RMM Unit-I Introdution To Data Mining

IV Year B.Tech. CSE I-Semester (R16 B.
TECH CSE)
2019-2020
Course Name: DATA MINING

Course Code: CS701PC
L T P C
4 0 0 4
Dr. R. MADANA MOHANA., M.E, Ph.D

Professor
Department of Computer Science and Engineering
Bharat Institute of Engineering and Technology, Hyderabad
October 13, 2021 Data Mining 1
Course Objectives
 Learn data mining concepts understand association rules mining.
 Discuss classification algorithms learn how data is grouped using clustering

techniques.
 Develop the abilities of critical analysis to data mining systems and

applications.
 Implement practical and theoretical understanding of the technologies for

data mining
 Understand the strengths and limitations of various data mining models

Course Outcomes
At the end of this course, each student should be able to:

1. Perform the preprocessing of data and apply mining
techniques on it.
2. Identify the association rules, classification and clusters in
large data sets.
3. Solve real world problems in business and scientific
information using data mining.
4. Classify web pages, extracting knowledge from the web.

Syllabus
(CS701PC) DATA MINING
Unit-I: Introduction to Data Mining

Introduction, what is Data Mining, Definition, KDD, Challenges, Data
Mining Tasks, Data Preprocessing, Data Cleaning, Missing Data,
Dimensionality Reduction, Feature Subset Selection, Discretization
and Binaryzation, Data Transformation, Measures of Similarity and
Dissimilarity -Basics

Syllabus
Unit-II: Association Rules

Problem Definition, Frequent Item Set Generation, The APRIORI
Principle, Support and Confidence Measures, Association Rule
Generation; APRIORI Algorithm, The Partition Algorithms, FP-Growth
Algorithms, Compact Representation of Frequent Item Set, Maximal
Frequent Item Set, Closed Frequent Item Set

Syllabus
Unit-III: Classification
Problem Definition, General Approaches to Solving a Classification
Problem, Evaluation of Classifiers, Classification Techniques, Decision
Trees-Decision tree Construction, Methods for Expressing attribute
test conditions, Measures for selecting the Best Split, Algorithm for
Decision tree induction; Naïve-Bayes Classifier, Bayesian Belief
Networks; K-Nearest Neighbor classification-Algorithm and
characteristics

Syllabus
Unit-IV: Clustering
Problem Definition, Clustering Overview, Evaluation of Clustering
Algorithms, Partitioning Clustering: K-Means Algorithm, K-Means
Additional Issues, PAM algorithm; Hierarchical clustering:
Agglomerative methods and divisive methods, Basic Agglomerative
Hierarchical clustering Algorithm, Specific Techniques, Key Issues in
Hierarchical Clustering, Strengths and weakness; Outlier Detection

Syllabus
Unit-V: Web and Text Mining

Introduction, web mining, web content mining, web structure mining,
web usage mining, Text mining –unstructured text, episode rule
discovery for texts, hierarchy of categories, text clustering.

Syllabus
TEXT BOOKS:
1. Data Mining- Concepts and Techniques- Jiawei Han, Micheline Kamber, Morgan Kaufmann
Publishers, Elsevier, 2 Edition, 2006.
2. Introduction to Data Mining, Pang-Ning Tan, Vipin Kumar, Michael Steinbanch, Pearson
Education.
3. Data mining Techniques and Applications, Hongbo Du Cengage India Publishing
REFERENCE BOOKS:
1. Data Mining Techniques, Arun K Pujari, 3rd Edition, Universities Press.
2. Data Mining Principles & Applications – T.V Sveresh Kumar, B.Esware Reddy, Jagadish S
Kalimani, Elsevier.
3. Data Mining, Vikaram Pudi, P Radha Krishna, Oxford University Press

IV Year B.Tech. CSE-I Semester 2019-2020
UNIT-I
INTRODUCTION TO DATA MINING

UNIT-I
 Introduction: What is Data Mining, Definition

 KDD
 Challenges
 Data Mining Tasks or Functionalities
 Data Preprocessing
 Data Cleaning

UNIT-I
 Missing Data
 Dimensionality Reduction
 Feature Subset Selection
 Discretization and Binaryzation
 Data Transformation
 Measures of Similarity and Dissimilarity –Basics

