• Journal of Information Technology Applications and Management
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• v.12 no.1
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• pp.191-211
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• 2005

This study investigates the decision criteria used in the context of IT investment decision making and empirically analyzes the impact of IT project size and types on the importance of decision criteria. 5 criteria which have been extracted from the previous studies and industry practices are budget, financial benefits. strategic value. risk, and the degree of proposer's eagerness. Data of 120 IT project proposals have been collected from 5 companies including bank, insurance. and stock trading company. As results of ANOVA test. 7 out of 10 hypothesis have been accepted statistically. That is. the bigger the project size. the higher the evaluation weight of project budget and risk criteria and the lower the weight of proposer's eagerness. And in case of the infrastructure investment type. the emphasis is placed more on strategic value and risk criteria and less on financial benefit and proposer's eagerness. These findings provide insights for both IT practitioners and researchers.

• Journal of Information Technology Services
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• v.15 no.4
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• pp.1-24
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• 2016

With the innovation of information technology, non-face-to-face robo advisor with high accessibility and convenience is spreading. The current robot advisor recommends appropriate investment products after understanding the investment propensity based on the structured data entered directly or indirectly by individuals. However, it is an inconvenient and obtrusive way for financial consumers to inquire or input their own subjective propensity to invest. Hence, this study proposes a way to deduce the propensity to invest in unstructured data that customers voluntarily exposed during consultation or online. Since prediction performance based on unstructured document differs according to the characteristics of text, in this study, classification algorithm optimized for the characteristic of text left by financial consumers is selected by performing prediction performance evaluation of various learning discrimination algorithms and proposed an intelligent method that automatically recommends investment products. User tests were given to MBA students. After showing the recommended investment and list of investment products, satisfaction was asked. Financial consumers' satisfaction was measured by dividing them into investment propensity and recommendation goods. The results suggest that the users high satisfaction with investment products recommended by the method proposed in this paper. The results showed that it can be applies to non-face-to-face robo advisor.

• KIEE International Transactions on Power Engineering
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• v.5A no.3
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• pp.260-268
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• 2005

This paper proposes an improved investment pnonty decision method of facilities considering the reliability of distribution networks. The proposed method decides an investment order of the facilities combining, by fuzzy rules, the investment priority decision by KEPCO and that by reliability evaluation indices. The reliability evaluation indices are SAIFI (System Average Interruption Frequency Index) and SAIDI (System Average Interruption Duration Index). The reliability analysis method of distribution networks applied in this paper utilizes the analytic method, where the used reliability data is the historical data of KEPCO. Particularly, we assumed that the failure rate increases as the equipment ages. To verify the performance of the proposed method, we applied it with the planned projects to reinforce the weak electrical facilities in KEPCO in 2004. The evaluation result showed that, under a limited budget, the reliability of KEPCO in the Busan region using the proposed method could be enhanced if used rather than the conventional method typically in place. Therefore, the results verify that the proposed method can be efficiently used in the actual priorities method for investing in the electrical facilities.

• Information Systems Review
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• v.8 no.1
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• pp.265-285
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• 2006

The purpose of this research is to identify the major evaluation criteria of IT investment projects and establish the importance weights of criteria through AHP analysis. Seven evaluation criteria which have been drawn from prior studies and industry practices are direct costs, indirect costs, financial benefits, strategic value, risk, technical necessity, and political considerations. Data have been collected from 95 IT projects in 40 public organizations and private firms in Korea. After having applied the data reliability test, 79 projects have been selected. The results of AHP analysis show the importance weights and priorities of seven evaluation criteria as follows: financial benefits 25.2%, strategic value 22.36%, direct costs 14.34%, risk 12.10%, technical necessity 11.55%, political considerations 8.3%, and indirect costs 6.48%. And the weights of seven criteria shows considerable differences among three different IT project types such as transactional, informational, and infrastructural.

• Journal of Korean Society of Industrial and Systems Engineering
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• v.14 no.24
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• pp.105-109
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• 1991

In the comparative study of investment alternatives with different life times. It is wrong to compare a long-life time alternative with different life times. It is to wrong to compare a long-life time alternative with a short-life time one by the same measure; therefore, a measure is needed which is suitable for the characters of alternatives. The purpose of this study is in present a method to evaluate investment alternatives with different life times and to explain the assumptions and calculating method.

