Regression, multivariate analysis, clustering, and predictive modeling techniques are statistical and machine learning methods for analyzing data. Regression finds relationships between variables, multivariate analysis examines multiple variables simultaneously, clustering groups similar data points, and predictive modeling predicts unknown events. These techniques are used across many fields for tasks like prediction, classification, pattern recognition, and decision making. R software can be used to perform various data analyses using these methods.
Data Mining StepsProblem Definition Market AnalysisCsharondabriggs
Data Mining Steps
Problem Definition
Market Analysis
Customer Profiling, Identifying Customer Requirements, Cross Market Analysis, Target Marketing, Determining Customer purchasing pattern
Corporate Analysis and Risk Management
Finance Planning and Asset Evaluation, Resource Planning, Competition
Fraud Detection
Customer Retention
Production Control
Science Exploration
> Data Preparation
Data preparation is about constructing a dataset from one or more data sources to be used for exploration and modeling. It is a solid practice to start with an initial dataset to get familiar with the data, to discover first insights into the data and have a good understanding of any possible data quality issues. The Datasets you are provided in these projects were obtained from kaggle.com.
Variable selection and description
Numerical – Ratio, Interval
Categorical – Ordinal, Nominal
Simplifying variables: From continuous to discrete
Formatting the data
Basic data integrity checks: missing data, outliers
> Data Exploration
Data Exploration is about describing the data by means of statistical and visualization techniques.
· Data Visualization:
o
Univariate
analysis explores variables (attributes) one by one. Variables could be either categorical or numerical.
Univariate Analysis - Categorical
Statistics
Visualization
Description
Count
Bar Chart
The number of values of the specified variable.
Count%
Pie Chart
The percentage of values of the specified variable
Univariate Analysis - Numerical
Statistics
Visualization
Equation
Description
Count
Histogram
N
The number of values (observations) of the variable.
Minimum
Box Plot
Min
The smallest value of the variable.
Maximum
Box Plot
Max
The largest value of the variable.
Mean
Box Plot
The sum of the values divided by the count.
Median
Box Plot
The middle value. Below and above median lies an equal number of values.
Mode
Histogram
The most frequent value. There can be more than one mode.
Quantile
Box Plot
A set of 'cut points' that divide a set of data into groups containing equal numbers of values (Quartile, Quintile, Percentile, ...).
Range
Box Plot
Max-Min
The difference between maximum and minimum.
Variance
Histogram
A measure of data dispersion.
Standard Deviation
Histogram
The square root of variance.
Coefficient of Deviation
Histogram
A measure of data dispersion divided by mean.
Skewness
Histogram
A measure of symmetry or asymmetry in the distribution of data.
Kurtosis
Histogram
A measure of whether the data are peaked or flat relative to a normal distribution.
Note: There are two types of numerical variables, interval and ratio. An interval variable has values whose differences are interpretable, but it does not have a true zero. A good example is temperature in Centigrade degrees. Data on an int ...
This Presentation is on recommended system on question paper predication using machine learning techniques. We did literature survey and implement using same technique.
International Journal of Computational Engineering Research (IJCER) is dedicated to protecting personal information and will make every reasonable effort to handle collected information appropriately. All information collected, as well as related requests, will be handled as carefully and efficiently as possible in accordance with IJCER standards for integrity and objectivity.
Decentralized data fusion approach is one in which features are extracted and processed individually and finally fused to obtain global estimates. The paper presents decentralized data fusion algorithm using factor analysis model. Factor analysis is a statistical method used to study the effect and interdependence of various factors within a system. The proposed algorithm fuses accelerometer and gyroscope data in an inertial measurement unit (IMU). Simulations are carried out on Matlab platform to illustrate the algorithm.
Machine learning workshop, session 3.