UNIT-I

 KDD
 Challenges
 Data Mining Tasks
 Data Cleaning

Why Data Mining?
 The Explosive Growth of Data: from terabytes to petabytes

 Data collection and data availability
 Automated data collection tools, database systems, Web,
computerized society
 Major sources of abundant data
 Business: Web, e-commerce, transactions, stocks, …
 Science: Remote sensing, bioinformatics, scientific simulation, …
 Society and everyone: news, digital cameras, YouTube
 We are drowning in data, but starving for knowledge!
 “Necessity is the mother of invention”—Data mining—Automated
analysis of massive data sets

Evolution of Sciences
 Before 1600, empirical science
 1600-1950s, theoretical science
 Each discipline has grown a theoretical component. Theoretical models often
motivate experiments and generalize our understanding.
 1950s-1990s, computational science
 Over the last 50 years, most disciplines have grown a third, computational branch
(e.g. empirical, theoretical, and computational ecology, or physics, or linguistics.)
 Computational Science traditionally meant simulation. It grew out of our inability to
find closed-form solutions for complex mathematical models.
 1990-now, data science
 The flood of data from new scientific instruments and simulations
 The ability to economically store and manage petabytes of data online
 The Internet and computing Grid that makes all these archives universally accessible
 Scientific info. management, acquisition, organization, query, and visualization tasks
scale almost linearly with data volumes. Data mining is a major new challenge!
 Jim Gray and Alex Szalay, The World Wide Telescope: An Archetype for Online Science ,
Comm. ACM, 45(11): 50-54, Nov. 2002

Evolution of Database Technology
 1960s:
 Data collection, database creation, IMS and network DBMS
 1970s:
 Relational data model, relational DBMS implementation
 1980s:
 RDBMS, advanced data models (extended-relational, OO, deductive, etc.)
 Application-oriented DBMS (spatial, scientific, engineering, etc.)
 1990s:
 Data mining, data warehousing, multimedia databases, and Web
databases
 2000s
 Stream data management and mining
 Data mining and its applications
 Web technology (XML, data integration) and global information systems

What Is Data Mining?
Definition-1:
 Data mining (knowledge discovery from data)
 Extraction of interesting (non-trivial, implicit, previously unknown
and potentially useful) patterns or knowledge from huge amount of
data
 Data mining: a misnomer?
 Alternative names
 Knowledge discovery (mining) in databases (KDD), knowledge
extraction, data/pattern analysis, data archeology, data dredging,
information harvesting, business intelligence, etc.
 Watch out: Is everything “data mining”?
 Simple search and query processing
 (Deductive) expert systems

What Is Data Mining?
Definition-2:
 Data mining is defined as finding hidden information in a database.
Alternatively it has been called exploratory data analysis, data
driven discovery and deductive learning.
Definition-3:
 Data mining refers to using a variety of techniques to identify
nuggets of information or decision-making knowledge in the
database and extracting these in such a way that they can be put
to use in areas such as decision support, prediction, forecasting
and estimation . The data is often voluminous, but it ha slow value
and no direct use can be made of it. It is the hidden information in
the data that is useful.

UNIT-I

 KDD
 Challenges
 Data Cleaning

Knowledge Discovery (KDD) Process
 KDD-Knowledge Discovery in Databases: KDD is the non-trivial process of identifying valid, novel, potentially useful, and
ultimately understandable patterns in data”.
 Data mining is a step in the KDD process consisting of particular data mining algorithms that, under some acceptable
computational efficiency limitations, produces a particular enumeration of patterns Ej over database F

 Data mining—core of Pattern Evaluation

knowledge discovery
process
Data Mining
Task-relevant Data
Data Selection
Warehouse
Data Cleaning
Data Integration
Databases
 KDD as a process is shown in the above figure and consists of an iterative sequence of the following steps:
1. Data Cleaning: To remove noise and inconsistent data.
2. Data Integration: Where multiple data sources may be combined.
3. Data Selection: Where data relevant to the analysis task are retrieved from the database.
4. Data Transformation: Where data transformed or consolidated into forms appropriate for mining by performing summary or aggregation operations, for instance.
5. Data Mining: An essential process where intelligent methods are applied in order to extract data patterns.
6. Pattern Evaluation: To identify the truly interesting patterns representing knowledge based on some interestingness measures.
7. Knowledge Presentation: Where visualization and knowledge representation techniques are used to represent the mined knowledge to the user.