• Journal of Korean Society of Industrial and Systems Engineering
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• v.40 no.1
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• pp.50-56
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• 2017

The IRR (internal rate of return) is often used by investors for the evaluation of engineering projects. Unfortunately, it is widely known that it has serial flaws. Also, External rate of returns (ERRs) such as ARR (Average Rate of Return) or MIRR (MIRR, Modified Internal Rate of Return) do not differentiate between the real investment and the expenditure. The PRR (Productive rate of return) is faithful to the conception of the return on investment. The PRR uses the effective investment instead of the initial investment. In this paper, we examined two cases of the engineering project. the one is a traditional engineering project with financing activity, another is the project with R&D. Although the IRR has only one value, it overestimates or underestimate profitabilities of Engineering Projects. The ARR and the MARR assume that a returned cash reinvest other projects or assets instead of the project currently executing. Thus they are only one value of a project's profitability, unlike the IRR. But the ARR does not classify into the effective investment and non-investment expenditure. It only accepts an initial expenditure as for an investment. The MIRR also fails to classify into the investment and the expenditure. It has an error of making a loss down as the investment. The IRR works as efficiently as a NPW (Net Present Worth). It clearly expresses a rate of return in respect of an investment in an engineering project with a loan. And it shows its ability in an engineering project with a R&D investment.

• KSII Transactions on Internet and Information Systems (TIIS)
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• v.11 no.8
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• pp.4133-4145
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• 2017

Advances in science and technology are driving us to the better life but also forcing us to make more investment at the same time. Therefore, the government has provided the investment to carry on the promising futuristic technology successfully. Indeed, a lot of resources from the government have supported into the science and technology R&D projects for several decades. However, the performance of the public investments remains unclear in many ways, so thus it is required that planning and evaluation about the new investment should be on data driven decision with fact based evidence. In this regard, the government wanted to know the trend and issue of the science and technology with evidences, and has accumulated an amount of database about the science and technology such as research papers, patents, project reports, and R&D information. Nowadays, the database is supporting to various activities such as planning policy, budget allocation, and investment evaluation for the science and technology but the information quality is not reached to the expectation because of limitations of text mining to drill out the information from the unstructured data like the reports and papers. To solve the problem, this study proposes a practical text mining methodology for the science and technology trend analysis, in case of aerospace technology, and conduct text mining methods such as ontology development, topic analysis, network analysis and their visualization.

• The Transactions of the Korean Institute of Electrical Engineers A
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• v.54 no.4
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• pp.177-184
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• 2005

This paper proposes a improved investment priority decision method of the facilities considering the reliability of distribution networks. The proposed method decides a investment order of the facilities combining, by fuzzy rules, the investment priority decision of KEPCO and the priority decision considering reliability evaluation indices. Where reliability evaluation indices are SAIFI(System Average Interruption Frequency Index) and SAIDI(System Average Interruption Duration Index), as referred to evaluation index for sustained interruption. The reliability analysis method of distribution networks applied in this paper utilizes analytic method, where the used reliability data is historical data of KEPCO. Particularly, we assumed that the failure rate increased as the equipment ages. To verify the performance of the proposed method, we applied it with the planned projects to reinforce the weak facility electrical facilities in KEPCO in 2004. The evaluation result showed that, under a limited budget, the reliability of the KEPCO in the Busan region using the proposed method can be enhanced than using the conventional KEPCO's method. Therefore, the results verify the proposed method can be efficiently used in the actual priorities method for investing the electrical facilities.

• Asia-Pacific Journal of Business
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• v.12 no.2
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• pp.1-24
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• 2021

Purpose - We aim to verify whether CSM activities increase investment efficiency, and to verify whether the influence of CSM activities on investment efficiency is discriminatory depending on whether or not they belong to chaebol. Design/methodology/approach - Using 4,701 Korean firm-year observations over the 2011-2017 period, we used multiple regression analysis. CSM is measured by the evaluation score of the Korea Corporate Governance Service (KCGS). Findings - Our study confirms that CSM is a significantly positive relationship with investment efficiency. This shows that, as a result of CSM, the increased earnings quality acts as an incentive to increase investment efficiency. Next, in analysis of a dataset into two groups (a chaebol, non-chaebol), the results show that the relationship between CSM and investment efficiency differs among detailed indicator activities depending on whether or not they belong to chaebol. Research implications or Originality - It is significant that this study focused on and analyzed CSM as a determinant of investment efficiency, and examined the effects of whether or not it belongs to chaebol in the relationship between CSM and investment efficiency. Our results, which suggested that CSM can increase investment efficiency, are expected to provide important implications not only for managers but also for investors and supervisors.

• 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.