• Title/Summary/Keyword: Structural Model

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A Coupled-ART Neural Network Capable of Modularized Categorization of Patterns (복합 특징의 분리 처리를 위한 모듈화된 Coupled-ART 신경회로망)

  • 우용태;이남일;안광선
    • The Journal of Korean Institute of Communications and Information Sciences
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    • v.19 no.10
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    • pp.2028-2042
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    • 1994
  • Properly defining signal and noise in a self-organizing system like ART(Adaptive Resonance Theory) neural network model raises a number of subtle issues. Pattern context must enter the definition so that input features, treated as irrelevant noise when they are embedded in a given input pattern, may be treated as informative signals when they are embedded in a different input pattern. The ATR automatically self-scales their computational units to embody context and learning dependent definitions of a signal and noise and there is no problem in categorizing input pattern that have features similar in nature. However, when we have imput patterns that have features that are different in size and nature, the use of only one vigilance parameter is not enough to differentiate a signal from noise for a good categorization. For example, if the value fo vigilance parameter is large, then noise may be processed as an informative signal and unnecessary categories are generated: and if the value of vigilance parameter is small, an informative signal may be ignored and treated as noise. Hence it is no easy to achieve a good pattern categorization. To overcome such problems, a Coupled-ART neural network capable of modularized categorization of patterns is proposed. The Coupled-ART has two layer of tightly coupled modules. the upper and the lower. The lower layer processes the global features of a pattern and the structural features, separately in parallel. The upper layer combines the categorized outputs from the lower layer and categorizes the combined output, Hence, due to the modularized categorization of patterns, the Coupled-ART classifies patterns more efficiently than the ART1 model.

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An Empirical Investigation Into the Effect of Organizational Capabilities on Service Innovation in Knowledge Intensive Business Firms (지식서비스기업의 서비스 혁신에 영향을 미치는 조직의 역량에 관한 연구)

  • Yoon, Bo Sung;Kim, Yong Jin;Jin, Seung Hye
    • Asia pacific journal of information systems
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    • v.23 no.1
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    • pp.87-106
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    • 2013
  • In the service-oriented economy, knowledge and skills are considered core resources to secure competitive advantages and service innovation. Knowledge management capability, which facilitates to produce, share, accumulate and reuse knowledge, becomes as important as knowledge itself to create service value. Along with knowledge management capability, dynamic capability and operational capability are the key capabilities related to managing service delivery processes. Previous studies indicated that these three capabilities are related to service innovation. Although separately investigate the relationship between the three capabilities. The purpose of this study is 1) to define variables that have effects on service innovation including knowledge management capability, dynamic capability and operational capability, and 2) to empirically test to identify relationship among variables. In this study, knowledge management capability is defined as the capability to manage knowledge process. Dynamic capability is regarded as the firm's ability to integrate, build, and reconfigure internal and external competences to address rapidly changing environments. Operational capability refers to a high-level routine that, together with its implementing input flows, confers upon an organization's management a set of decision options for producing significant outputs of a particular type. The proposed research model was tested against the data collected through the survey method. The survey questionnaire was distributed to the managers who participated in an educational program for management consulting. Each individual who answered the questionnaire represented a knowledge based service firm. About 212 surveys questionnaires were sent via e-mail or directly delivered to respondents. The number of useable responses was 93. Measurement items were adapted from previous studies to reflect the characteristics of the industry each informant worked in. All measurement items were in, 5 point Likert scale with anchors ranging from strongly disagree (1) to strongly agree (5). Out of 93 respondents, about 81% were male, 82% of respondents were in their 30s. In terms of jobs, managers were 39.78%, professions/technicians were 24.73%, researchers were 12.90%, and sales people were 10.75%. Most of respondents worked for medium size enterprises (47,31%) in their, less than 30 employees (46.24%) in their number of employees, and less than 10 million USD (65.59%) in terms of sales volume. To test the proposed research model, structural equation modeling (SEM) technique (SPSS 16.0 and AMOS version 5) was used. We found that the three organizational capabilities have influence on service innovation directly or indirectly. Knowledge management capability directly affects dynamic capability and service innovation but indirectly affect operational capability through dynamic capability. Dynamic capability has no direct impact on service innovation, but influence service innovation indirectly through operational capability. Operational capability was found to positively affect service innovation. In sum, three organizational capabilities (knowledge management capability, dynamic capability and operational capability) need to be strategically managed at firm level, because organizational capabilities are significantly related to service innovation. An interesting result is that dynamic capability has a positive effect on service innovation only indirectly through operational capability. This result indicates that service innovation might have a characteristics similar to process innovation rather than product orientation. The results also show that organizational capabilities are inter-correlated to influence each other. Dynamic capability enables effective resource management, arrangement, and integration. Through these dynamic capability affected activities, strategic agility and responsibility get strength. Knowledge management capability intensify dynamic capability and service innovation. Knowledge management capability is the basis of dynamic capability as well. The theoretical and practical implications are discussed further in the conclusion section.

