Rating of credit risk utilizing improved GRA with compound weight

Assessment of credit risk plays a dominated role in business decision making. Based on gray system and applied statistics, the improved GRA is developed to evaluate credit risk. Firstly, each level index´s weight can be calculated by integrating AHP with variation coefficient in order to lessen deviation of sole method. Secondly, the principle and procedure of modified GRA based on TOPSIS is expressed clearly. Thirdly, the empirical example of improved GRA is described by employing the corporation practical data, and the priority result of each one is illustrated. Finally, some tactics of controlling credit risk are suggested based on credit rating. The work demonstrates that the improved GRA with two opposite benchmark is superior to original model in practice.