CHAPTE R - ( 6 1 ) :

*Whett is Buiness Analytic7

Davenport BA c c n b e dofined
aS
Thoma H

h e bread u s e odatta 2 9quartitctive

analsiS o r decibion making oithn
organization.

*Bigdeta bas dollosine propertTes

-Nolume -Nerecit
Veriev - Value
- Nelaci
B Aî s the proceSS afcollatingi socing
data
using 2
processing 2 studuio9 butiness
statistical mcolels 2 iterative methodologies
ransformn dotta iato Lusinese insights-
*Wb BA2
Encouroqe makog
smert decision-
Provides clear insights thraugh data
9
visuclization
Eeeps ou updaled
ffereficienc
KTPes of BusineSS Analtics
1 Descripiive di
2 Diaq nostic
ppen
3) Preslic-tive
Prescriptive
*DESCRIPTIVE ANALYTICS

AiS a stalisticol method LhA

o search 2 Summarì z e
hisorce
inovde o idert7patbevns on
Also providcs badS Hor predtctive
ive a
prescriptive enaltics t iovolves
Tepovts 3 business dashbcerds Mer eveotine
oncdionable insights AC
eel o e auy cmer
(Naned,0r elevod,IA
te
oval CNome Ors
rinely yced)
Namas)
PRE DICTIVE ANALYTICS
PredTetS Rsure EventS
-

Machine Learringqu Deep

alhat uill happea learning AL

in h e Putuve
t Sale ef abe h a r
Porecotingl
PAESCRPTIVE ANALYTICS
What actions lo be
aee. to echieye
pvedictaed vests ?
79est actions p o E î ble result

ieence crf AnalîcS in Decltin

MalciOT
Aep's-e erndve hurnan
) ective bîcs
foundaion- deci
i S a naking
BUSINESS INTELLIG,ECE
A the preces,\cchnology ond eol shich
helps uS chonge lota lnte inorinationbs
inlor mation 1lo lknOoledge knouoledge
io plans lhet gutde organizetion
Technelogies fer gtherin storing
anal zing 2 providîng occess o deta to help

enterprise usevs naee better buSine

decision
CHARACTERISTICS
A Single poin eaccess te inlermation
Dmelansees te BusinesG gueStionS
a)Vsing BL in all depatnentS f an

organizaion
KEY STAGES
ADate aoing
Data Analsis
2 SituctionAoarness
4 Risle analysls -
s) Decision euppori
B HELPS To AAALYSE
Changinq \rcods lo market cbove
Changes în customev behaviour &
ependiq patterns
Cusomev preerenceS
Conp.an ccpabiliiies.
merket condTHionS:
Bett.ev Deciion Malking
 9>hiçh items sells tofether
4he past o o p r e l t t 4he
5) See
) o Help i lenoO about e r g t Ve
custome
a eas detta access
O) Quick
DATA

1S a aat. represcntSion splete

n
eds Deta ore the ecS he sorid.
Data represert a cuuctued codilicetito
single prino catties,a ss e l l s
otvnLadionsîaalvirg 2/more primon
ctttes
INEOBMATION:
H S the ottcams etrachon 2
proteseing aciviies cavried out' oa
sdeta & ppearS mearinalJor hese
o o recciMe t i o dómeio
specic
*KNOKILE DGnE
Jofornstion îS
trensfornediao lcnoN
ohen jD used 4s make deciei
evelop tha
corvespondtag action
ABCHITECT ORE OP P

peveOna MHidinc

l 7ticS cibas
ExplsFatoyci
anorsi
T m e Se
YOrkAing analsiS
mining)
Dap i i z a i C P
O

Tesl
MAJOB COMPOANENTS OP BI

a Data uarehouse a Data narts

a lMethadelegie>
DATA SOURCES:
n e tsoga, it iS necess.an ogather
2 integrate h e dsta atorea io the varics
prime 2seconalan sourcesycohîch are
heierogenecous in_origio2 t7pe The
Sources consTGt Jor the nOst pct e
dtobelonging is operationel stems
b nay alo îoclude unsteuctured
documeits, such es email 2 dat
Veccived lvom excteynel proyislere
0ATA IAAREHOUSES 2 DATA MARTS
No ETL (ataction,tvensorn,laead) the
sleta originaing dve the dtHerett
Sources are stOrad n aotabases îctendedJ
do suppot business iatelligence Ana1
These detabases are uSually releryed io
as deta coarehoudes 2 data mats
B METHODOLOalES L
Deta are -Anally extvacted 2 used lafecd-}
mathematica modlele aanalrsi
nethodo leges intended Ao suppert decision
nalevS: Io_e baeinese
intellîqence
te sevetal slecido suppcoFt applicenoa
eppacACe> may oe implemested-
 Mainrou OnoTL
OPT