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Importance of End User's Feedback Seeking Behavior for Faithful Appropriation of Information Systems in Small and Medium Enterprises (중소기업 환경에서의 합목적적 정보시스템 활용을 위한 최종사용자 피드백 탐색행위의 중요성)

  • Shin, Young-Mee;Lee, Joo-Ryang;Lee, Ho-Geun
    • Asia pacific journal of information systems
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    • v.17 no.4
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    • pp.61-95
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    • 2007
  • Small-and-medium sized enterprises(SMEs) represent quite a large proportion of the industry as a whole in terms of the number of enterprises or employees. However researches on information system so far have focused on large companies, probably because SMEs were not so active in introducing information systems as larger enterprises. SMEs are now increasingly bringing in information systems such as ERP(Enterprise Resource Planning Systems) and some of the companies already entered the stage of ongoing use. Accordingly, researches should deal with the use of information systems by SME s operating under different conditions from large companies. This study examined factors and mechanism inducing faithful appropriation of information systems, in particular integrative systems such as ERP, in view of individuals` active feedback-seeking behavior. There are three factors expected to affect end users` feedback-seeking behavior for faithful appropriation of information systems. They are management support, peer IT champ support, and IT staff support. The main focus of the study is on how these factors affect feedback-seeking behavior and whether the feedback-seeking behavior plays the role of mediator for realizing faithful appropriation of information systems by end users. To examine the research model and the hypotheses, this study employed an empirical method based on a field survey. The survey used measurements mostly employed and verified by previous researches, while some of the measurements had gone through minor modifications for the purpose of the study. The survey respondents are individual employees of SMEs that have been using ERP for one year or longer. To prevent common method bias, Task-Technology Fit items used as the control variable were made to be answered by different respondents. In total, 127 pairs of valid questionnaires were collected and used for the analysis. The PLS(Partial Least Squares) approach to structural equation modeling(PLS-Graph v.3.0) was used as our data analysis strategy because of its ability to model both formative and reflective latent constructs under small-and medium-size samples. The analysis shows Reliability, Construct Validity and Discriminant Validity are appropriate. The path analysis results are as follows; first, the more there is peer IT champ support, the more the end user is likely to show feedback-seeking behavior(path-coefficient=0.230, t=2.28, p<0.05). In other words, if colleagues proficient in information system use recognize the importance of their help, pass on what they have found to be an effective way of using the system or correct others' misuse, ordinary end users will be able to seek feedback on the faithfulness of their appropriation of information system without hesitation, because they know the convenience of getting help. Second, management support encourages ordinary end users to seek more feedback(path-coefficient=0.271, t=3.06, p<0.01) by affecting the end users' perceived value of feedback(path-coefficient=0.401, t=6.01, p<0.01). Management support is far more influential than other factors that when the management of an SME well understands the benefit of ERP, promotes its faithful appropriation and pays attention to employees' satisfaction with the system, employees will make deliberate efforts for faithful appropriation of the system. However, the third factor, IT staff support was found not to be conducive to feedback-seeking behavior from end users(path-coefficient=0.174, t=1.83). This is partly attributable to the fundamental reason that there is little support for end users from IT staff in SMEs. Even when IT staff provides support, end users may find it less important than that from coworkers more familiar with the end users' job. Meanwhile, the more end users seek feedback and attempt to find ways of faithful appropriation of information systems, the more likely the users will be able to deploy the system according to the purpose the system was originally meant for(path-coefficient=0.35, t=2.88, p<0.01). Finally, the mediation effect analysis confirmed the mediation effect of feedback-seeking behavior. By confirming the mediation effect of feedback-seeking behavior, this study draws attention to the importance of feedback-seeking behavior that has long been overlooked in research about information system use. This study also explores the factors that promote feedback-seeking behavior which in result could affect end user`s faithful appropriation of information systems. In addition, this study provides insight about which inducements or resources SMEs should offer to promote individual users' feedback-seeking behavior when formal and sufficient support from IT staff or an outside information system provider is hardly expected. As the study results show, under the business environment of SMEs, help from skilled colleagues and the management plays a critical role. Therefore, SMEs should seriously consider how to utilize skilled peer information system users, while the management should pay keen attention to end users and support them to make the most of information systems.

