Investigating the Effect of Operational Cost Management on the Efficiency of Banks with the Moderating Role of Social Responsibility

Namazi , Navid Reza; Ebrahimpour,  Mohammad Sadegh

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year 16, Issue 61 (2024)

fa 2024, 16(61): 104-85

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Investigating the Effect of Operational Cost Management on the Efficiency of Banks with the Moderating Role of Social Responsibility

Navid Reza Namazi ^*

¹, Mohammad Sadegh Ebrahimpour¹

1- Department of Accounting, Shiraz University, Shiraz, Iran.

Abstract: (215 Views)

The purpose of this research is to investigate the management of operating costs on the efficiency of banks with the moderating role of social responsibility. The statistical population of the study is all the banks listed on the Tehran Stock Exchange (TSE). The sample includes 14 private and public banks that were selected in the period of 2012 to 2023. Efficiency metrics were determined based on the service delivery approach theory, operational cost management indicators according to cost management theory and social responsibility dimensions were determined using the KLD index. Data envelopment analysis (DEA) and MATLAB software were used to calculate efficiency. Structural equation method and Smart PLS software were used in order to check the influence of variables. The findings of the research showed that the management of operating costs has an effect on the efficiency of banks. Among the operational cost management factors, the factors of financial costs (the cost of doubtful receivables) and asset imbalance (the ratio of loans to deposits and the ratio of loans to total assets) on efficiency banks have an effect. In addition, the results showed a positive and significant effect of social responsibility on the efficiency of banks. Also, this study showed that social responsibility strengthens the relationship between operational cost management and banks' efficiency. Based on the findings, it is recommended that bank managers take action in order to improve the dimensions of social responsibility in order to increase efficiency.

Article number: 6

Keywords: Efficiency, Data coverage analysis, Operational costs, Banks listed on Tehran Stock Exchange, Social responsibility.

Full-Text [PDF 599 kb] (46 Downloads)

Type of Study: Research | Subject: Special

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Namazi N R, Ebrahimpour M S. Investigating the Effect of Operational Cost Management on the Efficiency of Banks with the Moderating Role of Social Responsibility. fa 2024; 16 (61) : 6
URL: http://qfaj.mobarakeh.iau.ir/article-1-2741-en.html

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