An Implementation upon Efficiency and Productivity of Participation Banks with TOPSIS Method

Article Information
Journal:Business and Economics Research Journal
Title of Article:An Implementation upon Efficiency and Productivity of Participation Banks with TOPSIS Method
Author(s):Rustu Yayar, Halid Velid Baykara

Participation banks that have gradually established an important presence for itself within the financial system firstly started their activities in 1983 by the name of special finance institutions. Establishment aim of special finance institutions is to bring in appropriations of the sector which have interest sensitivity to economy and to call up similar quality foreign funds to the country. Those institutions have got the name of participation banks since 2005 being included into the scope of banking law have carried on their business with 4 banks as of today in Turkey. Efficiency and productivity are the important performance indicators of firms at the present time and whereas efficiency indicates the level of attaining the current objective productivity is defined as the rate of available sources and acquired output to input. Efficiency and productivity criteria are described in the data and method section of the study. In this study, efficiency and productivity of fast growing and developing participation banks’ activities between the years of 2005-2011 within the financial system in Turkey was tried to be measured using TOPSIS (Technique for Order Preference by Similarity to An Ideal Solution) method. According to analysis results, Albaraka Turk was defined as the most efficient and Bank Asya as the most productive. In parallel with Kuveyt Turk’s diversifying its financial

Keywords:Participation Banks, Efficiency, Productivity, TOPSIS Method.

JEL Classification:C14, D22, G21 Full Text