This paper suggests an integrated method based on rough sets for discovering useful knowledge from a large databse. Our approach applies attribute-oriented concept hierarchy ascension technique to extract generalized data from actual data in database, induction of decision trees to measure the information gain, and knowledge reduction method of rough set theory to remove superfluous attributes and attribute values. The integrated algorithm first reduces the size of database through the concept generalization, reduces the number of attributes by means of eliminating condition attributes which have little influence on decision attribute, and finally induces simplified decision rules by removing the superfluous attribute values by analyzing the dependency relationships among the attributes.