Developing Productivity-Safety Effectiveness Index Using Data Envelopment Analysis (DEA)

Abstract

The social value of corporate responsibilities has become increasingly important in recent years. Among these, safety performance stands out as a critical social mission for achieving business success in today's economy. Enhancing safety capabilities can be regarded as a sustainable value embedded in production planning. However, despite the need to balance productivity and safety performance in the industrial sector, an integrated approach to measuring these dual aspects remains lacking. Therefore, this study aims to examine the relationship between productivity and safety performance while considering the characteristics of industrial production. To achieve this, the Productivity-Safety Effectiveness Index (PSEI), an integrated economic measure, is proposed based on safety performance inputs and productivity outputs. Data Envelopment Analysis (DEA) is employed to calculate and evaluate both productivity and safety effectiveness. The findings include patterns of input and output, industry benchmarking, and trend analyses.