This study is aimed at investigating the anisotropy of shape memory effect in Fe-based alloy. An Fe-15Mn-3Si-4Co-5Cr alloy was cold rolled by 92%, and annealed at 630℃ for 46 min. The alloy undergoes γ→ε→α’ transformation by cold rolling and γ is restored with a major preferred orientation of (110)γ[001]γ by the annealing. The specimens for shape memory effect and tensile test were taken 0, 45, 70, 80 and 90 degs to the rolling direction. The specimen taken along 70 degs to the rolling direction exhibits the best shape memory effect. An analysis of the (110)γ[001]γ texture reveals that the specimen experiences the deformation along [221]γ which is the most expandable direction in the γ→ε transformation. In tensile test, the best SME specimen shows the lowest yield stress, indicating that the transformation take place most easily since the deformation is applied to the preferential direction to the deformation.