- Data sets
- Machine Learning Algorithms
- Algorithms by Learning Style
- Algorithms by Similarity
- People to follow
Quality defects in TMT Bars, Possible causes and Potential Solutions.PrashantGoswami42
Maintaining high-quality standards in the production of TMT bars is crucial for ensuring structural integrity in construction. Addressing common defects through careful monitoring, standardized processes, and advanced technology can significantly improve the quality of TMT bars. Continuous training and adherence to quality control measures will also play a pivotal role in minimizing these defects.
Overview of the fundamental roles in Hydropower generation and the components involved in wider Electrical Engineering.
This paper presents the design and construction of hydroelectric dams from the hydrologist’s survey of the valley before construction, all aspects and involved disciplines, fluid dynamics, structural engineering, generation and mains frequency regulation to the very transmission of power through the network in the United Kingdom.
Author: Robbie Edward Sayers
Collaborators and co editors: Charlie Sims and Connor Healey.
(C) 2024 Robbie E. Sayers
Data Mining StepsProblem Definition Market AnalysisCsharondabriggs
Data Mining Steps
Problem Definition
Market Analysis
Customer Profiling, Identifying Customer Requirements, Cross Market Analysis, Target Marketing, Determining Customer purchasing pattern
Corporate Analysis and Risk Management
Finance Planning and Asset Evaluation, Resource Planning, Competition
Fraud Detection
Customer Retention
Production Control
Science Exploration
> Data Preparation
Data preparation is about constructing a dataset from one or more data sources to be used for exploration and modeling. It is a solid practice to start with an initial dataset to get familiar with the data, to discover first insights into the data and have a good understanding of any possible data quality issues. The Datasets you are provided in these projects were obtained from kaggle.com.
Variable selection and description
Numerical – Ratio, Interval
Categorical – Ordinal, Nominal
Simplifying variables: From continuous to discrete
Formatting the data
Basic data integrity checks: missing data, outliers
> Data Exploration
Data Exploration is about describing the data by means of statistical and visualization techniques.
· Data Visualization:
o
Univariate
analysis explores variables (attributes) one by one. Variables could be either categorical or numerical.
Univariate Analysis - Categorical
Statistics
Visualization
Description
Count
Bar Chart
The number of values of the specified variable.
Count%
Pie Chart
The percentage of values of the specified variable
Univariate Analysis - Numerical
Statistics
Visualization
Equation
Description
Count
Histogram
N
The number of values (observations) of the variable.
Minimum
Box Plot
Min
The smallest value of the variable.
Maximum
Box Plot
Max
The largest value of the variable.
Mean
Box Plot
The sum of the values divided by the count.
Median
Box Plot
The middle value. Below and above median lies an equal number of values.
Mode
Histogram
The most frequent value. There can be more than one mode.
Quantile
Box Plot
A set of 'cut points' that divide a set of data into groups containing equal numbers of values (Quartile, Quintile, Percentile, ...).
Range
Box Plot
Max-Min
The difference between maximum and minimum.
Variance
Histogram
A measure of data dispersion.
Standard Deviation
Histogram
The square root of variance.
Coefficient of Deviation
Histogram
A measure of data dispersion divided by mean.
Skewness
Histogram
A measure of symmetry or asymmetry in the distribution of data.
Kurtosis
Histogram
A measure of whether the data are peaked or flat relative to a normal distribution.
Note: There are two types of numerical variables, interval and ratio. An interval variable has values whose differences are interpretable, but it does not have a true zero. A good example is temperature in Centigrade degrees. Data on an int ...
This Presentation is on recommended system on question paper predication using machine learning techniques. We did literature survey and implement using same technique.
International Journal of Computational Engineering Research (IJCER) is dedicated to protecting personal information and will make every reasonable effort to handle collected information appropriately. All information collected, as well as related requests, will be handled as carefully and efficiently as possible in accordance with IJCER standards for integrity and objectivity.
