A HYBRID FRAMEWORK BASED ON PSI AND CRADIS METHODS FOR ASSESSING CORPORATE FINANCIAL PERFORMANCE

Özet

The aim of the present paper is to analyze corporate financial performance in the banking industry. For this purpose, the present manuscript presents a new hybrid decisionmaking model consisting of PSI and CRADIS procedures. In the developed decision-making model, PSI objective weighting methods are employed to assign significance weights to the criteria, while CRADIS, a relatively new algorithm, is utilized to rank bank financial performance. The proposed decision-making model was employed to evaluate the financial performance of Kuveyt Turk Participation Bank. Sensitivity and benchmarking analyzes were conducted to check the robustness of the introduced decision-making tool. According to the findings of the study, the most important criterion in determining the financial performance of the relevant participation bank is the ratio of total loans to total assets. Furthermore, the CRADIS technique’s results show that, while financial instability is present in bank performance in general, there is a notable improvement in bank performance following 2015. Moreover, sensitivity and comparison analyzes prove that the integrated framework in this study is a powerful, reliable and useful decision tool that can be used in assessing the financial performance of banks.

Abstract

The aim of the present paper is to analyze corporate financial performance in the banking industry. For this purpose, the present manuscript presents a new hybrid decisionmaking model consisting of PSI and CRADIS procedures. In the developed decision-making model, PSI objective weighting methods are employed to assign significance weights to the criteria, while CRADIS, a relatively new algorithm, is utilized to rank bank financial performance. The proposed decision-making model was employed to evaluate the financial performance of Kuveyt Turk Participation Bank. Sensitivity and benchmarking analyzes were conducted to check the robustness of the introduced decision-making tool. According to the findings of the study, the most important criterion in determining the financial performance of the relevant participation bank is the ratio of total loans to total assets. Furthermore, the CRADIS technique’s results show that, while financial instability is present in bank performance in general, there is a notable improvement in bank performance following 2015. Moreover, sensitivity and comparison analyzes prove that the integrated framework in this study is a powerful, reliable and useful decision tool that can be used in assessing the financial performance of banks.

Yazarlar

Yüksel AYDIN

Anahtar Kelimeler

Banking industry, PSI, CRADIS, Financial performance

JEL Codes

C61, G21

Yayın Bilgileri

Cilt 4, Sayı 1, 2024 · Sayfa 9-20

DOI: 10.52898/ijif.2024.2

Dosyalar