Deeci Si O n
plimizalioh

ZCchpcig
Dals

D DA
Cstellcd
D c 1Ave
tMuHT nsionalc a lo

4 Lepeationel datedacucrlS.
DATA EXPLORATLON' S9

o nocrnetive seareh sshîcb is sed

b d e a consumer Ae f e r m r e e 2 vuu
O n a l s i r o m the înernation collected. t
IS o b o t descibing the data b neens ef
tatis4Tcal 2 visualizat+on technlgues. We

explore data ioorde to oring opoten

ospects ef lhet d a t e nte decus fo

Huthev analsis. QAen data s qotheras.

in a non-vî_id or)convoled mannev

lorge bulll
DATA MININn
h a s chose lo be based an he p e
buiness 2 ihe t1pe ef pralolen j
u i nc oces: A.enealized
preac

opp
C Lo be_used Jnmprove the e minl7
2 ccst data
efeclivenesS fusing
cchnigue
 OPTIM12ATION
allocas us detenine he best
soldibn out f a set f alternative
ecion shîch is usuall feirly extensivee
2 scnetimes even innite

*DATA IMGESTION :
he prokess el inportiog, transfarring
loadinq 2 precessing data ar later use o
storage in dabakcse.
A TE incelyes conhecting to varîous data
sOurceextrating the dato 2 detecting
changed data
a Dava ingestion subsystems heed toJetch
- dete uom veríetr al scurces siach as
BDBMS,secial media etc.
e CHALLENGGES
A Miple source ingestion
Streaming/l Real-timne satta
ed 3 Speed af ingestion
4 Volume ef dlata
Change detection
KEY PONCTIONSS
Deta ingest+on proceS begis b prionti2in9
dota sources
V
valîdating indidual iles 2
rouin9 deta items do the covr'e&
desbin artion
Collection e D t Jrom he socuice
aFiMering
Route to ene/mene data stret
 CHAPTER-(a)

Diag O 1G
*redictive Arclices
Predct+ng an outcom

Uses lslstor+cal info mertiOn o pedit

a solkctîon
Canincorporate _elemeits_of AL
PROCESS
De hne Unsderstcne,
Obiechve LDotta Pcepore
Dao
Monito Depl&T| a r e l s
Perdormance Mcdd Models/
AnaLze|
PeuHS
TYPES OF MODELS
ILinear Mdels deseribe velTor
relaiortP 5/
/mere îdcbensr Varicoks
»eneraized AddIve
Model1
eNesion
u e O mosel Veloatiohp
via Kegvession "
2/more SponteS meaSurel cleaorica) depedorl
S Vival
AnalysiSmnel ne d
s Decision Tree
leaminq
Baesian Methods
escva Netoorks
2Mernor- Based
easoni
Genetîe
Agorithms
 OPPORTONITIES
A)Enhance custo-nev service
a Acqi re rmore pro{itable custoners
a Predict enployee pevlomance
4 Sell more products 2 se/vices o existing
customers.
s>Retain prolitalole custonevs longsv
Manage riskJronveudulert ectivitz
Identifq pattevns in behaviour
8Reaourme optimi2ationo
CHALLENGGES
AS Cost _ Acguving data analyties expes
a) Cost of commevcial sotcocve
B> Ovey- reliance en the resuts ef sotcore
4) Lack skill 2 understanding
Hechnoleo1J
s)Leck ef understendiog atiness
potential

Presdictive Analtics ore increasingl7 imgctent

cdinedses asthe become mone2

cicntic in heir saleprocesses Most

companies eollect loge amounts adatoa
pvedictive tools olloo sales amavketin?
e n o cppl Ahot hîtorical data to.
u r e event inovder to boost h e i r
tcienC,scVe time ,mone a drive mOre
Seles:
*PRESCRIPTIVE ANAL TICS
statisticol merthod usel
A 1s cn

2 hel
generate
r a c o m r n e n s a t

ralre
i o n s

based on the cornpctatisna

decisiorns

inins agorithnic naaa.medei

h e best c o .
4 Jocuses onindin
a c t i o n in a cehoYiO gives h e
avcilicLle dote t isrelotted t
both desciptive analticS 2 predich

analtic but emphasi2es onable

intights Instecd of dlata noni toring.
TOOLS
Garaph anal7sS
)Simulation
3) Complex eveit_proceSSin9 -
4Neural Netuoorks
S>Recommendations Engines
6) Heur1stics
Mechine Learning

