The efficiency analysis of container port production using DEA panel data approaches

Applications of Data Envelopment Analysis (DEA) to container port production have been largely restricted to standard DEA models using cross-sectional data. The efficiency results derived may be biased; for instance, as the result of random effects or a recent investment in future production. In overcoming this problem, panel data on container port production may be more suitable for medium- to long-term efficiency analysis. This paper evaluates available DEA panel data approaches by applying them to a sample of 25 leading container ports. Empirical results validate the necessity of utilizing panel data and reveal that considerable waste exists in container port production. It also provides a basis for assessing the competitiveness of container ports, for benchmarking best practice and identifying specific sources or causes of inefficiency.