Fall 2024
Homework 12
Question 18.1
Describe analytics models and data that could be used to make good recommendations to the power
company.
Here are some questions to consider:
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The bottom-line question is which shutoffs should be done each month, given the capacity
constraints. One consideration is that some of the capacity - the workers’ time- is taken up by
travel, so maybe the shutoffs can be scheduled in a way that increases the number of them
that can be done.
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Not every shutoff is equal. Some shutoffs shouldn’t be done at all, because if the power is left
on, those people are likely to pay the bill eventually. How can you identify which shutoffs
should or shouldn’t be done? And among the ones to shut off, how should they be prioritized?
Think about the problem and your approach. Then talk about it with other learners, and share and
combine your ideas. And then, put your approaches up on the discussion forum, and give feedback
and suggestions to each other.
You can use the {given, use, to} format to guide the discussions: Given {data}, use {model} to {result}.
Have fun! Taking a real problem, and thinking through the modeling and data process to build a good
solution framework, is my favorite part of analytics.
Problem Statement:
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Which customers need to get their power shutoff
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How to prioritize shutoffs
How to shutoff the most efficiently with worker constraints
The data needed:
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Customer Data (Demographics, payment history, usage patterns)
Geographic Data (Location of customers, distance from workers, travel time, customers per
geographic location)
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Operational Data (Worker schedules, worker wages, lost revenue, time needed to shut off one
provider)
Payment Data (Prior data of customers who ended up paying after shutoffs)
The models possibly used:
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Predictive Models (K-nearest neighbors)
To determine which customers will pay their bill after they are shutoff.
Optimization model (Linear or Integer Programming)
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Using worker schedule constraints to optimize the schedule of workers and their travel.
Also optimize the amount of shutoffs that should be done first over others.
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Time Series Analysis (ARIMA)
For the customers that have not paid their bill, we can use ARIMA to take into account if
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