Czasopismo
Tytuł artykułu
Warianty tytułu
Języki publikacji
Abstrakty
Background: The ranking of commercial banks is usually based on using a single criterion, the size of assets or income. A multicriteria approach allows a more complex analysis of their business efficiency. Objectives: This paper proposes the ranking of banks based on six financial criteria using a multicriteria approach implementing a goal programming model. The criteria are classified into three basic groups: profitability, credit risk and solvency. Methods/Approach: Business performance is evaluated using a score for each bank, calculated as the weighted sum of relative values of individual indicators. Results: In the process of solving the corresponding goal programming problem, the weights are calculated. It is assumed that the goal of each bank is the highest profitability. Because of the market competition among banks, the weights of indicators depend on the performance of each bank. This method is applied to the five biggest Croatian banks (ZABA, PBZ, ERSTE, RBA and HYPO). Conclusion: For the observed period (2010), the highest priority is given to profitability and then to credit risk. The ranking is achieved by using a multicriteria model.
Wydawca
Czasopismo
Rocznik
Tom
Numer
Strony
37-48
Opis fizyczny
Daty
wydano
2012-06-01
online
2012-09-17
Twórcy
autor
- Zagrebačka škola ekonomije i managementa, Zagreb, Croatia
autor
- Zagrebačka škola ekonomije i managementa, Zagreb, Croatia
autor
- Zagrebačka škola ekonomije i managementa, Zagreb, Croatia
Bibliografia
- Atrill, P., McLaney, E. (2006). Accounting and Finance for Non-Specialists, 5th ed., Harlow: Prentice Hall.
- Croatian National Bank (2011), "Banks Bulletin", available at:
- Blocher, E. J., Chen, K. H., Lin, T. W. (2002). Cost Management: A Strategic Emphasis, 2nd ed., New York: McGraw-Hill/Irwin.
- Dayananda, D., Irons, R., Harrison, S., Herbohn, J., Rowland, P. (2002). Capital Budgeting: Financial Appraisal of Investment Projects, Cambridge: Cambridge University Press.
- Garcia, F., Guijarro F., Moya I. (2010), "Ranking Spanish savings banks: A multicriteria approach", Matematical and Computer Modelling, Vol. 52, No. 7-8, pp. 1058-1065.
- Horngren, C. T., Oliver, M. S. (2010). Managerial Accounting, Upper Saddle River, New Jersey: Pearson Prentice Hall.
- Ignizio, J. M., Romero, C. (2003), "Goal Programming", in Bidgoli, H. (Ed.), Encyclopedia of Information Systems, Academic Press, San Diego, Vol. 2, pp. 489-500.
- Jewell, J. (2011), "What is Your ROA An Investigation of the Many Formulas for Calculating Return on Assets", Academy of Educational Leadership Journal, Vol. 15, Special No., pp. 79-91.
- Nguyen, J. (2011), "Market Concentration and other Determinants of Bank Profitability: Evidence from Panel Data", International Research Journal of Finance & Economics, Vol. 6, No. 70, pp. 7-19.
- Sawaragi, Y., Nakayama, H., Tanino, T. (1985). Theory of Multiobjective Optimization, Orlando: Academic Press.
- Toby, A. J. (2011), "Modelling Financial Fragility and Bank Profitability in an International Context", International Journal of Business Insights & Transformation, Vol. 4, No. 2, pp. 15-24.
- Triantaphyyllou, E. (2000). Multi-Criteria Decision Making Methods: A Comparative Study, Dordrecht: Kluwer Academic Publishers.
- Vojvodić Rosenzweig, V., Volarević, H., Varović, M. (2011), "A Goal Programming Approach to Ranking Banks", in Zadnik Stirn, L., Žerovnik, J., Povh, J., Drobne, S., Lisec, A. (Eds), Proceedings of the 11th International Symposium on Operational Research (SOR 2011), Slovenian Society Informatika - Section for Operational Research, Dolenjske Toplice, pp. 149-155.
Typ dokumentu
Bibliografia
Identyfikatory
Identyfikator YADDA
bwmeta1.element.doi-10_2478_v10305-012-0006-0