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The twelve banks have not yet reached the efficient frontier on credit risk management and they must improve Links of London policy or the strategy of the credit risk management. And compared to other banks, although the twelve banks do not have the competition advantage on credit risk management, they have their substantial productivity for the four years. This indicates that the policy or the strategy of the credit risk management of the twelve banks is gradually improving. Banks with high credit risk efficiency and negative productivity change on credit risk management Bank , and have an average CRPTE above . Links of London Globe Charm an average CRMPI below . Compared to other banks, these four DMUs should hold the competition advantage on credit risk management, but their CRMPI represent their productivity deterioration. And Bank and have not yet reached the efficient frontier on credit risk management. The two banks must improve the policy or the strategy of the credit risk management. We consider that the four banks must plan new strategies of credit risk management for new breakthroughs to be able to maintain a secure competitive advantage and gain positive productivity change. Banks with low credit risk efficiency and negative productivity change on credit risk management In the case of Bank , and , these DMUs have an average CRPTE below . and an average CRMPI below . The four banks have not yet reached Links of London Disc charm efficient frontier on credit risk management and they must improve the policy or the strategy of the credit risk management. Furthermore, the result clearly implies that these banks have less competitiveness on credit risk management and productivity deterioration than other banks. We regard that these banks should reexamine their actions and activities in their credit risk management. CONCLUSION In this study, we use outputoriented DEA model in conjunction with financial ratios to measure CRTE, CRPTE and CRSE of commercial banks in Taiwan over the period , and then, we employ MPI which is calculated from credit risk efficiency scores based on DEA linear programming technique to measure productivity change on credit risk CRMPI of our sample over the study period. The DEA results show that links of london sale total average values of CRTE, CEPTE and CRSE are all less than . Overall, the bank industry in Taiwan does not achieve efficiency frontier and needs improvement on credit risk management. In our sample, there are three banks that achieve efficiency frontier in CRTE, CEPTE and CRSE over the study period.