Search results for: Fuzzy Inference System (FIS)
Commenced in January 2007
Frequency: Monthly
Edition: International
Paper Count: 8909

Search results for: Fuzzy Inference System (FIS)

2789 Measuring Science and Technology Innovation Capacity in Developing Countries: From a National Innovation System

Authors: Haeng A. Seo, Changseok Oh, Seung Jun Yoo

Abstract:

This study attempts to examine the disparities in S&T innovation capacity from 14 developing countries to discuss how to support specific features in national innovation systems. It includes East-Asian, Middle-Asian, Central American and African countries. Here, we particularly focus on five dimensions- resources, activities, network, environment and performance- with 37 indicators. They were derived as structuring components of the relevant diagnostic model, which encompasses the whole process of S&T innovation from the input of resources to the output of economically valuable results. For many developing nations, economic industries remain weaker than actual S&T capabilities, and relevant regulatory authorities may not exist. This paper will be helpful to provide basic evidence and to set directions for better national S&T Innovation capacities and toward national competitiveness.

Keywords: Developing countries, measurement, NIS, S&T innovation capacity.

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2788 Using Radio Frequency Identification Technology in Supply Chain Management

Authors: Eleonora Tudora, Adriana Alexandru

Abstract:

The radio frequency identification (RFID) is a technology for automatic identification of items, particularly in supply chain, but it is becoming increasingly important for industrial applications. Unlike barcode technology that detects the optical signals reflected from barcode labels, RFID uses radio waves to transmit the information from an RFID tag affixed to the physical object. In contrast to today most often use of this technology in warehouse inventory and supply chain, the focus of this paper is an overview of the structure of RFID systems used by RFID technology and it also presents a solution based on the application of RFID for brand authentication, traceability and tracking, by implementing a production management system and extending its use to traders.

Keywords: RFID, RFID Tag, Electronic Product Code (EPC), EPC network, Object Naming Service (ONS), Authentication, Traceability.

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2787 Kaikaku - Radical Improvement in Production

Authors: D. Gåsvaer, J. von Axelson

Abstract:

Considering today-s increasing speed of change, radical and innovative improvement - Kaikaku, is a necessity parallel to continuous incremental improvement - Kaizen, especially for SME-s in order to attain the competitive edge needed to be profitable. During 2011, a qualitative single case study with the objective of realizing a kaikaku in production has been conducted. The case study was run as a one year project using a collaborative approach including both researchers and company representatives. The case study was conducted with the purpose of gaining further knowledge about kaikaku realization as well as its implications. The empirical results provide insights about the great productivity results achieved by applying a specific kaikaku realization approach. However, it also sheds light on the difficulty and contradiction of combining innovation management and production system development.

Keywords: Kaikaku, Radical improvement, manufacturing, innovation capability

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2786 Single-qubit Quantum Gates using Magneto-optic Kerr Effect

Authors: Pradeep Kumar K

Abstract:

We propose the use of magneto-optic Kerr effect (MOKE) to realize single-qubit quantum gates. We consider longitudinal and polar MOKE in reflection geometry in which the magnetic field is parallel to both the plane of incidence and surface of the film. MOKE couples incident TE and TM polarized photons and the Hamiltonian that represents this interaction is isomorphic to that of a canonical two-level quantum system. By varying the phase and amplitude of the magnetic field, we can realize Hadamard, NOT, and arbitrary phase-shift single-qubit quantum gates. The principal advantage is operation with magnetically non-transparent materials.

Keywords: Quantum computing, qubit, magneto-optic kerr effect (MOKE), magneto-optical interactions, continuous variables.

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2785 Particle Swarm Optimisation of a Terminal Synergetic Controllers for a DC-DC Converter

Authors: H. Abderrezek, M. N. Harmas

Abstract:

DC-DC converters are widely used as reliable power source for many industrial and military applications, computers and electronic devices. Several control methods were developed for DC-DC converters control mostly with asymptotic convergence. Synergetic control (SC) is a proven robust control approach and will be used here in a so called terminal scheme to achieve finite time convergence. Lyapounov synthesis is adopted to assure controlled system stability. Furthermore particle swarm optimization (PSO) algorithm, based on an integral time absolute of error (ITAE) criterion will be used to optimize controller parameters. Simulation of terminal synergetic control of a DC-DC converter is carried out for different operating conditions and results are compared to classic synergetic control performance, that which demonstrate the effectiveness and feasibility of the proposed control method.