Decentralized data fusion approach is one in which features are extracted and processed individually and finally fused to obtain global estimates. The paper presents decentralized data fusion algorithm using factor analysis model. Factor analysis is a statistical method used to study the effect and interdependence of various factors within a system. The proposed algorithm fuses accelerometer and gyroscope data in an inertial measurement unit (IMU). Simulations are carried out on Matlab platform to illustrate the algorithm.
Machine learning workshop, session 3.
- Data sets
- Machine Learning Algorithms
- Algorithms by Learning Style
- Algorithms by Similarity
- People to follow
Quality defects in TMT Bars, Possible causes and Potential Solutions.PrashantGoswami42
Maintaining high-quality standards in the production of TMT bars is crucial for ensuring structural integrity in construction. Addressing common defects through careful monitoring, standardized processes, and advanced technology can significantly improve the quality of TMT bars. Continuous training and adherence to quality control measures will also play a pivotal role in minimizing these defects.
Overview of the fundamental roles in Hydropower generation and the components involved in wider Electrical Engineering.
This paper presents the design and construction of hydroelectric dams from the hydrologist’s survey of the valley before construction, all aspects and involved disciplines, fluid dynamics, structural engineering, generation and mains frequency regulation to the very transmission of power through the network in the United Kingdom.
Author: Robbie Edward Sayers
Collaborators and co editors: Charlie Sims and Connor Healey.
(C) 2024 Robbie E. Sayers
COLLEGE BUS MANAGEMENT SYSTEM PROJECT REPORT.pdfKamal Acharya
The College Bus Management system is completely developed by Visual Basic .NET Version. The application is connect with most secured database language MS SQL Server. The application is develop by using best combination of front-end and back-end languages. The application is totally design like flat user interface. This flat user interface is more attractive user interface in 2017. The application is gives more important to the system functionality. The application is to manage the student’s details, driver’s details, bus details, bus route details, bus fees details and more. The application has only one unit for admin. The admin can manage the entire application. The admin can login into the application by using username and password of the admin. The application is develop for big and small colleges. It is more user friendly for non-computer person. Even they can easily learn how to manage the application within hours. The application is more secure by the admin. The system will give an effective output for the VB.Net and SQL Server given as input to the system. The compiled java program given as input to the system, after scanning the program will generate different reports. The application generates the report for users. The admin can view and download the report of the data. The application deliver the excel format reports. Because, excel formatted reports is very easy to understand the income and expense of the college bus. This application is mainly develop for windows operating system users. In 2017, 73% of people enterprises are using windows operating system. So the application will easily install for all the windows operating system users. The application-developed size is very low. The application consumes very low space in disk. Therefore, the user can allocate very minimum local disk space for this application.
TECHNICAL TRAINING MANUAL GENERAL FAMILIARIZATION COURSEDuvanRamosGarzon1
AIRCRAFT GENERAL
The Single Aisle is the most advanced family aircraft in service today, with fly-by-wire flight controls.
The A318, A319, A320 and A321 are twin-engine subsonic medium range aircraft.
The family offers a choice of engines
Democratizing Fuzzing at Scale by Abhishek Aryaabh.arya
Presented at NUS: Fuzzing and Software Security Summer School 2024
This keynote talks about the democratization of fuzzing at scale, highlighting the collaboration between open source communities, academia, and industry to advance the field of fuzzing. It delves into the history of fuzzing, the development of scalable fuzzing platforms, and the empowerment of community-driven research. The talk will further discuss recent advancements leveraging AI/ML and offer insights into the future evolution of the fuzzing landscape.
Industrial Training at Shahjalal Fertilizer Company Limited (SFCL)MdTanvirMahtab2
This presentation is about the working procedure of Shahjalal Fertilizer Company Limited (SFCL). A Govt. owned Company of Bangladesh Chemical Industries Corporation under Ministry of Industries.