KDD Process: Several Key Steps
 Learning the application domain
 relevant prior knowledge and goals of application
 Creating a target data set: data selection
 Data cleaning and preprocessing: (may take 60% of effort!)
 Data reduction and transformation
 Find useful features, dimensionality/variable reduction, invariant
representation
 Choosing functions of data mining
 summarization, classification, regression, association, clustering
 Choosing the mining algorithm(s)
 Data mining: search for patterns of interest
 Pattern evaluation and knowledge presentation
 visualization, transformation, removing redundant patterns, etc.
 Use of discovered knowledge
Are All the “Discovered” Patterns Interesting?
 Data mining may generate thousands of patterns: Not all of them

are interesting
 Suggested approach: Human-centered, query-based, focused mining
 Interestingness measures
 A pattern is interesting if it is easily understood by humans, valid on new
or test data with some degree of certainty, potentially useful, novel, or
validates some hypothesis that a user seeks to confirm
 Objective vs. subjective interestingness measures
 Objective: based on statistics and structures of patterns, e.g., support,
confidence, etc.
 Subjective: based on user’s belief in the data, e.g., unexpectedness,
novelty, actionability, etc.

Find All and Only Interesting Patterns?
 Find all the interesting patterns: Completeness

 Can a data mining system find all the interesting patterns? Do we
need to find all of the interesting patterns?
 Heuristic vs. exhaustive search
 Association vs. classification vs. clustering
 Search for only interesting patterns: An optimization problem
 Can a data mining system find only the interesting patterns?
 Approaches
 First general all the patterns and then filter out the uninteresting
ones
 Generate only the interesting patterns—mining query
optimization
Data Mining and Business Intelligence
Increasing potential
to support
business decisions End User
Decision
Making
Data Presentation Business

Analyst
Visualization Techniques
Data Mining Data
Information Discovery Analyst
Data Exploration
Statistical Summary, Querying, and Reporting
Data Preprocessing/Integration, Data Warehouses

DBA
Data Sources
Paper, Files, Web documents, Scientific experiments, Database Systems
Data Mining: Confluence of Multiple Disciplines
Database
Technology Statistics
Machine Visualization
Learning Data Mining
Pattern
Recognition Other
Algorithm Disciplines

UNIT-I

 KDD
 Challenges
 Data Cleaning

Data Mining Applications
 Retail: Market basket analysis, Customer relationship
management (CRM).
 Finance: Credit scoring, fraud detection.
 Manufacturing: Optimization, troubleshooting.
 Medicine: Medical diagnosis.
 Telecommunications: Quality of service optimization.
 Bioinformatics: Motifs, alignment.
 Web mining: Search engines.

Why Data Mining?—Potential Applications
 Data analysis and decision support

 Market analysis and management
 Target marketing, customer relationship management (CRM),
market basket analysis, cross selling, market segmentation
 Risk analysis and management
 Forecasting, customer retention, improved underwriting,
quality control, competitive analysis
 Fraud detection and detection of unusual patterns (outliers)
 Other Applications
 Text mining (news group, email, documents) and Web mining
 Stream data mining
 Bioinformatics and bio-data analysis

Ex. 1: Market Analysis and Management
 Where does the data come from?—Credit card transactions, loyalty cards,
discount coupons, customer complaint calls, plus (public) lifestyle studies
 Target marketing
 Find clusters of “model” customers who share the same characteristics: interest,
income level, spending habits, etc.
 Determine customer purchasing patterns over time
 Cross-market analysis—Find associations/co-relations between product sales, &
predict based on such association
 Customer profiling—What types of customers buy what products (clustering or
classification)
 Customer requirement analysis
 Identify the best products for different groups of customers
 Predict what factors will attract new customers
 Provision of summary information
 Multidimensional summary reports
 Statistical summary information (data central tendency and variation)

Ex. 2: Corporate Analysis & Risk Management
 Finance planning and asset evaluation

 cash flow analysis and prediction
 contingent claim analysis to evaluate assets
 cross-sectional and time series analysis (financial-ratio, trend
analysis, etc.)
 Resource planning
 summarize and compare the resources and spending
 Competition
 monitor competitors and market directions
 group customers into classes and a class-based pricing procedure
 set pricing strategy in a highly competitive market

Ex. 3: Fraud Detection & Mining Unusual Patterns
 Approaches: Clustering & model construction for frauds, outlier analysis