Keywords: DC-DC converter, PSO, finite time, terminal, synergetic control.

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2784 Torrefaction of Biomass Pellets: Modeling of the Process in a Fixed Bed Reactor

Authors: Ekaterina Artiukhina, Panagiotis Grammelis

Abstract:

Torrefaction of biomass pellets is considered as a useful pretreatment technology in order to convert them into a high quality solid biofuel that is more suitable for pyrolysis, gasification, combustion, and co-firing applications. In the course of torrefaction, the temperature varies across the pellet, and therefore chemical reactions proceed unevenly within the pellet. However, the uniformity of the thermal distribution along the pellet is generally assumed. The torrefaction process of a single cylindrical pellet is modeled here, accounting for heat transfer coupled with chemical kinetics. The drying sub-model was also introduced. The nonstationary process of wood pellet decomposition is described by the system of non-linear partial differential equations over the temperature and mass. The model captures well the main features of the experimental data.

Keywords: Torrefaction, biomass pellets, model, heat and mass transfer.

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2783 Survey on Energy Efficient Routing Protocols in Mobile Ad Hoc Networks

Authors: Swapnil Singh, Sanjoy Das

Abstract:

Mobile Ad-Hoc Network (MANET) is a network without infrastructure dynamically formed by autonomous system of mobile nodes that are connected via wireless links. Mobile nodes communicate with each other on the fly. In this network each node also acts as a router. The battery power and the bandwidth are very scarce resources in this network. The network lifetime and connectivity of nodes depend on battery power. Therefore, energy is a valuable constraint which should be efficiently used. In this paper we survey various energy efficient routing protocols. The energy efficient routing protocols are classified on the basis of approaches they use to minimize the energy consumption. The purpose of this paper is to facilitate the research work and combine the existing solution and to develop a more energy efficient routing mechanism.

Keywords: Delaunay Triangulation, deployment, energy efficiency, MANET.

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2782 Power Transformer Noise, Noise Tests, and Example Test Results

Authors: E. Doğan, B. Kekezoğlu

Abstract:

Voltage level must be raised in order to deliver the produced energy to the consumption zones with less loss and less cost. Power transformers used to raise or lower voltage are important parts of the energy transmission system. Power transformers used in switchgear and power generation plants stay in human's intensive habitat zones as a result of expanding cities. Accordingly, noise levels produced by power transformers have begun more and more important and they have established itself as one of the research field. In this research, the noise cause on transformers has been investigated, it's causes has been examined and noise measurement techniques have been introduced. Examples of transformer noise test results are submitted and precautions to be taken were discussed for the purpose of decreasing of the noise which will occurred by transformers.

Keywords: Power transformer, noise measurement, core noise, load noise, fan-pump noise.

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2781 Wheel Diameter and Width Influence in Variability of Brake Data Measurement at Ministry of Transport Facilities

Authors: Carolina Senabre, Sergio Valero, Emilio Velasco

Abstract:

The brake systems of vehicles are tested periodically by a “brake tester” at Ministry of Transport (MOT) stations. This tester measures the effectiveness of vehicle. This parameter is established by the International Committee of Vehicle Inspection (CITA). In this paper, we present an investigation of the influence of the tire size on the measurements of brake force on three MOT brake testers. We performed an analysis of the vehicle braking capacity test at MOT stations. The influence of varying wheel diameter and width on the measurement of braking at MOT stations has been analyzed. Thereby, the MOT brake tester as a verification system for a vehicle has been evaluated.

Keywords: Brake tester, wheel diameter, Ministry of transport facilities.

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2780 Software Improvements of the Accuracy in the Air-Electronic Measurement Systems for Geometrical Dimensions

Authors: Miroslav H. Hristov, Velizar A. Vassilev, Georgi K. Dukendjiev

Abstract:

Due to the constant development of measurement systems and the aim for computerization, unavoidable improvements are made for the main disadvantages of air gauges. With the appearance of the air-electronic measuring devices, some of their disadvantages are solved. The output electrical signal allows them to be included in the modern systems for measuring information processing and process management. Producer efforts are aimed at reducing the influence of supply pressure and measurement system setup errors. Increased accuracy requirements and preventive error measures are due to the main uses of air electronic systems - measurement of geometric dimensions in the automotive industry where they are applied as modules in measuring systems to measure geometric parameters, form, orientation and location of the elements.

Keywords: Air-electronic, geometrical parameters, improvement, measurement systems.