Courier management system project report.pdfKamal Acharya
It is now-a-days very important for the people to send or receive articles like imported furniture, electronic items, gifts, business goods and the like. People depend vastly on different transport systems which mostly use the manual way of receiving and delivering the articles. There is no way to track the articles till they are received and there is no way to let the customer know what happened in transit, once he booked some articles. In such a situation, we need a system which completely computerizes the cargo activities including time to time tracking of the articles sent. This need is fulfilled by Courier Management System software which is online software for the cargo management people that enables them to receive the goods from a source and send them to a required destination and track their status from time to time.
CFD Simulation of By-pass Flow in a HRSG module by R&R Consult.pptxR&R Consult
CFD analysis is incredibly effective at solving mysteries and improving the performance of complex systems!
Here's a great example: At a large natural gas-fired power plant, where they use waste heat to generate steam and energy, they were puzzled that their boiler wasn't producing as much steam as expected.
R&R and Tetra Engineering Group Inc. were asked to solve the issue with reduced steam production.
An inspection had shown that a significant amount of hot flue gas was bypassing the boiler tubes, where the heat was supposed to be transferred.
R&R Consult conducted a CFD analysis, which revealed that 6.3% of the flue gas was bypassing the boiler tubes without transferring heat. The analysis also showed that the flue gas was instead being directed along the sides of the boiler and between the modules that were supposed to capture the heat. This was the cause of the reduced performance.
Based on our results, Tetra Engineering installed covering plates to reduce the bypass flow. This improved the boiler's performance and increased electricity production.
It is always satisfying when we can help solve complex challenges like this. Do your systems also need a check-up or optimization? Give us a call!
Work done in cooperation with James Malloy and David Moelling from Tetra Engineering.
More examples of our work https://www.r-r-consult.dk/en/cases-en/
Water scarcity is the lack of fresh water resources to meet the standard water demand. There are two type of water scarcity. One is physical. The other is economic water scarcity.
Forklift Classes Overview by Intella PartsIntella Parts
Discover the different forklift classes and their specific applications. Learn how to choose the right forklift for your needs to ensure safety, efficiency, and compliance in your operations.
For more technical information, visit our website https://intellaparts.com
Final project report on grocery store management system..pdfKamal Acharya
In today’s fast-changing business environment, it’s extremely important to be able to respond to client needs in the most effective and timely manner. If your customers wish to see your business online and have instant access to your products or services.
Online Grocery Store is an e-commerce website, which retails various grocery products. This project allows viewing various products available enables registered users to purchase desired products instantly using Paytm, UPI payment processor (Instant Pay) and also can place order by using Cash on Delivery (Pay Later) option. This project provides an easy access to Administrators and Managers to view orders placed using Pay Later and Instant Pay options.
In order to develop an e-commerce website, a number of Technologies must be studied and understood. These include multi-tiered architecture, server and client-side scripting techniques, implementation technologies, programming language (such as PHP, HTML, CSS, JavaScript) and MySQL relational databases. This is a project with the objective to develop a basic website where a consumer is provided with a shopping cart website and also to know about the technologies used to develop such a website.
This document will discuss each of the underlying technologies to create and implement an e- commerce website.
block diagram and signal flow graph representation
Unit-3 Data Analytics.pdf
1. UNIT-3
Data Analysis: Statistical Methods: Regression modelling, Multivariate Analysis - Classification: SVM &
Kernel Methods - Rule Mining - Cluster Analysis, Types of Data in Cluster Analysis, Partitioning Methods,
Hierarchical Methods, Density Based Methods, Grid Based Methods, Model Based Clustering Methods,
Clustering High Dimensional Data - Predictive Analytics – Data analysis using R.
3.1 Regression modelling
Regression is a statistical technique to determine the linear relationship between two or more variables.
Regression is primarily used for prediction and causal inference. Regression shows the relationship
between one independent variable (X) and a dependent variable (Y), as in the formula below:
The magnitude and direction of that relation are given by the slope parameter (þ1), and the status
of the dependent variable when the independent variable is absent is given by the intercept parameter
(þ0). An error term (u) captures the amount of variation not predicted by the slope and intercept terms.
