Data Mining - correct answersThe nontrivial process of identifying valid, novel, potentially useful, and
ultimately understandable patterns in data stored in structured databases
Why Data Mining? - correct answers- More intense competition at the global scale
- Recognition of the value in data sources
- Availability of quality data on customers, vendors, transactions, Web, etc.
- Consolidation and integration of data repositories into data warehouses
- The exponential increase in data processing and storage capabilities; and decrease in cost
- Movement toward conversion of information resources into nonphysical form
Data Mining Characteristics/Objectives - correct answers- Source of data for DM is often a consolidated
data warehouse (not always!).
- DM environment is usually a client-server or a Web-based information systems architecture.
- Data is the most critical ingredient for DM which may include soft/unstructured data.
- The miner is often an end user.
Striking it rich requires creative thinking.
- Data mining tools' capabilities and ease of use are essential (Web, Parallel processing, etc.).
Data - correct answersa collection of facts usually obtained as the result of experiences, observations, or
experiments
What Does DM Do? - correct answersDM extracts patterns from data
Types of patterns - correct answers- Association
- Prediction
- Cluster (segmentation)
- Sequential (or time series) relationships
Time-series forecasting - correct answersPart of sequence or link analysis
Visualization - correct answersAnother data mining task
Types of DM - correct answers- Hypothesis-driven data mining
- Discovery-driven data mining
Data Mining Applications - correct answers- Customer Relationship Management
- Banking & Other Financial
- Retailing and Logistics
- Manufacturing and Maintenance
- Brokerage and Securities Trading
- Insurance
Data Mining Process - correct answers- A manifestation of best practices
- A systematic way to conduct DM projects
- Different groups have different versions