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2779 One scheme of Transition Probability Evaluation

Authors: Alexander B. Bichkov, Alla A. Mityureva, Valery V. Smirnov

Abstract:

In present work are considered the scheme of evaluation the transition probability in quantum system. It is based on path integral representation of transition probability amplitude and its evaluation by means of a saddle point method, applied to the part of integration variables. The whole integration process is reduced to initial value problem solutions of Hamilton equations with a random initial phase point. The scheme is related to the semiclassical initial value representation approaches using great number of trajectories. In contrast to them from total set of generated phase paths only one path for each initial coordinate value is selected in Monte Karlo process.

Keywords: Path integral, saddle point method, semiclassical approximation, transition probability

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2778 Modeling of a Novel Dual-Belt Continuously Variable Transmission for Automobiles

Authors: Y. Q. Chen, P. K. Wong, Z. C. Xie, H. W. Wu, K. U. Chan, J., L. Huang

Abstract:

It is believed that continuously variable transmission (CVT) will dominate the automotive transmissions in the future. The most popular design is Van Doorne-s CVT with single metal pushing V-belt. However, it is only applicable to low power passenger cars because its major limitation is low torque capacity. Therefore, this research studies a novel dual-belt CVT system to overcome the limitation of traditional single-belt CVT, such that it can be applicable to the heavy-duty vehicles. This paper presents the mathematical model of the design and its experimental verification. Experimental and simulated results show that the model developed is valid and the proposed dual-belt CVT can really overcome the traditional limitation of single-belt Van Doorne-s CVT.

Keywords: Analytical model, CVT, Dual belts, Torque capacity.

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2777 An eighth order Backward Differentiation Formula with Continuous Coefficients for Stiff Ordinary Differential Equations

Authors: Olusheye Akinfenwa, Samuel Jator, Nianmin Yoa

Abstract:

A block backward differentiation formula of uniform order eight is proposed for solving first order stiff initial value problems (IVPs). The conventional 8-step Backward Differentiation Formula (BDF) and additional methods are obtained from the same continuous scheme and assembled into a block matrix equation which is applied to provide the solutions of IVPs on non-overlapping intervals. The stability analysis of the method indicates that the method is L0-stable. Numerical results obtained using the proposed new block form show that it is attractive for solutions of stiff problems and compares favourably with existing ones.

Keywords: Stiff IVPs, System of ODEs, Backward differentiationformulas, Block methods, Stability.

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2776 Japan’s Policy towards the Countries of Central Asia

Authors: R. Sadykova

Abstract:

This article analyses the peculiarities of Japan’s policy toward the countries of Central Asia. The increasing role of Central Asia in the system of international relations engendered an objective need for understanding of the policy of leading states, including Japan, in the region in the twenty-first century. The purpose of the study is to investigate the peculiarities of the formation and development of Japan policy in Central Asia and to identify the problems and prospects of Japan’s policy toward the countries of the region on the basis of experts’ opinions. In this article, the method of analysis of the situation and a systematic method were used. Prognostic methods, the collective expert assessment and scenarios were used in the study to determine the prospects of Japan’s policy toward the countries of Central Asia.

Keywords: Japan, Central Asia, the Eurasian concept, ‘Central Asia plus Japan’ Dialogue.

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2775 The Anti-Noise and Anti-Wear Systems for Railways

Authors: Brigita Altenbaher

Abstract:

In recent years there has been a continuous increase of axle loads, tonnage, train speed and train length which has increased both the productivity in the rail sector and the risk of rail breaks and derailments. On the other hand, the environmental requirements (e.g. noise reduction) for railway operations will become tighter in the future. In our research we developed a new composite material which does not change braking properties, is capable of taking extremely high pressure loads, reduces noise and is environmentally friendly. Part of our research was also the development of technology which will be able to apply this material to the rail. The result of our research was the system which reduces the wear out significantly and almost completely eliminates the squealing noise at the same time, and by using only one special material.

Keywords: Active protection, composite material, lubrication, noise reduction, reduction at source, railway.

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2774 Development of A Meta Description Language for Software/Hardware Cooperative Design and Verification for Model-Checking Systems

Authors: Katsumi Wasaki, Naoki Iwasaki

Abstract:

Model-checking tools such as Symbolic Model Verifier (SMV) and NuSMV are available for checking hardware designs. These tools can automatically check the formal legitimacy of a design. However, NuSMV is too low level for describing a complete hardware design. It is therefore necessary to translate the system definition, as designed in a language such as Verilog or VHDL, into a language such as NuSMV for validation. In this paper, we present a meta hardware description language, Melasy, that contains a code generator for existing hardware description languages (HDLs) and languages for model checking that solve this problem.

