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TaxCE addresses a critical bottleneck in scaling AI applications by automating the construction of high-quality, hierarchical taxonomies from unstructured feedback at massive scale. By integrating novel corpus-grounded evaluation metrics into an iterative refinement loop, this framework significantly outperforms existing classical, neural, and LLM-based baselines in organizing semantic units with superior granularity and actionability. This advancement is vital for improving the reliability of AI systems that rely on structured data extraction from reviews, transcripts, or surveys.
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TaxCE: A Framework for Automated Taxonomy Construction and Evaluation at Scale

arXiv2 min read

arXiv:2608.30614v1 Announce Type: new Abstract: Organizing unstructured feedback text into hierarchical taxonomy is a fundamental challenge in NLP, particularly in domains where feedback arrives at massive scale in varied forms such as reviews, transcripts, and surveys. Existing approaches either produce shallow hierarchies, neglect long-tail topics, or lack rigorous evaluation frameworks. We present TaxCE, a fully automated framework that constructs multi-level hierarchical taxonomies from raw text through progressive condensation of corpus content into actionable segments, deduplicated semantic units, and granular topics with definitions, which are then organized bottom-up into a hierarchy with corpus-groundedness. We also introduce three corpus-grounded evaluation metrics, Exclusivity, Exhaustivity, and Granularity (EEG), and integrate them into a metrics-in-the-loop iterative refinement mechanism that diagnoses deficiencies and applies targeted corrections until convergence. Extensive experiments demonstrate that TaxCE consistently outperforms existing baselines spanning classical topic models, neural methods, and LLM-based approaches, with average improvements of 11.8, 20.5, and 15.7 percentage points in exclusivity, exhaustivity, and granularity respectively over the strongest baseline. Human evaluation further confirms superior taxonomy quality, actionability, and navigability.

Abstract:Organizing unstructured feedback text into hierarchical taxonomy is a fundamental challenge in NLP, particularly in domains where feedback arrives at massive scale in varied forms such as reviews, transcripts, and surveys. Existing approaches either produce shallow hierarchies, neglect long-tail topics, or lack rigorous evaluation frameworks. We present TaxCE, a fully automated framework that constructs multi-level hierarchical taxonomies from raw text through progressive condensation of corpus content into actionable segments, deduplicated semantic units, and granular topics with definitions, which are then organized bottom-up into a hierarchy with corpus-groundedness. We also introduce three corpus-grounded evaluation metrics, Exclusivity, Exhaustivity, and Granularity (EEG), and integrate them into a metrics-in-the-loop iterative refinement mechanism that diagnoses deficiencies and applies targeted corrections until convergence. Extensive experiments demonstrate that TaxCE consistently outperforms existing baselines spanning classical topic models, neural methods, and LLM-based approaches, with average improvements of 11.8, 20.5, and 15.7 percentage points in exclusivity, exhaustivity, and granularity respectively over the strongest baseline. Human evaluation further confirms superior taxonomy quality, actionability, and navigability.

Computation and Language (cs.CL)

arXiv:2608.30614 [cs.CL]

(or arXiv:2608.30614v1 [cs.CL] for this version)

https://doi.org/10.48550/arXiv.2608.30614 Focus to learn more arXiv-issued DOI via DataCite (pending registration)

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Full text under the publisher's open licence · 260 words

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