Assessing the Performance Efficiency of Conventional Rural Bank (BPR) and Islamic Rural Bank (BPRS) in Banyumas Area Using Data Envelopment Analysis

Abstract

This research is entitled “Assessing the Performance Efficiency of Conventional
Rural Bank (BPR) and Islamic Rural Bank (BPRS) in Banyumas Area Using Data
Envelopment Analysis”. The objectives of this research are: to analyze the
efficiency of Conventional Rural Bank (BPR) and Islamic Rural Bank (BPRS)
financial performance using the DEA analysis; and to compare the efficiency
between Conventional Rural Bank (BPR) and Islamic Rural Bank (BPRS) since
2008-2009. The hypotheses are the Conventional Rural Bank (BPR) and Islamic
Rural Bank (BPRS) has an efficient financial performance and, the Conventional
Rural Bank (BPR) is more efficient as compared to Islamic Rural Bank (BPRS).
The method analysis in this research is data envelopment analysis (DEA). Based
on the results of the analysis and discussion, it can be concluded that the
Conventional Rural Bank (BPR) and Islamic Rural Bank (BPRS) has an efficient
financial performance and, the Conventional Rural Bank (BPR) is more efficient
as compared to Islamic Rural Bank (BPRS). Based on the conclusions, the
implications could be made as follows: This research is only done at the
conventional rural bank (BPR) and Islamic rural banks (BPRS) in Banyumas
area. It is strongly advise that future studies should involve all conventional rural
bank and Islamic rural bank, so that the result could reflect the efficiency of all
conventional rural bank (BPR) and Islamic rural bank (BPRS).