Keywords: meta description language, software/hardware codesign, co-verification, formal verification, hardware compiler, modelchecking.

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2773 Semi-Automatic Trend Detection in Scholarly Repository Using Semantic Approach

Authors: Fereshteh Mahdavi, Maizatul Akmar Ismail, Noorhidawati Abdullah

Abstract:

Currently WWW is the first solution for scholars in finding information. But, analyzing and interpreting this volume of information will lead to researchers overload in pursuing their research. Trend detection in scientific publication retrieval systems helps scholars to find relevant, new and popular special areas by visualizing the trend of input topic. However, there are few researches on trend detection in scientific corpora while their proposed models do not appear to be suitable. Previous works lack of an appropriate representation scheme for research topics. This paper describes a method that combines Semantic Web and ontology to support advance search functions such as trend detection in the context of scholarly Semantic Web system (SSWeb).

Keywords: Trend, Semi-Automatic Trend Detection, Ontology, Semantic Trend Detection.

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2772 Public Transport Reform in Indonesia, A Case Study in the City of Yogyakarta

Authors: Ahmad Munawar

Abstract:

The provision of urban public transport in Indonesia is not free of problems. Some of the problems include: an overall lack of capacity, lack of quality and choice, severe traffic congestions and insufficient fund to renew and repair vehicles. Generally, the comfort and quality of the city bus is poor, and many of the vehicles are dilapidated and dirty. Surveys were carried out in the city of Yogyakarta, by counting city bus vehicles and occupancies, interviewing the bus passengers, drivers and institutional staffs, who involve in public transport management. This paper will then analyze the possible plan to develop the public transport system to become more attractive and to improve the public transport management. The short, medium and long term plans are analyzed, to find the best solutions. Some constraints such as social impacts and financial impact are also taken into accounts.

Keywords: City bus, management, public transport.

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2771 Lithium Oxide Effect on the Thermal and Physical Properties of the Ternary System Glasses (Li2O3-B2O3-Al2O3)

Authors: D. Aboutaleb, B. Safi

Abstract:

The borate glasses are known by their structural characterized by existence of unit’s structural composed by triangles and tetrahedrons boron in different configurations depending on the percentage of B2O3 in the glass chemical composition. In this paper, effect of lithium oxide addition on the thermal and physical properties of an alumina borate glass, was investigated. It was found that the boron abnormality has a significant effect in the change of glass properties according to the addition rate of lithium oxide.

Keywords: Borate glasses, triangles and tetrahedrons boron, Lithium oxide, Boron anomaly, thermal properties, physical properties.

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2770 Analysis of Multilayer Neural Network Modeling and Long Short-Term Memory

Authors: Danilo López, Nelson Vera, Luis Pedraza

Abstract:

This paper analyzes fundamental ideas and concepts related to neural networks, which provide the reader a theoretical explanation of Long Short-Term Memory (LSTM) networks operation classified as Deep Learning Systems, and to explicitly present the mathematical development of Backward Pass equations of the LSTM network model. This mathematical modeling associated with software development will provide the necessary tools to develop an intelligent system capable of predicting the behavior of licensed users in wireless cognitive radio networks.

Keywords: Neural networks, multilayer perceptron, long short-term memory, recurrent neuronal network, mathematical analysis.

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2769 Minimal Residual Method for Adaptive Filtering with Finite Termination

Authors: Noor Atinah Ahmad, Shazia Javed

Abstract:

We present a discussion of three adaptive filtering algorithms well known for their one-step termination property, in terms of their relationship with the minimal residual method. These algorithms are the normalized least mean square (NLMS), Affine Projection algorithm (APA) and the recursive least squares algorithm (RLS). The NLMS is shown to be a result of the orthogonality condition imposed on the instantaneous approximation of the Wiener equation, while APA and RLS algorithm result from orthogonality condition in multi-dimensional minimal residual formulation. Further analysis of the minimal residual formulation for the RLS leads to a triangular system which also possesses the one-step termination property (in exact arithmetic)

Keywords: Adaptive filtering, minimal residual method, projection method.