The Effect of Entrepreneurship Education for Seniors on Entrepreneurship Intention: Integrating the Theory of Planned Behavior and Self-determination Theory (시니어 대상 창업교육이 창업의도에 미치는 영향: 계획된 행동이론과 자기결정 이론의 통합모델 중심으로)

  • Chung, Chan-Young;Lee, So-Young
    • Asia-Pacific Journal of Business Venturing and Entrepreneurship
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    • v.15 no.4
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    • pp.69-81
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    • 2020
  • This study is to identify the effect of seniors in their 40s and 50s on their entrepreneurial intentions through attitude on entrepreneurship, subjective norms, and perceived behavioral control by utilizing the integrated model of the theory of planned behavior and self-determination theory. Also, in this process, we tried to analyze moderating effect of entrepreneurship education for seniors. An online survey was conducted for seniors in their 40s and 50s living in Seoul and Gyeonggi province, out of the total 284 questionnaire responses, 243 valid questionnaires were used in the study. Research analysis utilized SPSS 24, AMOS 23 structural equation model and Professor Hayes' Process 3.4 to analyze moderating effect. The results of the study were summarized as follows. First, autonomous motivation had a positive influence on attitude toward entrepreneurship, subjective norms and perceived behavioral control. But controlled motivation didn't have the significant influence on attitude, subjective norms and perceived behavioral control. Second, attitude toward entrepreneurship, subjective norms and perceived behavioral control had positive influence on entrepreneurship intention. Third, as a result of analyzing moderating effect of entrepreneurship education for seniors, the significant moderating effect was verified between attitude and entrepreneurship intention. Also the significant moderating effect was verified between subjective norms and entrepreneurship intention. On the other hand, no significant moderating effect was proved between perceived behavioral control and entrepreneurship intention. The implication of this study is that for retired seniors planning to enter into entrepreneurship, the result can contribute to the development of a entrepreneurship support program that can increase new startup creation, survival and sucess by diagnosing autonomous and controlled motivation for entrepreneurship. In addition, by providing entrepreneurship education as well as re-employment training in the senior outplacement program, the study can contribute to widening the opportunities for seniors to second career after retirement.

A Study of the Environmental Consciousness Influences on the Psychological Reaction of Forest Ecotourists (환경의식에 따른 산림생태관광객의 심리적 반응에 관한 연구)

  • Yan, Guang-Hao;Na, Seung-Hwa
    • Journal of Distribution Science
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    • v.10 no.1
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    • pp.43-52
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    • 2012
  • With the slowdown in environmental issues and the change of environmental consciousness, ecotourism is being discussed in various social fields. Ecotourism is being popularized for environmental protection, and now it is becoming a mainstream product from one of mass tourism. Ecotourism's emphasis on sustainable development in the tourism destination's society, economy, and environment, through ecotourism study and education, enable people to understand the core value of the ecological environment. 2011 was nominated as "the Year of World Forest" by the UN. In the recent years, forests are becoming increasingly important with their own values and functions in environment, economy, society, and culture. In particular, the global environmental issues caused by climate change are becoming an international agenda. Forests are the only effective solution for the carbon dioxide that causes global warming. Moreover, forests constitute a major part of ecotourism, and are now most used by ecotourists. For example, Korea, wherein 60% of the land is forest, attracts ecotourists. With the increasing interests in environment, the number of tourists visiting the ecosystem forest, which is highly valued for its conservation, is increasing significantly every year and is receiving considerable attention from the government. However, poor facilities in the forest ecotourism sites and improper market strategies are the reasons for the poor running of these sites. Furthermore, tourists' environmental awareness affects ecology environmental pollution or the optimization of forest ecotourism. In order to verify the relationships among tourist attractiveness, environmental consciousness, charm degrees of the attractions, and attitudes after tours, we established some scales based on existing research achievement. Then, using these scales, the researcher completed the questionnaire survey. From December 20, 2010 to February 20, 2011, after conducting surveys for 12 weeks, we finally obtained 582 valid questionnaires, from a total of 700 questionnaires, that could be used in statistical analysis. First, for the method of research and analysis, the researcher initially applied the Cronbach's (Alpha) for verifying the reliability, and subsequently applied the Exploratory factor analysis for verifying the validity. Second, in order to analyze the demographics, the researcher makes use of the Frequency analysis for the AMOS, measurement model, structural equation model computing, and also utilizes construct validity, convergent validity, discriminant validity, and nomological validity. Third, for the analysis of the ecotourists' environmental consciousness, impacts on tourist attractiveness, charm degrees of the attractions, and attitudes after the tour, the researcher uses AMOS 19, with the path analysis and equation of structure. After the research, researchers found that high awareness of natural protection lead to high tourist motivation and satisfaction and more positive attitude after the tour. Moreover, this research shows the psychological and behavioral reactions of the ecotourists to the ecotourist development. Accordingly, environmental consciousness does not affect the tourist attractiveness that has been interpreted as significant. Furthermore, people should focus on the change of natural protection consciousness and psychological reaction of ecotourists while ensuring the sustainable development of ecotourists and developing some ecotourist programs.