 Applications: Health care, retail, credit card service, telecomm.
 Auto insurance: ring of collisions
 Money laundering: suspicious monetary transactions
 Medical insurance
 Professional patients, ring of doctors, and ring of references
 Unnecessary or correlated screening tests
 Telecommunications: phone-call fraud
 Phone call model: destination of the call, duration, time of day or
week. Analyze patterns that deviate from an expected norm
 Retail industry
 Analysts estimate that 38% of retail shrink is due to dishonest
employees
 Anti-terrorism

Major Issues in Data Mining
 Mining methodology
 Mining different kinds of knowledge from diverse data types, e.g., bio, stream,
Web
 Performance: efficiency, effectiveness, and scalability
 Pattern evaluation: the interestingness problem
 Incorporation of background knowledge
 Handling noise and incomplete data
 Parallel, distributed and incremental mining methods
 Integration of the discovered knowledge with existing one: knowledge fusion
 User interaction
 Data mining query languages and ad-hoc mining
 Expression and visualization of data mining results
 Interactive mining of knowledge at multiple levels of abstraction
 Applications and social impacts
 Domain-specific data mining & invisible data mining
 Protection of data security, integrity, and privacy

Why Not Traditional Data Analysis?
 Tremendous amount of data
 Algorithms must be highly scalable to handle such as tera-bytes of
data
 High-dimensionality of data
 Micro-array may have tens of thousands of dimensions
 High complexity of data
 Data streams and sensor data
 Time-series data, temporal data, sequence data
 Structure data, graphs, social networks and multi-linked data
 Heterogeneous databases and legacy databases
 Spatial, spatiotemporal, multimedia, text and Web data
 Software programs, scientific simulations
 New and sophisticated applications
Multi-Dimensional View of Data Mining
 Data to be mined
 Relational, data warehouse, transactional, stream, object-
oriented/relational, active, spatial, time-series, text, multi-media,
heterogeneous, legacy, WWW
 Knowledge to be mined
 Characterization, discrimination, association, classification, clustering,
trend/deviation, outlier analysis, etc.
 Multiple/integrated functions and mining at multiple levels
 Techniques utilized
 Database-oriented, data warehouse (OLAP), machine learning, statistics,
visualization, etc.
 Applications adapted
 Retail, telecommunication, banking, fraud analysis, bio-data mining, stock
market analysis, text mining, Web mining, etc.

Data Mining: Classification Schemes
 General functionality
 Descriptive data mining
 Predictive data mining
 Different views lead to different classifications
 Data view: Kinds of data to be mined
 Knowledge view: Kinds of knowledge to be discovered
 Method view: Kinds of techniques utilized
 Application view: Kinds of applications adapted

Data Mining: On What Kinds of Data?
 Database-oriented data sets and applications
 Relational database, data warehouse, transactional database
 Advanced data sets and advanced applications
 Data streams and sensor data
 Time-series data, temporal data, sequence data (incl. bio-sequences)
 Structure data, graphs, social networks and multi-linked data
 Object-relational databases
 Heterogeneous databases and legacy databases
 Spatial data and spatiotemporal data
 Multimedia database
 Text databases
 The World-Wide Web

UNIT-I

 KDD
 Challenges
 Data Cleaning

Data Mining Functionalities
 Multidimensional concept description: Characterization and
discrimination
 Generalize, summarize, and contrast data characteristics, e.g.,
dry vs. wet regions
 Frequent patterns, association, correlation vs. causality
 Diaper  Beer [0.5%, 75%] (Correlation or causality?)
 Classification and prediction
 Construct models (functions) that describe and distinguish
classes or concepts for future prediction
 E.g., classify countries based on (climate), or classify cars
based on (gas mileage)
 Predict some unknown or missing numerical values

Data Mining Functionalities (2)
 Cluster analysis
 Class label is unknown: Group data to form new classes, e.g.,
cluster houses to find distribution patterns

 Maximizing intra-class similarity & minimizing interclass similarity
 Outlier analysis
 Outlier: Data object that does not comply with the general behavior
of the data
 Noise or exception? Useful in fraud detection, rare events analysis
 Trend and evolution analysis

 Trend and deviation: e.g., regression analysis
 Sequential pattern mining: e.g., digital camera  large SD memory
 Periodicity analysis
 Similarity-based analysis
 Other pattern-directed or statistical analyses