The regression coefficient (R2 ) shows how well the values fit the data.
Regression thus shows us how variation in one variable co-occurs with variation in another. What
regression cannot show is causation; causation is only demonstrated analytically, through substantive
theory. For example, a regression with shoe size as an independent variable and foot size as a dependent
variable would show a very high regression coefficient and highly significant parameter estimates, but
we should not conclude that higher shoe size causes higher foot size. All that the mathematics can tell us
is whether or not they are correlated, and if so, by how much.
It is important to recognize that regression analysis is fundamentally different from ascertaining
the correlations among different variables. Correlation determines the strength of the relationship
between variables, while regression attempts to describe that relationship between these variables in more
detail. The linear regression model (LRM)
The simple (or bivariate) LRM model is designed to study the relationship between a pair of variables
that appear in a data set. The multiple LRM is designed to study the relationship between one variable
and several of other variables. In both cases, the sample is considered a random sample from some
population. The two variables, X and Y, are two measured outcomes for each observation in the dataset.
This is written in any number of ways, but will specified as:
where
• Y is an observed random variable (also called the response variable or the lefthand side variable).•
X is an observed non-random or conditioning variable (also called the predictor or right-hand side
variable).
• þ1 is an unknown population parameter, known as the constant or intercept term.• þ2 is an
unknown population parameter, known as the coefficient or slope parameter.
• u is an unobserved random variable, known as the error or disturbance term.
2. 3.2 Multivariate Analysis
Many statistical techniques focus on just one or two variables
Multivariate analysis (MVA) techniques allow more than two variables to be analysed at once
Multiple regression is not typically included under this heading, but can be thought of as a
multivariate analysis.
Multivariate analysis (MVA) is based on the statistical principle of multivariate statistics, which
involves observation and analysis of more than one statistical outcome variable at a time. In design and
analysis, the technique is used to perform trade studies across multiple dimensions while taking into
account the effects of all variables on the responses of interest.
MVA can help summarise the data
E.g. factor analysis and segmentation based on agreement ratings on 20 attitude statements
• MVA can also reduce the chance of obtaining spurious results
Uses for multivariate analysis
• design for capability (also known as capability-based design)
• inverse design, where any variable can be treated as an independent variable
• Analysis of Alternatives (AoA), the selection of concepts to fulfil a customer need
• analysis of concepts with respect to changing scenarios
• identification of critical design-drivers and correlations across hierarchical levels.
• Multivariate analysis can be complicated by the desire to include physics-based analysis to calculate
the effects of variables for a hierarchical "system-of-systems".
MVA Methods
Two general types of MVA technique –
Analysis of dependence
• Where one (or more) variables are dependent variables, to be explained or predicted by others – E.g.
Multiple regression, PLS, MDA
– Analysis of interdependence
• No variables thought of as “dependent”
• Look at the relationships among variables, objects or cases
– E.g. cluster analysis, factor analysis
Principal Components
• Identify underlying dimensions or principal components of a distribution
• Helps understand the joint or common variation among a set of variables
• Probably the most commonly used method of deriving “factors” in factor analysis (before rotation) •
The first principal component is identified as the vector (or equivalently the linear combination of
variables) on which the most data variation can be projected
• The 2nd principal component is a vector perpendicular to the first, chosen so that it contains as much
of the remaining variation as possible
• And so on for the 3rd principal component, the 4th, the 5th etc
Multivariate Normal Distribution
• Generalisation of the univariate normal
• Determined by the mean (vector) and covariance matrix
• E.g. Standard bivariate normal
Broader MVA Issues
– EDA is usually very worthwhile
• Univariate summaries, e.g. histograms • Scatterplot matrix
3. • Multivariate profiles, spider-web plots
– Missing data
• Establish amount (by variable, and overall) and pattern (across individuals)
• Think about reasons for missing data
• Treat missing data appropriately
– e.g. impute, or build into model fitting
3.3 SVM & Kernel Methods
Support vector machines
The SVM is a machine learning algorithm which solves classification problems. It uses a flexible
representation of the class boundaries. It implements automatic complexity control to reduce over fitting.
