the Data Envelopment Analysis (DEA) method. The findings of this research indicated that the average efficiency of the first type of cooperatives was smaller than that of the second. This means that those saving and credit cooperatives have yet to reach the maximum level of efficiency according to the input and output variables. However, the average value of efficiency of those cooperatives is at a good level. Besides, the results of this research also showed that the cooperatives established by the general public had higher efficiency than the cooperatives possessed by government employees.

Keywords

• cooperatives
• efficiency
• data envelopment analysis (dea)