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Research on a Biennale Visitors' Pursuing Benefit -Centering on the Gwangju Biennale- (비엔날레 참관자의 추구편익이 행동의도에 미치는 영향 연구 -광주비엔날레를 중심으로-)

  • An, Tai-Gi;Kim, Hee-Jin
    • The Journal of the Korea Contents Association
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    • v.9 no.11
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    • pp.432-442
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    • 2009
  • This research had a look at what effect of the pursing benefit has on satisfaction, behavioral intention, and attitude of the visitors to the Gwangju Biennale. The survey was conducted for 320 visitors who finished their exhibition viewing schedule starting September 5 until September 19 [15 days]. 300 questionnaires excepting 20 unfaithfully responded copies among those collected from the surveyed were used for the analysis. As for the statistical disposal of the collected data, after going through the process of Data Coding, this research conducted an frequency analysis using SPSS 12.0 for window & statistics package program AMOS 5.0, an exploratory factor analysis to test the reliability and feasibility of the data, and reliability test of each factor; then, this research tested a hypothesis using structural equation model. The research results are as follows: First, as a result of factor analysis of the 15 pursuing benefits, 4 factors were elicited, such as pursuit of an intellectual experience, pursuit of a novel, exotic experience, pursuit of interpersonal, cultural exchange, and pursuit of internal fullness, etc.; as a result of factor analysis of the 10 attitudes, three factors were elicited, such as affective, cognitive, behavioral factors; as a result of factor analysis of 12 types of satisfaction, two factors, such as satisfaction with facilities and convenience matters, etc. were elicited. Second, as a result of the suitability of research model, suitability, its fidelity came out as $x^2=107.508$, d.f.=48, p=.000, Q=2.240, GFI=.942, AGFI=.906, RMR=.024, NFI=.952, TLI=.963, CFI=.973, RMSEA=.064. Third, pursuing benefit was found out to have a positive effect on satisfaction, attitude, and behavioral intention. Fourth, attitude was found out to have a positive significant effect on satisfaction. Fifth, attitude was found out to have a positive effect on behavioral intention. Sixth, satisfaction was found out to have a positive effect on behavioral intention.

Developing and Applying the Questionnaire to Measure Science Core Competencies Based on the 2015 Revised National Science Curriculum (2015 개정 과학과 교육과정에 기초한 과학과 핵심역량 조사 문항의 개발 및 적용)

  • Ha, Minsu;Park, HyunJu;Kim, Yong-Jin;Kang, Nam-Hwa;Oh, Phil Seok;Kim, Mi-Jum;Min, Jae-Sik;Lee, Yoonhyeong;Han, Hyo-Jeong;Kim, Moogyeong;Ko, Sung-Woo;Son, Mi-Hyun
    • Journal of The Korean Association For Science Education
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    • v.38 no.4
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    • pp.495-504
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    • 2018
  • This study was conducted to develop items to measure scientific core competency based on statements of scientific core competencies presented in the 2015 revised national science curriculum and to identify the validity and reliability of the newly developed items. Based on the explanations of scientific reasoning, scientific inquiry ability, scientific problem-solving ability, scientific communication ability, participation/lifelong learning in science presented in the 2015 revised national science curriculum, 25 items were developed by five science education experts. To explore the validity and reliability of the developed items, data were collected from 11,348 students in elementary, middle, and high schools nationwide. The content validity, substantive validity, the internal structure validity, and generalization validity proposed by Messick (1995) were examined by various statistical tests. The results of the MNSQ analysis showed that there were no nonconformity in the 25 items. The confirmatory factor analysis using the structural equation modeling revealed that the five-factor model was a suitable model. The differential item functioning analyses by gender and school level revealed that the nonconformity DIF value was found in only two out of 175 cases. The results of the multivariate analysis of variance by gender and school level showed significant differences of test scores between schools and genders, and the interaction effect was also significant. The assessment items of science core competency based on the 2015 revised national science curriculum are valid from a psychometric point of view and can be used in the science education field.