It has a single global minimum which can be found in polynomial time. It is popular because it can be
easy to use. It often has good generalization performance and the same algorithm solves a variety of
problems with little tuning.
Kernels
Kernel methods are a class of algorithms for pattern analysis, whose best known member is the
support vector machine(SVM). The general task of pattern analysis is to find and study general types of
relations (for example clusters, rankings, principal components, correlations, classifications) in datasets.
For many algorithms that solve these tasks, the data in raw representation have to be explicitly
transformed into feature vector representations via a user-specified feature map: in contrast, kernel
methods require only a user-specified kernel, i.e., a similarity function over pairs of data points in raw
representation.
Kernel methods owe their name to the use of kernel functions, which enable them to operate in a
high-dimensional, implicit feature space without ever computing the coordinates of the data in that space,
but rather by simply computing the inner products between the images of all pairs of data in the feature
space. This operation is often computationally cheaper than the explicit computation of the coordinates.
This approach is called the "kernel trick". Kernel functions have been introduced for sequence data,
graphs, text, images, as well as vectors.
Algorithms capable of operating with kernels include the kernel perceptron, support vector
machines (SVM), Gaussian processes, principal components analysis (PCA), canonical correlation
analysis, ridge regression, spectral clustering, linear adaptive filters and many others. Anylinear model
can be turned into a non-linear model by applying the kernel trick to the model: replacing its features
(predictors) by a kernel function. Most kernel algorithms are based on convex optimization or eigen
problems and are statistically well-founded. Typically, their statistical properties are analyzed using
statistical learning theory.
Types of Kernels:
• String kernel is a kernel function that operates on strings, i.e. finite sequences of symbols
thatneed not be of the same length
• Path kernels
• Tree kernels
• Graph kernel is a kernel function that computes an inner product on graphs. Graph kernels
canbe intuitively understood as functions measuring the similarity of pairs of graphs.
• Fisher Kernels is a function that measures the similarity of two objects on the basis of sets
ofmeasurements for each object and a statistical model
• Polynomial Kernel is a kernel function commonly used with support vector machines
(SVMs)and other kernelized models, that represents the similarity of vectors (training samples) in a
feature space over polynomials of the original variables, allowing learning of non-linear models.
4. 3.4 Rule Mining
The goal of association rule finding is to extract correlation relationships in the large datasets of
items. Ideally, these relationships will be causative. Many businesses are interested in extracting
interesting relationships in order to raise profit. Scientists, on the other hand, are interested in discovering
previously unknown patterns in their field of research.
An illustrative example of association rule mining is so-called market basket analysis. This
process is based on transactional data, which are huge amounts of records of individual purchases. For
example, department stores such as Wal-Mart keep track of all transactions in a given period of time.
One transaction could be t1 = {italian bread, 1% milk, energizer batteries}. It can contain an arbitrary
(technically, it is limited to what’s in the store) number of items. All items purchased belong to a set of
items Ω. In the computer science jargon, such a set is typically called a universe. Another notational
detail is that transaction t1 can also be called an itemset, because it contains a set of purchased items.
An association rule could then be computer
financial_management_software ⇒
which means that a purchase of a computer implies a purchase of financial management software.
Naturally, this rule may not hold for all customers and every single purchase. Thus, we are going to
associate two numbers with every such rule. These two numbers are called support and confidence.
