The purpose of this study is to estimate the production function of the oliver flounder (Paralichthys olivaceus) aquaculture industry, analyze its efficiency, and provide implications for sustainable aquaculture. For this purpose, the SFA model was utilized. The results of this study are as follows. First, the coefficient values of labor wages and farm area are higher than other inputs. This suggests that the Korean oliver flounder aquaculture industry is labor-intensive. Second, disease management is highly influenced by management efficiency. The more frequently farms are disinfected and culled, the higher the management efficiency with culling having a greater impact on management efficiency. Finally, the cost inputs of high and low-efficiency fish farms were analyzed, and it is recommended that wages, electricity, drugs, and oxygen should be kept at a reasonable level rather than excessive. However, the higher the inputs for mortality removal and disease management, the higher the management efficiency. In other words, improving the farm environment is the most important to achieve sustainability and management efficiency of Korean oliver flounder farming.