• International Journal of Quality Innovation
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• v.8 no.2
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• pp.20-31
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• 2007

Moral hazard and adverse selection often exist in asymmetric information environment. In this paper, quality investment decision problem is studied under moral hazard. A basic model for quality investment level decision is developed with the supplier as a principal and the buyer as an agent. And then we regard the supplier and the buyer's rational limitations to set up a model when the buyer's quality evaluation and processing activities are hidden. The model is optimized and the results under different backgrounds are discussed and compared. Results show that the buyer's quality evaluation level and processing level are mostly influenced by the supplier's quality assurance payment. Both the supplier and the buyer choose different quality investment levels under moral hazard because of the supplier's payment to the buyer in case of internal failure and external failure.

• Journal of the Korean Institute of Illuminating and Electrical Installation Engineers
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• v.23 no.9
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• pp.31-39
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• 2009

This paper shows prioritization process for equipment investment plans considering reliability indices and economical efficiency. To decide prioritization of distribution investment projects, we made a distribution system model using system configuration, it's component and load information and designed several investment alternatives to improve reliability of present system. Lastly, we proposed a evaluation model of economical efficiency assessment on distribution investment alternative projects. To analyze influence by reliability and economical efficiency, we produced economical effects with applying time-varying failure rate of KEPCO's main equipments of distribution system and interruption cost of electric power affected by investment. Finally, in order to insure the validity of this proposed methodology, we compared investment prioritization by economical evaluation with that of real investment alternatives of KEPCO's branch office. In conclusion, this paper shows what and how to interpret the reliability effects of distribution system investments into financial indicators beneficial for power utilities's managers to make decision on the perspective of corporate value.

• The Journal of the Institute of Internet, Broadcasting and Communication
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• v.21 no.4
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• pp.157-169
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• 2021

Establishing an investment evaluation system for public ICT projects is ultimately to increase the success rate of public ICT projects in which government finances are invested and to revitalize the projects, thereby establishing a foundation for national economic growth and enhancing the competitiveness of the global ICT industry. This study tried to empirically verify the effect of public ICT project investment evaluation factors established according to the existing evaluation system on actual project success, and to suggest directions for future investment evaluation factors. Five evaluation factors such as public interest, economic feasibility, technology, policy and budget efficiency were derived through prior research, and the effect of these evaluation criteria on actual project success was verified through questionnaires from experts who directly participated in the actual project. In addition, it was confirmed whether the government's support system had a moderating effect between the investment evaluation factors and the project success of the ICT project. The reliability and validity of measurement tools, structural model analysis, and path analysis were empirically analyzed, and the significance of existing ICT investment evaluation factors was verified.

• Journal of the Korean Operations Research and Management Science Society
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• v.27 no.2
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• pp.63-79
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• 2002

During the last decade many enterprises spent a huge amount of money for investment on Information Technology (IT) & Information System (IS) to attain competitive advantage and to maximize their business performance by satisfying the various requirements of customers. Under such circumstances, methodologies for evaluating IT impact on business performance are very important issues for strategic decision making on investment. In this study, we propose a performance evaluation model that adopts the concept of the Balanced Scorecard (BSC) and the Value Chain to analyze the financial impact and non-financial impact of IT & IS at each critical work area. This model combines the 4 evaluation areas from BSC and 6 critical work areas from Value Chain and measures the Key Performance Indicator (HPI) and the effect of KPI. Also, we present a case study of which the evaluation model has been conducted on a major manufacturing company. finally. we address some important notes to improve the IT & IS performances in the real-world.

• The Korean Journal of Financial Studies
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• v.3 no.2
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• pp.235-256
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• 1996

This paper studies evaluation of illiquid assets by using a consumption and investment model. In particular, the paper defines the marginal values of illiquid assets and shows how optimal consumption and investment policies are related to the marginal values. The general results are illustrated by two concrete examples.

• Journal of the Korean Data Analysis Society
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• v.20 no.6
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• pp.2993-3002
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• 2018

This case study introduces the process of developing the technology rating evaluation model for investment. The technology evaluation rating model for investment is a project that the Financial Services Commission and the Ministry of Commerce, Industry and Energy collaborated to expand the scope of technology finance from loan to investment. The technology evaluation model for investment was developed with the aim of predicting high growth companies. The model consists of a statistical model and an expert model. Here, statistical models were modeled by using logistic regression analysis. Expert models gathered opinions of experts and identified the weight of each evaluation item and set the model. The rating system of the model is composed of 10 grades. The distribution of the model was consistent with KTRS grade distribution. Interestingly, the emphasis is on technology and marketability. In the technology valuation grade model for the goddess, there is a considerable difference from the emphasis on managerial competence or business performance.

• Proceedings of the Korean Society of Computer Information Conference
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• 2014.07a
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• pp.95-96
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• 2014

These information systems projects have unique characteristics such as technology sensitiveness, network effectiveness, embeddedness, and externality, these investment projects have been not taken care of in the field of administration and evaluation. Furthermore, it is not easy to evaluate the results of projects under the circumstances where the conditions for evaluation of budget, time, and data leave much to be desired. But the efficient monitoring and effective analysis of information systems are surely needed for beneficient results of investment in information systems. We propose an effect evaluation model on the basis of restriction to evaluate information systems.

• Proceedings of the Korean Society of Computer Information Conference
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• 2014.07a
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• pp.97-98
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• 2014

Lots of investment projects of new development and redevelopment for information systems have been not taken care of in the field of administration and evaluation, for these information systems projects have unique characteristics such as technology sensitiveness, network effectiveness, embeddedness, and externality. In fact, quantitative and qualitative evaluation of investments in information systems projects are not sufficient. It is critically important to generally evaluate benefits of development or operation cost, urgency, external effects, and so on. In addition, the efficient monitoring and effective analysis of information systems are surely needed for beneficient results of investment in information systems. We propose an economics evaluation model for information systems projects.

• Journal of Korean Institute of Industrial Engineers
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• v.31 no.2
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• pp.143-151
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• 2005

Information technology(IT) investment evaluation requires measurements from many perspectives. Except for the case of financial performance, these measurements mostly belong to the qualitative or intangible domain. The problem with IT investment evaluation lies in the fact that it is very difficult to define the qualitative properties against which to measure the performances. This paper addresses the issue of developing the set of performance indices, and defining the structural relationships between them, such that the IT investment evaluation can be done in a systematic, objective and comprehensive manner. We introduce the balanced scorecard strategy map as the backbone reference frame for the generation of performance indices and for the description of the relationships between them. Sample indices for evaluating projects from strategic perspectives are provided with a case example. A step by step follow through of the index generation process has been presented along with the case.

• Journal of Korea Technology Innovation Society
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• v.7 no.2
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• pp.325-349
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• 2004

This paper tried to evaluate an economic analysis about research and development far areas of renewable resource in Korea. To evaluate this validity, we tried to calculate the spillover effect of R＆D investment through input-output table. In the first stage of spillover effect, we simply calculate the rate of return on R＆D investment for renewable energy resources in Korea through the input-output model, which can calculate the value added as well as output based upon the price of 2000 year. According to the first stage calculation, the rate of return on R＆B investment in solar heat is higher than any other renewable energy. In the second stage we tried to calculate the second round of spill over effect, which derives from the additional amount of supply of renewable resources due to the R＆D investment. The overall evaluation of R＆D invesment including the first stage as well as second stage spillover effect shows that bio-energy and waste energy generate 14 times as well as 2.5 times in the rate of return respectively.