3.5 Cluster Analysis
Cluster analysis is a data exploration (mining) tool for dividing a multivariate dataset into
“natural” clusters (groups). We use the methods to explore whether previously undefined clusters
(groups) may exist in the dataset. For instance, a marketing department may wish to use survey results
to sort its customers into categories. 3.5.1 Types of Data in Cluster Analysis
Interval-Scaled Attributes
Continuous measurements on a roughly linear scale
Binary Attributes
A contingency table for binary data
Nominal Attributes
A generalization of the binary variable in that it can take more than 2 states, e.g., red, yellow,
blue, green Ordinal Attributes
An ordinal variable can be discrete or continuous
Order is important, e.g., rank
Can be treated like interval-scaled
Ratio-Scaled Attributes
A positive measurement on a nonlinear scale, approximately at exponential scale
Attributes of Mixed Type
A database may contain all the six types of variables
–symmetric binary, asymmetric binary, nominal, ordinal, interval and ratio
3.6 Clustering methods
•Partitioning approach:
–Construct various partitions and then evaluate them by some criterion, e.g., minimizing the sum
of square errors
–Typical methods: k-means, k-medoids, CLARANS
•Hierarchical approach:
–Create a hierarchical decomposition of the set of data (or objects) using some criterion
5. –Typical methods: Diana, Agnes, BIRCH, ROCK, CAMELEON
•Density-based approach:
–Based on connectivity and density functions Typical
methods: DBSACN, OPTICS, DenClue
•Grid-based approach:
–based on a multiple-level granularity structure –Typical
methods: STING, WaveCluster, CLIQUE
•Model-based:
–A model is hypothesized for each of the clusters and tries to find the best fit of that model to
each other
–Typical methods: EM, SOM, COBWEB
3.6.1 Partitioning Method
• Given a k, find a partition of k clusters that optimizes the chosen partitioning criterion
–Global optimal: exhaustively enumerate all partitions –
Heuristic methods: k-means and k-medoids algorithms –k-
means :
Each cluster is represented by the center of the cluster –k-medoids
or PAM (Partition around medoids) :
Each cluster is represented by one of the objects in the cluster.
The K-Means Clustering Method
•Given k, the k-means algorithm is implemented in four steps:
–Partition objects into k nonempty subsets
–Compute seed points as the centroids of the clusters of the current partition (the centroid is the
center, i.e., mean point, of the cluster)
–Assign each object to the cluster with the nearest seed point.
–Go back to Step 2, stop when no more new assignment
3.6.2 Hierarchical approach
In data mining and statistics, hierarchical clustering (also called hierarchical cluster analysis or
HCA) is a method of cluster analysis which seeks to build a hierarchy of clusters. Strategies for
hierarchical clustering generally fall into two types:
•Agglomerative:
• This is a "bottom up" approach: each observation starts in its own cluster, and pairs of
clusters are merged as one moves up the hierarchy.
•Divisive:
• This is a "top down" approach: all observations start in one cluster, and splits are
performed recursively as one moves down the hierarchy.
In general, the merges and splits are determined in a greedy manner. The results of hierarchical
clustering are usually presented in a dendrogram.
3.6.3 Density-based Clustering
Clusters are dense regions in the data space, separated by regions of lower object density
A cluster is defined as a maximal set of densityconnected points
Discovers clusters of arbitrary shape
Method-DBSCAN
6. 3.6.4 Grid-based Clustering
The grid-based clustering approach differs from the conventional clustering algorithms in that it
is concerned not with the data points but with the value space that surrounds the data points.
The great advantage of grid-based clustering is its significant reduction of the computational
complexity, especially for clustering very large data sets.
In general, a typical grid-based clustering algorithm consists of the following five basic steps
1. Creating the grid structure, i.e., partitioning the data space into a finite number of
cells.
2. Calculating the cell density for each cell.
3. Sorting of the cells according to their densities.
4. Identifying cluster centers.
5. Traversal of neighbor cells.
3.6.5 Model-based Clustering
Model-based clustering is a major approach to clustering analysis. This chapter introduces model-
based clustering algorithms. First, we present an overview of model-based clustering. then, we introduce
Gaussian mixture models, model-based agglomerative hierarchical clustering, and the expectation-
maximization (EM) algorithm. Finally, we introduce model-based clustering and two model-based
clustering algorithms.
