[Purpose] The purpose of this study was to examine the effects of group-exercise and individualized exercise programs on factors associated with physical function, activities of daily living (ADL), and quality of life (QOL) among nursing home residents. [Subjects and Methods] This study examined differences in changes of physical function, ADL, and QOL levels among participants undergoing 2 exercise intervention programs. The participants were drawn from a geriatric nursing home population and were randomly divided into 2 groups: group exercise intervention (n=14; mean age, 85.7 ± 3.9 years) and individual exercise intervention (n=12; mean age, 85.8 ± 7.8 years). Group therapy consisted of individualized rehabilitation along with a group outdoor walking program; individual therapy consisted of individualized rehabilitation alone. Physical function, ADL, and QOL levels were measured 4 times (approximately once per month). [Results] For both measures of QOL, an interaction was seen between the group exercise intervention group and the individual exercise intervention group. No interactions were seen between groups for physical function or ADL. [Conclusion] In designing a physical exercise program for residents in geriatric nursing home, it is important to conduct part of the program outside and to include social activity elements.