In view of an overall study on the production efficiency of industrial enterprises in Jiangsu Province, firstly, the main factors affecting the industrial production efficiency can be found out by adopting the gray comprehensive correlation analysis method. Secondly, a production efficiency input-output model is to be constructed by using the output oriented BCC model in the data envelopment analysis method, with the number of enterprise units, sales expenses and management expenses selected as the input indicators, and the total profit and main business income selected as the output indicators. Finally, the state-owned holding industrial enterprises in local cities in 2019 is taken as the research object. The results show that the production efficiency of state-owned holding industrial enterprises in Jiangsu Province in 2019 is as high as 85.6%, leaving room for an improvement of 14.4%; there are 5 cities with an industrial comprehensive technical efficiency of 1, leaving other 8 cities with an industrial comprehensive technical efficiency lower than 1. Low production efficiency is brought about by the inefficiency of pure technical efficiency and scale efficiency, with the latter one the primary reason. In order to improve the production efficiency, it is necessary for state-owned holding industrial enterprises in Jiangsu province to reduce the number of enterprises by about 18.4%, while Suzhou and Zhenjiang still have to increase their corresponding profits. Based on this conclusion, it is essential that some corresponding countermeasures and suggestions be taken simultaneously from the two aspects of technological innovation and effective allocation of resources.