Abstract:

The research presented, documentary in nature, aims to study techniques for analyzing the efficiency and productivity applicable to Universities in Indonesia . The methodology involves the collection of information, organization, critical analysis, reflection, interpretation and synthesis of recent literature. The efficiency and productivity of Indonesia Education public universities is measured by using the Encapsulation and Data Analysis (Data Envelopment Analysis - DEA), which allows to calculate the relative efficiency of a set of decision making units in relation to the best practices observed. Furthermore, the productivity of universities is measured by using the Malmquist index, based on DEA models. The index of Malmquist productivity decomposed into two components that capture changes in technical efficiency and changes due to technological progress between two time periods. The data used were obtained from the statistical yearbooks of the Council of Rectors and the Higher Education Council. It is concluded that Data Envelopment Analysis and Malmquist index is innovative techniques that focus on the assessment of the technical efficiency and productivity, possible to estimate the optimal production frontier of Universities. The results obtained with the use of these techniques constitute an important basis for decision making by the management teams of universities, in order to optimize innovation processes information criteriacy analysis. From the results was not necessarily possible to conclude that an increase in public funding for public institutions get higher scores imply technical efficiency; also it observed that public universities near the central goverment have higher efficiencies than those that are far away from central goverment .

Keywords:

Productivity, efficiency, data envelopment analysis, Malmquist Index.