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Data Mining Report

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Data Mining Report

Uploaded by

jimuellemedina30
Copyright
© © All Rights Reserved
Available Formats
Download as PDF, TXT or read online on Scribd
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DATA MINING

Melvin Dupaya
Carlos Justin
Jimuelle Medina
Kyle Placido
Inoh Viray
WHAT IS DATA
MINING?
The process of using computers and automation to
search large sets of data for patterns and trends,
turning those findings into business insights and
predictions.
The information obtained should be such that is can be
used in any organization/ enterprises for business
making:
WHY DATA MINING?
Lots of data is being collected within
organizations such as banks, on e-commerce
based stores and it's stored / warehouse
The need to explore the data and find
possible solutions to known problems may
arise. These solutions may be in form of a
pattern based on previous data, in this case
the knowledge obtained may enhance good
decision making in organizations hence why
data mining is needeed
APPLICATION OF DATA MINING
INDUSTRY APPLICATION

FINANCE CREDIT CARD ANALYSIS

INSURANCEE CLAIMS AND FRAUD ANALYSIS

TELECOMMUNICATIONS CALL RECORD ANALYSIS

CONSUMER GOODS PROMOTION ANALYSIS

SCIENTIFIC RESEARCH IMAGE, VIDEO, SPEECH

TRANSPORT LOGISTICS MANAGEMENT


COMPONENT OF
DATA MINING
DATA SOURCES DATABASE SERVER DATA MINING ENGINE
The actual data source is a data The original data ready to be It performs all kinds of data
warehouse, World Wide Web processed is maintained by the mining techniques like
(WWW), database, text files, Database server. Majorly association, characterization,
and other documents. handles data retrieval classification, regression,
processes as per user requests. prediction, clustering, etc.
COMPONENT OF
DATA MINING
PATTERN EVALUATION GRAPHICAL USER KNOWLEDGE BASE
responsible for finding INTERFACE It might be helpful to guide the
interesting patterns in the data, a digital interface in which a search or evaluate the stake of
which could make data user interacts with graphical the result patterns. The
comparatively better quality. components such as icons, knowledge base may even
buttons, and menus contain user views and data
from user experiences that
might be helpful in the data
mining process.
STEPS IN DATA
MINING
1.DATA INTEGRATION
This involves combining data residing in different sources and providing
users with a unified or combined view of these data.

2. DATA SELECTION
This is the process of determining the appropriate data type and source as
well as suitable instruments to collect data.

3. DATA CLEANING
Data cleaning is the process of detecting and correcting corrupt or
inaccurate records from a set, table or database and refers to
identifying incomplete, incorrect, inaccurate or irrelevant part of data and
replacing, modifying or deleting the dirty data.
4. DATA TRANSFORMATION
Data transformation converts a set of data values
from the data format of a source data system into the data format of a
destination data system
5. DATA MINING

Here techniques are applied to extract data or patterns of interest of which


decisions will be made.

6. PATTERN EVALUATION
In Pattern evaluation patterns are identified and analyzed based on given
measures.
7. KNOWLEDGE PRESENTATION

This is the final phase in which the discovered knowledge is visually


represented to the user. This phase uses understandable techniques to help
users understand and interpret the data mining results.
DATA MINING
DIAGRAM BASED ON A
KNOWLEDGE
DISCOVERY IN DATA
BASES
ADVANTAGES OF
DATA MINING
MARKETING OR RETAILING
Data mining helps marketing companies build models based on historical data to
predict who will respond to the new marketing campaign etc. through the results markets
will have an appropriate approach to selling profitable products to target customers.
Appropriate production arrangements can be made based on marketing analysis and
in that way customers can buy products frequently.

BANKING OR FINANCE
Data mining gives financial institutions. information about loan information and credit
reporting.
By building a model from historical customer's data, the bank, and financial institution
can determine good and bad loans. Moreover, data mining helps banks detect fraudulent
credit card transactions to protect credit cards owner.
ADVANTAGE OF
DATA MINING
MANUFACTURING
Applying data mining in operational engineering data, manufactures can detect faulty
equipment and determine optimal control parameters.

GOVERMENTS
Data mining helps government's agencies by digging and analyzing records of the
financial transaction t build patterns that can detect money laundering or criminal
activities.
DISADVANTAGES OF
DATA MINING
PRIVACY ISSUE
The use of the internet with social networks, e-commerce, forums, blogs etc. raise a lot
of privacy concerns, people are afraid of their personal information is collected and used
in an unethical way that potentially causes them trouble.

SECURITY ISSUE
Businesses own information about their employees and customers including social
security numbers, birthdays, payroll etc. incase hackers access and steal the data of
customers so much personal information may lead to an unsafe environment especially if
the information obtained involves finances.

MISUSE OF INFORMATION
Information may be exploited by unethical people or businesses to take advantage of
vulnerable people or discriminate against a group of people.
Data mining techniques are also inaccurate meaning if inaccurate information is used
for decision making then it may cause serious consequences.
THANKYOU!

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