Title
Predicting financial distress: a case study using self-organizing maps
Abstract
In this paper we use Kohonen's Self-Organizing Map (SOM) for surveying the financial status of Spanish companies. From it, we infer which are the most relevant variables, so that a fast diagnostic on their status can be reached and, besides, explained via a few rules of thumb extracted from the behavior of those variables. This map can be used as part of a decision making process, or as a first stage in an automatic classification tool. Results show that variables, identified in an easy and visual way (using SOM and U-Matrix graph), are in agreement with those obtained using parametric and non-parametric tests, which are more complex and difficult to apply.
Year
DOI
Venue
2007
10.1007/978-3-540-73007-1_93
IWANN
Keywords
Field
DocType
u-matrix graph,financial status,self-organizing map,automatic classification tool,spanish company,financial distress,relevant variable,non-parametric test,case study,decision making process,rule of thumb
Data mining,Graph,Computer science,Self-organizing map,Bankruptcy prediction,Parametric statistics,Rule of thumb,Artificial intelligence,Business failure,Decision-making,Financial distress,Machine learning
Conference
Volume
ISSN
Citations 
4507
0302-9743
3
PageRank 
References 
Authors
0.41
6
4
Name
Order
Citations
PageRank
A. M. Mora19910.00
J. L. Laredo2695.89
P. A. Castillo313413.95
J. J. Merelo436333.51