Prescr ipive Arnaltics lies io donding he

igt Y o ev rive et he solutioo
he saa yeu have ns
on hand dt begin
oith
1
ackhooledging he act taet
problen 4hat requires. o
solto
ADVANTAGES
JGyenerction eNenue.
3 Manaqenent ef Gav oss
Recuction ot Expermses Margins
USES N BUSINESS
AOrgoanizateon use preseviptive analt+cs
technigues lo decide optinun sourcing
locaionslogistics route 2 optinu
7uontitq to reduce expenscS 2 seve costs
a Aconsiders vav+ous factors like doDand
2 uppl position in the narketthereer
ensurinq lo hold the ight levels invento
t o enSure pvoper capital tilizction-
NEED IN BONESS
Calcclete past soles af prcdct o
deterine h e relacenents
a Knoo the tendanc of customevs in
ceadn preducts to aunch merketing
ccmpeigns, acerding o uers needs.

3 Prcdict_eguipment failurescahich provids

or meiAtenace at the ight tine
4 n o e ccisoners purchaing habits &

punctuality poymext e detevie

ohether it 1sapproprîate i e guent credit
BENEFTS
stvotegic
A Optin)zálion_ pvacesseS enpaignS,
2)Mnnizes meintenance needds A
ioercomnects h e n o r bettec conslitions
2 Reduce costs ilhaut ojfecting perorrmants
4 4 incveases -he Rleelihood that ompenies
-loPproach A plon As ialevnal sOLsth

Prpre
 zttion
Producli on oplimi
Efcient suppl-chan menogeme
uDpr oved_custone Service
iente
*DATA ETHCS
code obehaior tht
JA i s
ohet 1
c

accepttable Vs unateptable
describ
DaBa acgision, genecation,collecti
uSua9e, di>seminstionetc-
Applicction of datoa n algbritthms i2 ncsde
ariJicial agests,nach+ne leainingrobs
et
operaiens,nckuding proqramniagheckins
rescarch, developneat ec-
NEED
A Dotta i poLaer|l 2 cen be usedOr
good io ever orgasization-
a

ay Aith qrest poaer c o r g e at

responsibil1ty
3 he line bet aeen shet is a
goos use
daa2 shat is a bad uie t
TSboth hib & luAY
4 e ve in enine Aorld,A
an ve
One

I
Hected lo using data ib all Tts-
ormett...

i n rmobil ahelsePp
 CHAPTER-63

MACHINE LEARNING
+ 1 a branch Al shich ime
create
intelligert tems hichido
human like jobs b lcer
ning om a 1..
iot
relevant dcala
heve a r e pottevns in the
doto fo
dato
doin9 l a e 2 oe cannot
nen represet+
naathenoticallt So euse ML
to automocticoall leavn those
mathemati
representations qf pottteynS rom dato
nerde Jn athev ocrds to
Ahe ability to learn gve compiter
oithout beîng
expicitly progvamcned
ML oor ks in
3 derest qpes
ASupervises Leaming epi
3Onpevvised Learsing
8) Reiaorcement Learnin9
APPLICATIONS
YoibeAdViceo
a)oogle Search ke'alod
Facelook | ivicrd C eslion
ML lorkFloo
4 Dat a
Onctheving aDeta
Clecnin
Feature
Extvoct?on

sPredictio Model
Tranin9
Derlcoid
MObELS
CRISP DM Methodologg-

PHASES
A)Business Understandinq
ay Dota Onderstandin9
a) Dato Peepoa Preparation
4Modelling
s) Eveluotion
a
DeplemeitP
De eyrmne P ne
Sest eSrteeon

A
 Seie
Test the Model
Cveate the Model,
)AsSe e Madel
Klhat iS moe9

mptifiod deser
(r)proceSS to_assistTScalculs om
Predictions"A neclel

Vartable sc lection
Modcl selection
Common mo del h ne tools

6 ,S>o e elecdive ilAe 5

Are e prcpayes oaancn

*CRISP DIM provides a rocdnap

oollo
alile planning 2 caryiog outa data
niningpreject
SEMMA Sample
LEplore
Mod1
Viode
ASs ess

Lcmple genevete e represestetue

mple qf the data
Explore Viualizatior 2 bastc desctptien
h e data

losl =Select variaulestvanoin vaviao

epresettetios
IModelJse ciety stathsHcal 2 maci n e
lecvni nodels
Asse <valuate the
accuvay 2 asefa
t h e models.