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2768 MAP-Based Image Super-resolution Reconstruction

Authors: Xueting Liu, Daojin Song, Chuandai Dong, Hongkui Li

Abstract:

From a set of shifted, blurred, and decimated image , super-resolution image reconstruction can get a high-resolution image. So it has become an active research branch in the field of image restoration. In general, super-resolution image restoration is an ill-posed problem. Prior knowledge about the image can be combined to make the problem well-posed, which contributes to some regularization methods. In the regularization methods at present, however, regularization parameter was selected by experience in some cases and other techniques have too heavy computation cost for computing the parameter. In this paper, we construct a new super-resolution algorithm by transforming the solving of the System stem Є=An into the solving of the equations X+A*X-1A=I , and propose an inverse iterative method.

Keywords: High-resolution MAP image, Reconstruction, Image interpolation, Motion Estimation, Hermitian positive definite solutions.

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2767 An HCI Template for Distributed Applications

Authors: Xizhi Li

Abstract:

Both software applications and their development environment are becoming more and more distributed. This trend impacts not only the way software computes, but also how it looks. This article proposes a Human Computer Interface (HCI) template from three representative applications we have developed. These applications include a Multi-Agent System based software, a 3D Internet computer game with distributed game world logic, and a programming language environment used in constructing distributed neural network and its visualizations. HCI concepts that are common to these applications are described in abstract terms in the template. These include off-line presentation of global entities, entities inside a hierarchical namespace, communication and languages, reconfiguration of entity references in a graph, impersonation and access right, etc. We believe the metaphor that underlies an HCI concept as well as the relationships between a bunch of HCI concepts are crucial to the design of software systems and vice versa.

Keywords: HCI, MAS, computer game, programming language

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2766 Decision Support System for Hospital Selection in Emergency Medical Services: A Discrete Event Simulation Approach

Authors: D. Tedesco, G. Feletti, P. Trucco

Abstract:

The present study aims to develop a Decision Support System (DSS) to support operational decisions in Emergency Medical Service (EMS) systems regarding the assignment of medical emergency requests to Emergency Departments (ED). This problem is called “hospital selection” and concerns the definition of policies for the selection of the ED to which patients who require further treatment are transported by ambulance. The employed research methodology consists of a first phase of review of the technical-scientific literature concerning DSSs to support the EMS management and, in particular, the hospital selection decision. From the literature analysis, it emerged that current studies mainly focused on the EMS phases related to the ambulance service and consider a process that ends when the ambulance is available after completing a mission. Therefore, all the ED-related issues are excluded and considered as part of a separate process. Indeed, the most studied hospital selection policy turned out to be proximity, thus allowing to minimize the travelling time and to free-up the ambulance in the shortest possible time. The purpose of the present study consists in developing an optimization model for assigning medical emergency requests to the EDs also considering the expected time performance in the subsequent phases of the process, such as the case mix, the expected service throughput times, and the operational capacity of different EDs in hospitals. To this end, a Discrete Event Simulation (DES) model was created to compare different hospital selection policies. The model was implemented with the AnyLogic software and finally validated on a realistic case. The hospital selection policy that returned the best results was the minimization of the Time To Provider (TTP), considered as the time from the beginning of the ambulance journey to the ED at the beginning of the clinical evaluation by the doctor. Finally, two approaches were further compared: a static approach, based on a retrospective estimation of the TTP, and a dynamic approach, focused on a predictive estimation of the TTP which is determined with a constantly updated Winters forecasting model. Findings reveal that considering the minimization of TTP is the best hospital selection policy. It allows to significantly reducing service throughput times in the ED with a negligible increase in travel time. Furthermore, an immediate view of the saturation state of the ED is produced and the case mix present in the ED structures (i.e., the different triage codes) is considered, as different severity codes correspond to different service throughput times. Besides, the use of a predictive approach is certainly more reliable in terms on TTP estimation, than a retrospective approach. These considerations can support decision-makers in introducing different hospital selection policies to enhance EMSs performance.

Keywords: Emergency medical services, hospital selection, discrete event simulation, forecast model.

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2765 Curvelet Features with Mouth and Face Edge Ratios for Facial Expression Identification

Authors: S. Kherchaoui, A. Houacine

Abstract:

This paper presents a facial expression recognition system. It performs identification and classification of the seven basic expressions; happy, surprise, fear, disgust, sadness, anger, and neutral states. It consists of three main parts. The first one is the detection of a face and the corresponding facial features to extract the most expressive portion of the face, followed by a normalization of the region of interest. Then calculus of curvelet coefficients is performed with dimensionality reduction through principal component analysis. The resulting coefficients are combined with two ratios; mouth ratio and face edge ratio to constitute the whole feature vector. The third step is the classification of the emotional state using the SVM method in the feature space.