Primitives that Define a Data Mining Task
 Task-relevant data
 Database or data warehouse name
 Database tables or data warehouse cubes
 Condition for data selection
 Relevant attributes or dimensions
 Data grouping criteria
 Type of knowledge to be mined
 Characterization, discrimination, association, classification,
prediction, clustering, outlier analysis, other data mining tasks
 Background knowledge
 Pattern interestingness measurements
 Visualization/presentation of discovered patterns
Primitive 3: Background Knowledge
 A typical kind of background knowledge: Concept hierarchies

 Schema hierarchy
 E.g., street < city < province_or_state < country
 Set-grouping hierarchy
 E.g., {20-39} = young, {40-59} = middle_aged
 Operation-derived hierarchy
 email address: [email protected]
login-name < department < university < country
 Rule-based hierarchy
 low_profit_margin (X) <= price(X, P1) and cost (X, P2) and (P1 -
P2) < $50

Primitive 4: Pattern Interestingness Measure
 Simplicity
e.g., (association) rule length, (decision) tree size
 Certainty
e.g., confidence, P(A|B) = #(A and B)/ #(B), classification
reliability or accuracy, certainty factor, rule strength, rule quality,
discriminating weight, etc.
 Utility
potential usefulness, e.g., support (association), noise threshold
(description)
 Novelty
not previously known, surprising (used to remove redundant
rules, e.g., Illinois vs. Champaign rule implication support ratio)

Primitive 5: Presentation of Discovered Patterns
 Different backgrounds/usages may require different forms of

representation
 E.g., rules, tables, crosstabs, pie/bar chart, etc.
 Concept hierarchy is also important
 Discovered knowledge might be more understandable when
represented at high level of abstraction
 Interactive drill up/down, pivoting, slicing and dicing provide
different perspectives to data
 Different kinds of knowledge require different representation:
association, classification, clustering, etc.

DMQL—A Data Mining Query Language
 Motivation
 A DMQL can provide the ability to support ad-hoc and
interactive data mining
 By providing a standardized language like SQL
 Hope to achieve a similar effect like that SQL has on
relational database
 Foundation for system development and evolution
 Facilitate information exchange, technology transfer,
commercialization and wide acceptance
 Design
 DMQL is designed with the primitives described earlier

An Example Query in DMQL

Integration of Data Mining and Data Warehousing
 Data mining systems, DBMS, Data warehouse systems

coupling
 No coupling, loose-coupling, semi-tight-coupling, tight-coupling
 On-line analytical mining data
 integration of mining and OLAP technologies
 Interactive mining multi-level knowledge
 Necessity of mining knowledge and patterns at different levels of
abstraction by drilling/rolling, pivoting, slicing/dicing, etc.
 Integration of multiple mining functions
 Characterized classification, first clustering and then association

Coupling Data Mining with DB/DW Systems
 No coupling—flat file processing, not recommended

 Loose coupling
 Fetching data from DB/DW
 Semi-tight coupling—enhanced DM performance
 Provide efficient implement a few data mining primitives in a
DB/DW system, e.g., sorting, indexing, aggregation, histogram
analysis, multiway join, precomputation of some stat functions
 Tight coupling—A uniform information processing
environment
 DM is smoothly integrated into a DB/DW system, mining query is
optimized based on mining query, indexing, query processing
methods, etc.
Architecture: Typical Data Mining System
Graphical User Interface
Pattern Evaluation
Knowle
Data Mining Engine dge-
Base
Database or Data
Warehouse Server
data cleaning, integration, and selection
Data World-Wide Other Info

Database Warehouse Web Repositories

UNIT-I

 KDD
 Challenges

Why Data Preprocessing?
 Data in the real world is dirty
 incomplete: lacking attribute values, lacking certain
attributes of interest, or containing only aggregate
data
 e.g., occupation=“ ”
 noisy: containing errors or outliers

 e.g., Salary=“-10”
 inconsistent: containing discrepancies in codes or

names
 e.g., Age=“42” Birthday=“03/07/1997”
 e.g., Was rating “1,2,3”, now rating “A, B, C”
 e.g., discrepancy between duplicate records

Why Is Data Dirty?
 Incomplete data may come from
 “Not applicable” data value when collected
 Different considerations between the time when the data was
collected and when it is analyzed.
 Human/hardware/software problems
 Noisy data (incorrect values) may come from
 Faulty data collection instruments
 Human or computer error at data entry
 Errors in data transmission
 Inconsistent data may come from
 Different data sources
 Functional dependency violation (e.g., modify some linked data)
 Duplicate records also need data cleaning

