Performance Evaluation of US Startup Accelerators Using Data Envelopment Analysis combined with Goal Programming Approach
Subject Areas :محمدرضا پارسانژاد 1 , 2 , mojtab noori 3 , Seyyed Sharafoddin Hoseini Nasab 4 , seyyed rashid shahcheragh 5
1 -
2 - University of Science and Technology
3 - University of Science and Technology
4 - University of Science and Technology
5 - University of Science and Technology
Keywords: Accelerator Startup Performance Evaluation Data Envelopment Analysis Goal Programming,
Abstract :
Startup accelerator program is a new incubation model to accelerate venture creation providing specialized mentorship, networking opportunities and financing growth driven businesses. Since emergence of the first accelerator in US in 2005, the number of seed accelerating programs has quickly grown worldwide. Performance evaluation of these emerging programs not only could clarify relative success of this new incubation approach but also help out Iranian emerging accelerators to benchmark from pioneers of the industry. The evaluation could also assist startups and entrepreneurs to find out which of the existing accelerators are well-performed and thus ease decision making to select them as their incubator. So in this paper we aim to measure the performance of US top accelerators using a DEA method combined with goal programing approach. The inputs of the evaluation consist of numbers of mentors and startups, investment on each startup in average and in general, and the share of accelerator in startup company. The outputs in turn are different and include number and value of exits, and fund raising. Comparison of the final result with Seed Accelerator Ranking Project (SARP), shows different sorting and it is due the distinct evaluation approach. SARP considers only outputs of accelerators but we take in to account both outputs and inputs in the evaluation which could better illustrate the efficiency of DMUs.
1) Deloitte Report, (2015), Technology and people, the great job-creating machine.
2) Haltiwanger, J., Jarmin, R.S., Miranda, J., (2013), Who creates jobs small versus large versus young.
3) Kauffman Foundation Report (2009), Where will the jobs come from?
4) Kauffman Foundation Report (2014), The Importance of young firms for economic growth.
5) Fort T.C., Haltiwanger J., Jarmin R.S., Miranda, J., (2013), How firms respond to business cycles, the role of firm age and firm size, IMF Economic Review, Palgrave Macmillan, 61(3), 520-559.
6) Forbes Report, (2017), Startups will define the future of U.S. employment.
7) Hudson Institute Report, (2012), The collapse of startups in job creation.
8) Wiggins, J., Gibson, D. V. (2003), Overview of US incubators and the case of the Austin Technology Incubator. Innovation, 3(1/2), 56-66.
9) Dilts, D. M., Hackett, S. M. (2004), A Systematic Review of Business Incubation. Journal of Technology Transfer, 29, 55-82.
10) Hathaway, I., (2016), What Startup Accelerators Really do, Harvard Business Review, https://hbr.org/2016/03/what-startup-accelerators-really-do
11) Miller, P., Bound, K., (2011), The Startup Factories: the rise of accelerator programmes to support new technology ventures, NESTA Publication.
12) Seed Accelerators Project Ranking-SAPR, (2014), https://seedranking.com.
13) رضائيان، علي (1394). مباني سازمان و مديريت تهران، سازمان مطالعه و تدوين كتب علوم انساني دانشگاه ها.
14) Jean, E., Audet, J. (2012), The role of mentoring in the learning development of the novice entrepreneur. International Entrepreneurship and Management Journal, 8(1), 119-140.
15) De Clercq, D., Fried V.H., Lehtonen, O., and Sapienza H.J., (2006), An Entrepreneur’s Guide to the venture capital Galaxy, Academy of Management Perspectives, 20 (3), 90-112.
16) DeTienne, D.R. (2010), Entrepreneurial exit as a critical component of the entrepreneurial process: Theoretical development, Journal of Business Venturing, 25(2), 203- 215.
17) Wennberg, K., ,Wiklund J., DeTienne D.R., Cardon, M.S., (2010), Reconceptualizing entrepreneurial exit: Divergent exit routes and their drivers, Journal of Business Venturing, 25, 361–375
18) Gladstone, D., Gladstone, L., (2004), Venture Capital Investing: The Complete Handbook for Investing in Private Businesses, FT Press.
19) جهانخانی، علی و پارسائیان، علی مدیریت مالی(1394) جلد اول. سازمان مطالعه وتدوین کتب علوم انسانی دانشگاه ها .
20) Cook, W.D., Zhu, J., (2014), Data Envelopment Analysis, A Handbook of Modeling Internal Structure and Network, International Series in Operations Research and Management Science, Springer.
21) Cooper, W.W., Seiford, L.M., Zhu, J., (2011), Handbook on Data Envelopment Analysis, International Series in Operations Research and Management Science, Springer.
22) Zhu, J., (2014), Quantitative Models for Performance Evaluation and Benchmarking, Data Envelopment Analysis with Spreadsheets, International Series in Operations Research and Management Science, Springer.
23) Nooreha, H., Mokhtar A., Suresh, K., (2000), Evaluating public sector efficiency with data envelopment analysis: A case study in road transport department, Selangor, Malaysia. Total Quality Management, 11(4), 830-836.
24) Charnes, A., Cooper, W. W., Rhodes, E. (1978), Measuring the efficiency of decision making units, European Journal of Operational Research, 2(6), 429-444.
25) Banker, R. D., Charnes, A., Cooper, W. W. (1984), Some models for estimating technical scale inefficiencies in data envelopment analysis. Management Science, 30(9), 1078-1092
26) Adila, A. (2001), Predictors of university academic performance in Colombia, International Journal of Educational Research, 35 (4), 411 - 417.
27) .مهرگان، محمدرضا (1387) مدلهای کمی در ارزیابی عملکرد سازمانها، چاپ دوم، انتشارات دانشکده مدیریت دانشگاه تهران.