Keywords: Facial expression identification, curvelet coefficients, support vector machine (SVM).

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2764 Recovering the Boundary Data in the Two Dimensional Inverse Heat Conduction Problem Using the Ritz-Galerkin Method

Authors: Saeed Sarabadan, Kamal Rashedi

Abstract:

This article presents a numerical method to find the heat flux in an inhomogeneous inverse heat conduction problem with linear boundary conditions and an extra specification at the terminal. The method is based upon applying the satisfier function along with the Ritz-Galerkin technique to reduce the approximate solution of the inverse problem to the solution of a system of algebraic equations. The instability of the problem is resolved by taking advantage of the Landweber’s iterations as an admissible regularization strategy. In computations, we find the stable and low-cost results which demonstrate the efficiency of the technique.

Keywords: Inverse problem, parabolic equations, heat equation, Ritz-Galerkin method, Landweber iterations.

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2763 A High Order Theory for Functionally Graded Shell

Authors: V. V. Zozulya

Abstract:

New theory for functionally graded (FG) shell based on expansion of the equations of elasticity for functionally graded materials (GFMs) into Legendre polynomials series has been developed. Stress and strain tensors, vectors of displacements, traction and body forces have been expanded into Legendre polynomials series in a thickness coordinate. In the same way functions that describe functionally graded relations has been also expanded. Thereby all equations of elasticity including Hook-s law have been transformed to corresponding equations for Fourier coefficients. Then system of differential equations in term of displacements and boundary conditions for Fourier coefficients has been obtained. Cases of the first and second approximations have been considered in more details. For obtained boundary-value problems solution finite element (FE) has been used of Numerical calculations have been done with Comsol Multiphysics and Matlab.

Keywords: Shell, FEM, FGM, legendre polynomial.

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2762 First Aid Application on Mobile Device

Authors: Komwit Surachat, Supasit Kajkamhaeng, Kasikrit Damkliang, Watanyoo Tiprat, Taninnuch Wacharanimit

Abstract:

An accident is an unexpected and unplanned situation that happens and affects human in a negative outcome. The accident can cause an injury to a human biological organism. Thus, the provision of initial care for an illness or injury is very important move to prepare the patients/victims before sending to the doctor. In this paper, a First Aid Application is developed to give some directions for preliminary taking care of patient/victim via Android mobile device. Also, the navigation function using Google Maps API is implemented in this paper for searching a suitable path to the nearest hospital. Therefore, in the emergency case, this function can be activated and navigate patients/victims to the hospital with the shortest path.

Keywords: First Aid Application, Android, Google Maps API, Navigation System.

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2761 Position Awareness Mechanisms for Wireless Sensor Networks

Authors: Seyed Mostafa Torabi

Abstract:

A Wireless sensor network (WSN) consists of a set of battery-powered nodes, which collaborate to perform sensing tasks in a given environment. Each node in WSN should be capable to act for long periods of time with scrimpy or no external management. One requirement for this independent is: in the presence of adverse positions, the sensor nodes must be capable to configure themselves. Hence, the nodes for determine the existence of unusual events in their surroundings should make use of position awareness mechanisms. This work approaches the problem by considering the possible unusual events as diseases, thus making it possible to diagnose them through their symptoms, namely, their side effects. Considering these awareness mechanisms as a foundation for highlevel monitoring services, this paper also shows how these mechanisms are included in the primal plan of an intrusion detection system.

Keywords: Awareness Mechanism, Intrusion Detection, Independent, Wireless Sensor Network

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2760 Risk Classification of SMEs by Early Warning Model Based on Data Mining

Authors: Nermin Ozgulbas, Ali Serhan Koyuncugil

Abstract:

One of the biggest problems of SMEs is their tendencies to financial distress because of insufficient finance background. In this study, an Early Warning System (EWS) model based on data mining for financial risk detection is presented. CHAID algorithm has been used for development of the EWS. Developed EWS can be served like a tailor made financial advisor in decision making process of the firms with its automated nature to the ones who have inadequate financial background. Besides, an application of the model implemented which covered 7,853 SMEs based on Turkish Central Bank (TCB) 2007 data. By using EWS model, 31 risk profiles, 15 risk indicators, 2 early warning signals, and 4 financial road maps has been determined for financial risk mitigation.

Keywords: Early Warning Systems, Data Mining, Financial Risk, SMEs.

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