Analysis on the Management Efficiency of Mandatory Audited Agricultural Companies: Using Data Envelopment Analysis

Korean government has promoted agricultural companies to enlarge the size of management system in farm level, and thus korea has many large-size agricultural companies including 95 mandatory audited agricultural mandatory audited agricultural companies. The mandatory audited agricultural companies are located at the highest level of agricultural companies, and whether the management of mandatory audited agricultural companies are efficient or not is the one of the most important issues. The purpose of this paper is to analyze the management efficiency of mandatory audited agricultural companies, through the DEA(Data Envelopment Analysis) and WMW (Wilcoxon-Mann-Whitney) rank test. The results of analyses present that the external audit agriculture company need to increase the input with the improvement of technology. It’s also found that management number of years, education and training costs, the increase in advertising expenses offer a positive impact on the management efficiency of the external audit agriculture company. These findings in this paper may offer some policy implications for Korean government.