Understanding Business Intelligence and Data Mining

Business Intelligence (BI)

Applications for data analysis supporting decision-making.

Operational BI

Focuses on immediate actions and results.

Tactical BI

Aids in daily analysis and campaign refinement.

Strategic BI

Supports long-term planning and marketing strategies.

Data Mining

Analyzing data to extract hidden information.

Data Latency

Time to prepare data for analysis.

Analysis Latency

Duration from data availability to analysis completion.

Decision Latency

Time taken to comprehend and act on analysis.

Data Profiling

Collecting statistics about existing data sources.

Data Replication

Sharing information for consistency across sources.

Recommendation Engine

Algorithm suggesting products based on customer behavior.

Affinity Grouping Analysis

Identifies relationships between data points.

Classification Analysis

Assigns items to predefined categories.

Cluster Analysis

Groups similar data points together.

Estimation Analysis

Predicts unknown values based on known data.

Optimization Modeling

Finding the best solution under given constraints.

Forecasting Modeling

Predicting future trends based on historical data.

Regression Modeling

Analyzing relationships between variables.

Agile BI

BI approach using Agile methodologies for efficiency.

Quantifiable Benefits

Direct measurable advantages from BI deployment.

Indirectly Quantifiable Benefits

New business from existing or new customers.

Unpredictable Benefits

Unexpected discoveries by creative users.

Intangible Benefits

Improvements in communication and job satisfaction.

BI Deployment

Implementing BI systems across an organization.

Business Understanding Phase

Initial phase defining business objectives for data.

Data Understanding Phase

Phase for comprehending data characteristics.

Data Preparation Phase

Cleaning and organizing data for analysis.

Data Modeling Phase

Creating models to analyze data effectively.

Evaluation Phase

Assessing the model's effectiveness before deployment.

Deployment Phase

Implementing the final model into production.