Value Creation Performance Evaluation for Taiwanese Financial Holding Companies during the Global Financial Crisis Based on a Multi-Stage NDEA Model under Uncertainty

In this paper, we use the multi-stage network slacks-based measure model under uncertainty to evaluate performance of Taiwanese financial holding companies (FHCs) from 2007 2012. We conceptualize value creation process be a two-stage framework, as profitability and marketability stages with serial-linkage relationship, in order solicit more information FHCs. Under stage can further divided into banking, insurance, securities sub-stages. addition, extend proposed mentioned above not only incorporate NPLs undesirable output banking but also fuzzy set approach its uncertainty. Results indicate that discriminatory ability our is higher when simplify variables specification. find all FHCs particular period were “inefficient performers”, which mainly attributed weak performance, especially service. postulate global crisis, US subprime crisis particular, had negative effect on FHCs; however, they gradually recovered improved their after crisis.