Why Is Data Preprocessing
Important?
 No quality data, no quality mining results!
 Quality decisions must be based on quality data
 e.g., duplicate or missing data may cause incorrect or even
misleading statistics.
 Data warehouse needs consistent integration of quality
data
 Data extraction, cleaning, and transformation comprises
the majority of the work of building a data warehouse

Multi-Dimensional Measure of Data Quality
 A well-accepted multidimensional view:

 Accuracy
 Completeness
 Consistency
 Timeliness
 Believability
 Value added
 Interpretability
 Accessibility
 Broad categories:
 Intrinsic, contextual, representational, and accessibility

Major Tasks in Data Preprocessing
 Data cleaning
 Fill in missing values, smooth noisy data, identify or remove
outliers, and resolve inconsistencies
 Data integration
 Integration of multiple databases, data cubes, or files
 Data transformation
 Normalization and aggregation
 Data reduction
 Obtains reduced representation in volume but produces the same
or similar analytical results
 Data discretization
 Part of data reduction but with particular importance, especially
for numerical data

Forms of Data Preprocessing

Mining Data Descriptive Characteristics
 Motivation
 To better understand the data: central tendency, variation
and spread
 Data dispersion characteristics
 median, max, min, quantiles, outliers, variance, etc.
 Numerical dimensions correspond to sorted intervals
 Data dispersion: analyzed with multiple granularities of
precision
 Boxplot or quantile analysis on sorted intervals
 Dispersion analysis on computed measures
 Folding measures into numerical dimensions
 Boxplot or quantile analysis on the transformed cube
Measuring the Central Tendency

1 n x
 Mean (algebraic measure) (sample vs. population): x   xi
n i 1 N
n
 Weighted arithmetic mean: w x i i
x i 1
 Trimmed mean: chopping extreme values n
w
i 1
i
 Median: A holistic measure

 Middle value if odd number of values, or average of the middle two
values otherwise
 Estimated by interpolation (for grouped data): n / 2  ( f )l
median  L1  ( )c
 Mode f median
 Value that occurs most frequently in the data
 Unimodal, bimodal, trimodal
 Empirical formula: mean  mode  3  (mean  median)
Symmetric vs. Skewed
Data
 Median, mean and mode of symmetric,

positively and negatively skewed data
October 13, 2021 Data Mining: Concepts and Techniques 60

Measuring the Dispersion of Data
 Quartiles, outliers and boxplots
 Quartiles: Q1 (25th percentile), Q3 (75th percentile)
 Inter-quartile range: IQR = Q3 – Q1
 Five number summary: min, Q1, M, Q3, max
 Boxplot: ends of the box are the quartiles, median is marked, whiskers, and
plot outlier individually
 Outlier: usually, a value higher/lower than 1.5 x IQR
 Variance and standard deviation (sample: s, population: σ)
 Variance: (algebraic, scalable computation)
1 n 1 n 2 1 n 1 n
1 n
s 
2

n  1 i 1
( xi  x ) 
2
[ xi  ( xi ) 2 ]
n  1 i 1 n i 1
 
2
N

i 1
( xi  
2
) 
N
 xi   2
i 1
2
 Standard deviation s (or σ) is the square root of variance s2 (or σ2)

Properties of Normal Distribution Curve
 The normal (distribution) curve

 From μ–σ to μ+σ: contains about 68% of the
measurements (μ: mean, σ: standard deviation)

 From μ–2σ to μ+2σ: contains about 95% of it
 From μ–3σ to μ+3σ: contains about 99.7% of it

Boxplot Analysis
 Five-number summary of a distribution:

Minimum, Q1, M, Q3, Maximum
 Boxplot
 Data is represented with a box
 The ends of the box are at the first and third
quartiles, i.e., the height of the box is IRQ
 The median is marked by a line within the box
 Whiskers: two lines outside the box extend to
Minimum and Maximum

Visualization of Data Dispersion: Boxplot Analysis

Histogram Analysis
 Graph displays of basic statistical class descriptions

 Frequency histograms
 A univariate graphical method
 Consists of a set of rectangles that reflect the counts or
frequencies of the classes present in the given data

