Disaggregated productivity measurement of industrial firms using the data envelopment analysis method

Firms in the industrial sector in the Sultanate of Oman need to strategise by measuring and evaluating their current status regarding productivity, efficiency, and technology. Productivity measurement was conducted using data envelope analysis with data from 31 decision-making units between 2015 and 2020. It was observed that productivity performance deteriorated over this period. The average efficiency change was measured at 2.14%. Furthermore, industrial firms, on average, performed well in determining the efficiency frontier, with a measured change of 0.54%. Additionally, the calculated decomposed efficiency change score suggests that while the industrial sector is generally effective in scaling operations, it faces challenges in utilising inputs effectively. This indicates that the industrial sector did not manage its resources efficiently during the sample period.