Welcome to the inaugural issue of AI Journal of Business, a platform dedicated to exploring the dynamic intersection of artificial intelligence (AI) and business. As the Founding President of AI Business Academy, the institution behind this journal, I am honored to present our first edition and share the vision that guides this publication.
We are living in an era where artificial intelligence is reshaping industries, redefining business models, and transforming decision-making processes. No longer a distant concept, AI has rapidly evolved into a vital force driving innovation across the global economy. From data-driven insights to automation, from personalized customer experiences to intelligent supply chains, the applications of AI are vast and continue to grow at an unprecedented pace.
However, amid this transformation, it has become clear that there is a need for a dedicated forum where business leaders, academics, and researchers can come together to share knowledge, ideas, and innovations that will drive the future of business. The AI Journal of Business was born from this need—a commitment to providing a premier platform for the exchange of groundbreaking research, case studies, and critical discussions around the role of AI in business.
We are living in an era where artificial intelligence is reshaping industries, redefining business models, and transforming decision-making processes. No longer a distant concept, AI has rapidly evolved into a vital force driving innovation across the global economy. From data-driven insights to automation, from personalized customer experiences to intelligent supply chains, the applications of AI are vast and continue to grow at an unprecedented pace.
However, amid this transformation, it has become clear that there is a need for a dedicated forum where business leaders, academics, and researchers can come together to share knowledge, ideas, and innovations that will drive the future of business. The AI Journal of Business was born from this need—a commitment to providing a premier platform for the exchange of groundbreaking research, case studies, and critical discussions around the role of AI in business.
Latest Publication (Vol. 2, No. 1, Nov. 2025)
A Study on Anomaly Detection and Hybrid Forecasting Model Using Underground Stormwater Pipe Water Level Time-Series Data for Urban Flood Prediction
Jang-won Lee Nak Hyun Jung
As urban flooding risks intensify due to climate change, developing accurate and real-time predictive systems has become critical for disaster
preparedness and response. This study proposes an AI-based flood prediction model that leverages real-time rainfall and inflow water level time-series
data. The system consists of two core modules: an anomaly detection and auto-correction module to ensure data reliability and quality, and a deep
learning-based time-series forecasting module for predicting inflow levels based on rainfall trends.
The anomaly detection module employs a reconstruction error method based on Long Short-Term Memory (LSTM) networks to identify abnormal
data points that deviate from normal time-series patterns. Detected anomalies are corrected via linear interpolation, where the anomalous data points are
removed and replaced with new values estimated from surrounding normal data points.
The forecasting module, built upon the LSTM architecture, captures complex rainfall-runoff relationships and temporal dynamics to provide
accurate water level predictions. Additionally, hybrid models including ConvLSTM and LSTM-Transformer were designed and evaluated for
comparative performance.
Experimental results demonstrated that the proposed system achieved over 95% accuracy in anomaly detection and correction. On real-world
datasets, the LSTM model outperformed baseline methods, achieving a Mean Squared Error (MSE) of 0.000089, a Mean Absolute Error (MAE) of
0.006778, and a high R2 score of 0.972614. These results suggest the model's potential to enhance the reliability and efficiency of urban flood response
decision-making and to contribute to the strengthening of disaster management capabilities.
A Hybrid Ensemble Framework for Privilege Anomaly Detection in Multi-Cloud Environments
Chi-Sung Kim
With the rapid expansion of cloud computing, privilege abuse and escalation attacks in multi-cloud environments are emerging as a core security
threat for organizations. Existing research shows limitations due to a lack of context from reliance on single data sources and the constraints of simple
ensemble structures. To overcome these limitations, this study proposes a large-scale, multi-modal hybrid ensemble framework that integrates a total of
884,912 rows of data from the IBM Cloud Dataset, Microsoft Cloud Monitoring Dataset, and flaws.cloud CloudTrail data.
The research methodology is as follows: (1) Large-Scale Data Integration: A total of 2,204,017 rows of raw data collected from three platforms were
refined into an analysis dataset of 769,454 rows through time synchronization and 5-minute window aggregation. (2) Hybrid Ensemble Architecture:
Isolation Forest, which is robust for outlier detection in high-dimensional data, and LSTM, specialized for learning sequential event patterns, are
combined on a weight-based basis to simultaneously learn spatial and temporal anomaly patterns. (3) Multi-modal Feature Fusion: Infrastructure metrics,
time-series service data, and privilege events were integrated to construct 15 standard feature vectors.
In the experimental results, the proposed hybrid ensemble model recorded an ROC-AUC score of 0.721, showing superior overall performance
compared to individual models. In particular, it demonstrated overwhelming performance in the Precision-Recall Curve analysis compared to other
models, proving that it achieved a balance between reducing false positives and detection efficiency, which is crucial in real-world security environments.
Furthermore, by explaining the model's prediction results through SHAP (SHapley Additive exPlanations) analysis, it secured transparency that allows
security analysts to trust and act upon the findings.
Research on how to increase user engagement of Korean AI tutoring service using token economy
Choe Su
While AI tutoring has strengths in personalization, it is limited by a lack of emotional and social interaction to keep learners engaged. To
address this issue, this research proposes a new model that fuses AI tutoring with blockchain-based “token economy” and “gamification”. The
token economy provides rewards for learning activities and community contributions (extrinsic motivation), while gamification provides the
fun and sense of accomplishment of the learning process itself (intrinsic motivation). The synergy of these two elements aims to build a
sustainable learning ecosystem by transforming learning into a “value-creating activity” rather than a mere obligation.
Causal Policy Analysis in Financial Time Series Using Deep Learning X-Learner
Taeyeon Oh Joongho Chang
This study employs the X-Learner algorithm with deep learning models (MLP, LSTM, GRU, CNN) to causally estimate
performance differences between cyclical (T=1) and defensive (T=0) asset classes in financial time-series data. The results show
that the MLP-based policy achieved a Sharpe ratio of 0.440, while the LSTM-based policy improved to 0.990, outperforming T1
(0.880) and T0 (0.493). These findings indicate that incorporating temporal dependence through LSTM enhances causal policy
learning. By reframing asset allocation as a causal decision-making problem rather than a predictive task, this study provides a
foundation for interpretable and adaptive investment strategies in financial markets.
Enhancing Stock Price Prediction using StockGPT: An Empirical Study on the Effectiveness of Macroeconomic Indicators
Jieun Oh
This study explores the enhancement of stock price prediction using StockGPT, a transformer-based generative model, by
integrating macroeconomic indicators and feature engineering techniques. Using data from U.S. tech stocks and the S&P 500
index, the proposed model demonstrated approximately a 1.16% improvement in RMSE over the baseline. Feature importance
analysis using Permutation Importance revealed that the lagged USD Index and the moving average of WTI oil prices significantly
contributed to prediction accuracy. The findings underscore the practical impact of incorporating structured external variables
into generative models and offer insights into interpretable financial forecasting.