The Analysis of Successional Trends by Topographic Positions in the Natural Deciduous Forest of Mt. Chumbong (점봉산(點鳳産) 일대 천연활엽수림(天然闊葉樹林)의 지형적(地形的) 위치(位置)에 따른 천이(遷移) 경향(傾向) 분석(分析))

  • Lee, Won Sup;Kim, Ji Hong;Jin, Guang Ze
    • Journal of Korean Society of Forest Science
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    • v.89 no.5
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    • pp.655-665
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    • 2000
  • Taking account of the structural variation on species composition by topography, the successional trends were comparatively analyzed for the three topographic positions (valley, mid-slope, and ridge) in the natural deciduous forest of Mt. Chumbong area. The analysis was based upon the subsequent process of generation replacement by understory saplings and seedlings over the overstory trees which will be eventually fallen down. This study adopted the plot sampling method, establishing twenty $20m{\times}20m$ quadrats and collecting vegetation and site data on each different topographic position. The transition matrix model, which was modified from the mathematical theory of Markov chain, was employed to analyze the successional trends and thereafter to predict the overstory species composition in the future for each different topographic position. In valley, the simulation indicated the remarkable decrease in the proportion of species composition of present dominants Quercus mongolica and Fraxinus mandshurica from current 23% and 21% to around 4% of each at the steady state, which is predicted to take less than 200 years. On the other hand, the proportion of such species as Abies holophylla, Acer mono, Tilia amurensis, and Ulmus laciniata will increase at the steady state. In mid-slope, the result showed the remarkable decrease in the proportion of Juglans mandshurica, Kalopanax pictus, and Tilia amurensis from current 15%, 8%, and 15% to 2%, 1%, and 5%, respectively, at steady state predicted to take more than 250 years. In ridge, the current dominant Quercus mongolica was predicted to be decreased dramatically from 58% to 8% at steady state which could be achieved about 200 years. On the contrary, the proportion of Acer mono and Tilia amurensis will be increased from current 4% and 3% to more than 20% and 40%, respectively, at the steady state. Overall results suggested that the study forest is more likely seral rather than climax community. Even though a lot of variation is inevitable due to various kinds of site and vegetation development, the study forest is considered to be more than 200 years away from the steady state or climax in terms of overstory species composition.

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A Study on Factors Affecting Social Welfare Centers and Facilities' Resource Mobilization (사회복지시설의 민간자원 동원에 영향을 주는 요인 연구: 후원을 중심으로)

  • Kim, Mee-Sook;Kim, Eun-Jeong
    • Korean Journal of Social Welfare
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    • v.57 no.2
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    • pp.5-40
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    • 2005
  • Social welfare centers and residential care facilities where provide the socially disadvantaged with proper social services, face financial difficulties. This is because not only of the lack of governmental support, but also of social welfare centers and residential care facilities' lack of skills in developing abundant resources from the private sector. In this context, this study tried to find factors affecting resource mobilization of the social welfare facilities to devise policies in resource development. Mail survey was conducted with the structured questionnaire. Employees in charge of community resource development were asked to answer the questionnaire. The study population were welfare centers and residential care facilities. A total of 293 community welfare centers and 632 residential care facilities responded to the survey. The response rate was about 62%. The dependent variables of the study were the amount of resource mobilization in the year 2001 which was measured as the number of donors, the total amount of donation, and estimated amount of gift-in-kind. Three types models were constructed per each welfare institution. Independent variables were selected based on the previous research findings: community environment factor, structural factor, and resource development factor. Multiple regression was utilized to analyze the data. The resource development factor turned out to be significant variable in various models. In the models of donors, the amount of donation, and the amount of gift-in-kind (except for the welfare center model), at least one out of six variables of the resource development factors was significant welfare center. Welfare centers which establish the resource development department or hire employees to take care of resource development, utilize computer softwares to file donors, and utilize donor management programs, have more donors and/or donations than their counterparts. In addition, residential care facilities located in urban area have more donors and donations, and among residential facilities those for the disables, those with longer history and more employees, receive more donations than their counterparts. As for the gift-in-kind model, the welfare centers located in high income area and residential care facilities for the elderly, children and mentally retarded receive less gift-in-kind than their counterparts Based on the above findings, this study suggested that to mobilize resources the welfare centers as well residential care facilities need to have community resource development department or resource development staffs, adopt computer software to systematically organize donors, and utilize donor mobilizing and maintaining programs.