Quantile Plot
 Displays all of the data (allowing the user to assess both
the overall behavior and unusual occurrences)
 Plots quantile information
 For a data x data sorted in increasing order, f
i i
indicates that approximately 100 fi% of the data are
below or equal to the value xi

Quantile-Quantile (Q-Q) Plot
 Graphs the quantiles of one univariate distribution against
the corresponding quantiles of another
 Allows the user to view whether there is a shift in going
from one distribution to another

Scatter plot
 Provides a first look at bivariate data to see clusters of
points, outliers, etc
 Each pair of values is treated as a pair of coordinates and
plotted as points in the plane

Loess Curve
 Adds a smooth curve to a scatter plot in order to
provide better perception of the pattern of dependence
 Loess curve is fitted by setting two parameters: a
smoothing parameter, and the degree of the
polynomials that are fitted by the regression

Positively and Negatively Correlated
Data

Not Correlated Data

Graphic Displays of Basic Statistical Descriptions
 Histogram: (shown before)

 Boxplot: (covered before)
 Quantile plot: each value xi is paired with fi indicating
that approximately 100 fi % of data are  xi
 Quantile-quantile (q-q) plot: graphs the quantiles of one
univariant distribution against the corresponding quantiles
of another
 Scatter plot: each pair of values is a pair of coordinates
and plotted as points in the plane
 Loess (local regression) curve: add a smooth curve to a
scatter plot to provide better perception of the pattern of
dependence

Data Cleaning
 Importance
 “Data cleaning is one of the three biggest problems
in data warehousing”—Ralph Kimball

 “Data cleaning is the number one problem in data
warehousing”—DCI survey
 Data cleaning tasks
 Fill in missing values
 Identify outliers and smooth out noisy data
 Correct inconsistent data
 Resolve redundancy caused by data integration
Missing Data
 Data is not always available

 E.g., many tuples have no recorded value for several
attributes, such as customer income in sales data
 Missing data may be due to
 equipment malfunction
 inconsistent with other recorded data and thus deleted
 data not entered due to misunderstanding
 certain data may not be considered important at the time of
entry
 not register history or changes of the data
 Missing data may need to be inferred.

How to Handle Missing Data?
 Ignore the tuple: usually done when class label is missing (assuming
the tasks in classification—not effective when the percentage of
missing values per attribute varies considerably.
 Fill in the missing value manually: tedious + infeasible?
 Fill in it automatically with
 a global constant : e.g., “unknown”, a new class?!
 the attribute mean
 the attribute mean for all samples belonging to the same class:
smarter
 the most probable value: inference-based such as Bayesian formula
or decision tree

Noisy Data
 Noise: random error or variance in a measured variable
 Incorrect attribute values may due to
 faulty data collection instruments
 data entry problems
 data transmission problems
 technology limitation
 inconsistency in naming convention
 Other data problems which requires data cleaning

 duplicate records
 incomplete data
 inconsistent data

How to Handle Noisy Data?
 Binning
 first sort data and partition into (equal-frequency) bins
 then one can smooth by bin means, smooth by bin
median, smooth by bin boundaries, etc.

 Regression
 smooth by fitting the data into regression functions
 Clustering
 detect and remove outliers
 Combined computer and human inspection

 detect suspicious values and check by human (e.g.,
deal with possible outliers)

Simple Discretization Methods: Binning
 Equal-width (distance) partitioning

 Divides the range into N intervals of equal size: uniform grid
 if A and B are the lowest and highest values of the attribute, the
width of intervals will be: W = (B –A)/N.
 The most straightforward, but outliers may dominate presentation
 Skewed data is not handled well
 Equal-depth (frequency) partitioning
 Divides the range into N intervals, each containing approximately
same number of samples
 Good data scaling
 Managing categorical attributes can be tricky
Binning Methods for Data Smoothing
 Sorted data for price (in dollars): 4, 8, 9, 15, 21, 21, 24, 25, 26,
28, 29, 34
* Partition into equal-frequency (equi-depth) bins:
- Bin 1: 4, 8, 9, 15
- Bin 2: 21, 21, 24, 25
- Bin 3: 26, 28, 29, 34
* Smoothing by bin means:
- Bin 1: 9, 9, 9, 9
- Bin 2: 23, 23, 23, 23
- Bin 3: 29, 29, 29, 29
* Smoothing by bin boundaries:
- Bin 1: 4, 4, 4, 15
- Bin 2: 21, 21, 25, 25
- Bin 3: 26, 26, 26, 34

