Analysis of the Efficiency of Korea's Logistics Industry: Application of Data Envelopment Analysis-Analytic Network Process (DEA-ANP)

This paper analyzes the relative efficiency of Korea's logistics industry with the DEA-ANP model from 2003 to 2005. To measure the efficiency, this paper used the numbers of employees, fixed assets. total capital. and operating costs as input factors and sales amounts and net incomes as output factors. The average efficiency score of the entire logistics industry is 0.175, so most logistics companies in Korea should improve their current inefficiencies. The industry with the highest efficiency score is marine transportation. with an average three-year efficiency score of 0.3692. In terms of sales and high efficiency. most of the highest-ranked companies belong to the marine transportation industry, so marine transportation has the most influence on raising the efficiency score of Korea's logistics industry. To improve the inefficiency of inputs that exists overall in the logistics industry it is necessary to control excessive numbers of employees. To improve the amount of sales, it is necessary to make a policy of satisfying various logistics demands, continuous investments, and attracting foreign logistics demand: such things will help strengthen the international competitiveness of Korea's logistics industry.