Data Mining I: KnowledgeSEEKER

1
Data Mining I KnowledgeSEEKER

• Jennifer Davis
• Kelly Davis
• Saurabh Gupta
• Chris Mathews
• Shantea Stanford

2
Overview of Presentation

• Introduction to Data Mining Methods and Products
• Tutorial How to Use KnowledgeSEEKER?
• Exercises How much did you learn?

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What is Data Mining?

• Filtering large amounts of data
• Searching for hidden patterns and/or trends
• Predicting future results
• Creating a competitive advantage and improving
  decision making
• Data mining is a form of artificial intelligence,
  but is very different from other BI tools.
• Discovery versus Verification

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What Sparked Data Mining?

• Motivated by business need, large amounts of
  available data, and humans limited cognitive
  processing abilities
• Enabled by data warehousing, parallel processing,
  and data mining algorithms
• Source Dr. Hugh Watson

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Popular Data Mining Methods

• Neural networks learning from data patterns and
  predicting new data
• Genetic Algorithms optimizing techniques
• Decision trees rules for classifying data
• Regression Analysis - statistical
• K-nearest neighbor classifying and clustering
  technique based on weighting of selected
  variables
• Data Visualization visually showing patterns

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Types of Data Mining

• Association identifies relationships
• Sequential pattern identifies sequencing
• Classifying identifies potential outcomes for
  predetermined categories
• Clustering identifies categories
• Prediction estimates future values or forecasts

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Data Mining Process

• Requires personnel with domain, data
  warehousing, and data mining expertise
• Requires data selection, data extraction, data
  cleansing, and data transformation
• Most data mining tools work with highly granular
  flat files
• Is an iterative and interactive process
• Source Dr. Hugh Watson

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How Data Mining Is Used?

• CRM Research, churn and promotional management.
• Process Mgmt Reduce operational delays.
• Analysis Develop forecasting models and fraud
  prevention.
• Predictive Capabilities Develop rules for
  queries or expert systems and oil exploration.
• Health Care Medical research and trends.
• Banking Identify bank locations.
• Sports Guide movement of players.

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Data Mining Products

• See product list, http//www.xore.com/prodtable.ht
  ml
• According to Jackie Sweeney, International Data
  Corporation, Data mining has matured, producing
  fortunes for the Big Three vendors - SPSS, IBM
  and SAS Institute - and robust revenues for a
  number of smaller vendors who market solutions
  tailored to vertical markets.

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Data Mining Products

• Off-the-shelf applications and bundling are
  becoming more common.
• Wide range of pricing
• SAS Institutes Enterprise Miner 80k
• IBM Intelligent Miner 60k
• Angoss KnowledgeSEEKER 4,750 per license,
  including upgrades and unlimited tech support for
  1 year. Annual license renewal fees are 20 of
  the list price.
• Desktop products start at few hundred dollars

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Selection Process Questions to Ask?

• Are the data and variables currently available?
• Will mining involve numerical and nominal data?
• Can the tool build models, predict outcomes and
  verify results?
• Can it process the amount of data required?
• Can the tool handle incomplete data?
• Can the tool process noisy data?
• Can it provide the degree of granularity desired?
  
• How much technical knowledge is required?

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KnowledgeSEEKER by Angoss

• Angoss Software Corp Canadian public company
  specializing in data mining solutions
• Decision tree modeling
• Fully scalable and easy to use
• Specifications
• Operating Systems Unix, Windows 3.1, 95, 98 and
  NT.
• Databases Access, dBase II, III and IV, ODBC,
  SAS, SPSS.

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Users of KnowledgeSEEKER

• IRS fraud detection
• University of Rochester Cancer research
• Hewlett Packard process and quality control
• Readers Digest market segmentation
• MGM Grand survey analysis

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Sources

• Angoss Whitepaper http//www.angoss.com/ProdServ
  / AnalyticalTools/kseeker/whitepaper.html
• Data Mining for Golden Opportunities, Smart
  Computing, January 2000
• Your Business Intelligence Arsenal, Telephony,
  ChicagoApr 24, 2000, Douglas Hackney
• Examples and testimonials http//www.data-mining
  -software.com/data_mining_examples.htm
• Data Management, Richard T. Watson, 2002
• http//www.xore.com/prodtable.html (Data Mining
  Products)
• Dr. Hugh Watsons slide
• Data Mining Gets Real, Enterprise Systems
  Journal,April 1999, Jon William Toigo
• http//www.anderson.ucla.edu/faculty/jason.frand/t
  eacher/technologies/palace/datamining.htm
  (examples of Data Mining uses)

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KnowledgeSEEKER Tutorial
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KnowledgeSEEKER Exercises

• According to KnowledgeSeeker, which is the most
  important variable influencing hypertension for
  those between the ages of 51-62 who are
  regular or occasional smokers? 

Answer - Cheese Last Week
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KnowledgeSEEKER Exercises

• What is the total number of 51-62 year olds who
  have identified themselves as former/never
  smokers and have an eating pattern that includes
  a lot/moderate salt?

Answer 32
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KnowledgeSEEKER Exercises

• What percent of women between the ages of 32-50
  who occasionally drink have high hypertension? 

Answer - 28.6
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KnowledgeSEEKER Exercises

• What is the percent of people in income group
  4,5,7, and 8, age bracket 32-50, who have high
  hypertension?
•  

• Answer - 11.8

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KnowledgeSEEKER Exercises

• In the sample data, how many people have never
  smoked before? 

• Answer - 94

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KnowledgeSEEKER Exercises

• What is the most important factor contributing to
  hypertension according to KnowledgeSeeker for
  those in the 51-62 age bracket?

• Answer - Smoking

Next by right clicking and selecting Go to
Split find the 4th most important factor from
the table.  
Answer - Deep fried last week
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KnowledgeSEEKER Exercises

• What is the percentage of males who are regular
  smokers among all male participants? 

• Answer - 30.8

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KnowledgeSEEKER Exercises

• Create a graph of the distribution of smoking
  males.

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KnowledgeSEEKER Exercises

• Complete the following steps
• Dependent variable Hypertension
•      Click on Grow / Automatic
•      
•     What is the total number of males between the
  ages of 63-72 who had fish last week?

Answer 24
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KnowledgeSEEKER Exercises

• What is the next split after age that has the
  highest effect on hypertension according to
  KnowledgeSeeker? 

• Answer - Height

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KnowledgeSEEKER Exercises

• Among 32-50 year olds who report a drink pattern
  of former/never, how many have high
  hypertension? 

• Answer - 0

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KnowledgeSEEKER Exercises

• According to KnowledgeSeeker, what is the most
  important variable influencing hypertension for
  women between the ages of 51-62?
• How is this different from males age 51-62?

Women weight Men - drinking pattern