The word model is usually used to represent the type of constraints and geometric properties of
the covariance matrices. In the family of model-based clustering algorithms, one uses certain models for
clusters and tries to optimize the fit between the data and the models. In the model-based clustering
approach, the data are viewed as coming from a mixture of probability distributions, each of which
represents a different cluster. In other words, in model-based clustering, it is assumed that the data are
generated by a mixture of probability distributions in which each component represents a different
cluster.
Each component is described by a density function and has an associated probability or “weight”
in the mixture.
In principle, we can adopt any probability model for the components, but typically we will assume
that components are p-variate normal distributions.
Thus, the probability model for clustering will often be a mixture of multivariate normal
distributions.
3.7 Clustering High Dimensional Data
Clustering high-dimensional data is the cluster analysis of data with anywhere from a few dozen
to many thousands of dimensions. Such high-dimensional spaces of data are often encountered in areas
such as medicine, where DNA microarray technology can produce a large number of measurements at
once, and the clustering of text documents, where, if a word-frequency vector is used, the number of
dimensions equals the size of the vocabulary.
Approaches
Subspace clustering
Projected clustering
Hybrid approaches
Correlation clustering
3.8 Predictive Analytics
Predictive analytics encompasses a variety of statistical techniques from predictive modelling,
machine learning, and data mining that analyze current and historical facts to make predictions about
future or otherwise unknown events.
7. In business, predictive models exploit patterns found in historical and transactional data to
identify risks and opportunities. Models capture relationships among many factors to allow assessment
of risk or potential associated with a particular set of conditions, guiding decision making for candidate
transactions.
Predictive analytics is used in actuarial science, marketing, financial services, insurance,
telecommunications, retail, travel, mobility, healthcare, child protection, pharmaceuticals, capacity
planning and other fields.
Predictive analytics is an area of statistics that deals with extracting information from data and
using it to predict trends and behavior patterns. Often the unknown event of interest is in the future, but
predictive analytics can be applied to any type of unknown whether it be in the past, present or future.
For example, identifying suspects after a crime has been committed, or credit card fraud as it occurs.
The core of predictive analytics relies on capturing relationships between explanatory variables
and the predicted variables from past occurrences, and exploiting them to predict the unknown outcome.
It is important to note, however, that the accuracy and usability of results will depend greatly on the level
of data analysis and the quality of assumptions.
Predictive analytics is often defined as predicting at a more detailed level of granularity, i.e.,
generating predictive scores (probabilities) for each individual organizational element. This distinguishes
it from forecasting.
For example, "Predictive analytics—Technology that learns from experience (data) to predict
the future behavior of individuals in order to drive better decisions." In future industrial systems, the
value of predictive analytics will be to predict and prevent potential issues to achieve near-zero
breakdown and further be integrated into prescriptive analytics for decision optimization.
Predictive Analytics Process
1. Define Project : Define the project outcomes, deliverable, scope of the effort, business
objectives,identify the data sets that are going to be used.
2. Data Collection : Data mining for predictive analytics prepares data from multiple sources
foranalysis. This provides a complete view of customer interactions.
3. Data Analysis : Data Analysis is the process of inspecting, cleaning and modelling data with
theobjective of discovering useful information, arriving at conclusion
4. Statistics : Statistical Analysis enables to validate the assumptions, hypothesis and test them
usingstandard statistical models.
5. Modelling : Predictive modelling provides the ability to automatically create accurate
predictivemodels about future. There are also options to choose the best solution with multi-modal
evaluation.
6. Deployment : Predictive model deployment provides the option to deploy the analytical results
intoeveryday decision making process to get results, reports and output by automating the decisions
based on the modelling.
7. Model Monitoring : Models are managed and monitored to review the model performance to
ensurethat it is providing the results expected.