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Corporate Bond Rating Using Various Multiclass Support Vector Machines (다양한 다분류 SVM을 적용한 기업채권평가)

  • Ahn, Hyun-Chul;Kim, Kyoung-Jae
    • Asia pacific journal of information systems
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    • v.19 no.2
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    • pp.157-178
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    • 2009
  • Corporate credit rating is a very important factor in the market for corporate debt. Information concerning corporate operations is often disseminated to market participants through the changes in credit ratings that are published by professional rating agencies, such as Standard and Poor's (S&P) and Moody's Investor Service. Since these agencies generally require a large fee for the service, and the periodically provided ratings sometimes do not reflect the default risk of the company at the time, it may be advantageous for bond-market participants to be able to classify credit ratings before the agencies actually publish them. As a result, it is very important for companies (especially, financial companies) to develop a proper model of credit rating. From a technical perspective, the credit rating constitutes a typical, multiclass, classification problem because rating agencies generally have ten or more categories of ratings. For example, S&P's ratings range from AAA for the highest-quality bonds to D for the lowest-quality bonds. The professional rating agencies emphasize the importance of analysts' subjective judgments in the determination of credit ratings. However, in practice, a mathematical model that uses the financial variables of companies plays an important role in determining credit ratings, since it is convenient to apply and cost efficient. These financial variables include the ratios that represent a company's leverage status, liquidity status, and profitability status. Several statistical and artificial intelligence (AI) techniques have been applied as tools for predicting credit ratings. Among them, artificial neural networks are most prevalent in the area of finance because of their broad applicability to many business problems and their preeminent ability to adapt. However, artificial neural networks also have many defects, including the difficulty in determining the values of the control parameters and the number of processing elements in the layer as well as the risk of over-fitting. Of late, because of their robustness and high accuracy, support vector machines (SVMs) have become popular as a solution for problems with generating accurate prediction. An SVM's solution may be globally optimal because SVMs seek to minimize structural risk. On the other hand, artificial neural network models may tend to find locally optimal solutions because they seek to minimize empirical risk. In addition, no parameters need to be tuned in SVMs, barring the upper bound for non-separable cases in linear SVMs. Since SVMs were originally devised for binary classification, however they are not intrinsically geared for multiclass classifications as in credit ratings. Thus, researchers have tried to extend the original SVM to multiclass classification. Hitherto, a variety of techniques to extend standard SVMs to multiclass SVMs (MSVMs) has been proposed in the literature Only a few types of MSVM are, however, tested using prior studies that apply MSVMs to credit ratings studies. In this study, we examined six different techniques of MSVMs: (1) One-Against-One, (2) One-Against-AIL (3) DAGSVM, (4) ECOC, (5) Method of Weston and Watkins, and (6) Method of Crammer and Singer. In addition, we examined the prediction accuracy of some modified version of conventional MSVM techniques. To find the most appropriate technique of MSVMs for corporate bond rating, we applied all the techniques of MSVMs to a real-world case of credit rating in Korea. The best application is in corporate bond rating, which is the most frequently studied area of credit rating for specific debt issues or other financial obligations. For our study the research data were collected from National Information and Credit Evaluation, Inc., a major bond-rating company in Korea. The data set is comprised of the bond-ratings for the year 2002 and various financial variables for 1,295 companies from the manufacturing industry in Korea. We compared the results of these techniques with one another, and with those of traditional methods for credit ratings, such as multiple discriminant analysis (MDA), multinomial logistic regression (MLOGIT), and artificial neural networks (ANNs). As a result, we found that DAGSVM with an ordered list was the best approach for the prediction of bond rating. In addition, we found that the modified version of ECOC approach can yield higher prediction accuracy for the cases showing clear patterns.