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The purpose of this study is to evaluate the relative efficiency of Local Sewage Systems(LSS) and to provide inefficient group members with benchmark models for improving their management efficiency. We first used a DEA model to identify efficient and inefficient groups and then measured efficiency scores of the 70 LSSs using government data for 2003-2004. As an effort of post-DEA analysis, we also performed a TIER analysis for suggesting benchmark cases that could be used as role models to the members of the inefficient group.
As a result, for instance, we find that the city of Gwacheon and Naju, which had population less than 250,000, may take the city of Gongju, Yeongam, Jinhae and Gyeongsan as their benchmark cases. In the group of cities with 250,000-500,000 population, Siheung may refer to Seongnam, Ansan, Gunpo, and Gumi. The city of Suncheon may follow the pathway of Gongju, Masan, Jinhae, and Yonginof for improving managerial efficiency. Finally, among the group of cities with more than 500,000 populations, the city of Cheongju and the city of Jeonju may take Gunpo and Jinhae as their reference model, respectively.
Our results may provide a visible road-map for enhancing management efficiency of the local sewage systems that recently suffered from painful and continual deficits. The local sewage systems can refer to the results to better understand the situation they were in and to prepare better strategies for the future.