Regression
Y1
Y1’ y=x+1
X1 x

Cluster Analysis

Data Cleaning as a Process
 Data discrepancy detection
 Use metadata (e.g., domain, range, dependency, distribution)
 Check field overloading
 Check uniqueness rule, consecutive rule and null rule
 Use commercial tools
 Data scrubbing: use simple domain knowledge (e.g., postal
code, spell-check) to detect errors and make corrections

 Data auditing: by analyzing data to discover rules and
relationship to detect violators (e.g., correlation and clustering

to find outliers)
 Data migration and integration
 Data migration tools: allow transformations to be specified
 ETL (Extraction/Transformation/Loading) tools: allow users to
specify transformations through a graphical user interface

 Integration of the two processes
 Iterative and interactive (e.g., Potter’s Wheels)

Data Integration
 Data integration:
 Combines data from multiple sources into a coherent
store
 Schema integration: e.g., A.cust-id  B.cust-#
 Integrate metadata from different sources
 Entity identification problem:

 Identify real world entities from multiple data sources,
e.g., Bill Clinton = William Clinton

 Detecting and resolving data value conflicts
 For the same real world entity, attribute values from
different sources are different

 Possible reasons: different representations, different
scales, e.g., metric vs. British units

Handling Redundancy in Data Integration
 Redundant data occur often when integration of multiple

databases
 Object identification: The same attribute or object
may have different names in different databases
 Derivable data: One attribute may be a “derived”
attribute in another table, e.g., annual revenue
 Redundant attributes may be able to be detected by
correlation analysis
 Careful integration of the data from multiple sources may
help reduce/avoid redundancies and inconsistencies and
improve mining speed and quality

Correlation Analysis (Numerical Data)
 Correlation coefficient (also called Pearson’s product

moment coefficient)
rA, B 
 ( A  A)( B  B )  ( AB)  n A B

(n  1)AB (n  1)AB
where n is the number of tuples, A and B are the respective

means of A and B, σA and σB are the respective standard deviation
of A and B, and Σ(AB) is the sum of the AB cross-product.
 If rA,B > 0, A and B are positively correlated (A’s values
increase as B’s). The higher, the stronger correlation.
 rA,B = 0: independent; rA,B < 0: negatively correlated

Correlation Analysis (Categorical Data)
 Χ2 (chi-square) test
(Observed  Expected ) 2
2  
Expected
 The larger the Χ2 value, the more likely the variables are
related
 The cells that contribute the most to the Χ2 value are
those whose actual count is very different from the
expected count
 Correlation does not imply causality
 # of hospitals and # of car-theft in a city are correlated
 Both are causally linked to the third variable: population

Chi-Square Calculation: An Example
Play chess Not play chess Sum (row)

Like science fiction 250(90) 200(360) 450
Not like science fiction 50(210) 1000(840) 1050
Sum(col.) 300 1200 1500
 Χ2 (chi-square) calculation (numbers in parenthesis are

expected counts calculated based on the data distribution
in the two categories)
( 250  90 ) 2
(50  210) 2
( 200  360) 2
(1000  840) 2
2      507.93
90 210 360 840
 It shows that like_science_fiction and play_chess are
correlated in the group
Data Transformation
 Smoothing: remove noise from data

 Aggregation: summarization, data cube construction
 Generalization: concept hierarchy climbing
 Normalization: scaled to fall within a small, specified
range
 min-max normalization
 z-score normalization
 normalization by decimal scaling
 Attribute/feature construction
 New attributes constructed from the given ones

Data Transformation: Normalization
 Min-max normalization: to [new_minA, new_maxA]
v  minA
v'  (new _ maxA  new _ minA)  new _ minA
maxA  minA
 Ex. Let income range $12,000 to $98,000 normalized to [0.0,
73,600  12,000
1.0]. Then $73,000 is mapped to 98,000  12,000 (1.0  0)  0  0.716
 Z-score normalization (μ: mean, σ: standard deviation):
v  A
v' 
 A
73,600  54,000
 Ex. Let μ = 54,000, σ = 16,000. Then  1.225
16,000
 Normalization by decimal scaling
v
v'  j Where j is the smallest integer such that Max(|ν’|) < 1
10
Data Reduction Strategies
 Why data reduction?
 A database/data warehouse may store terabytes of data
 Complex data analysis/mining may take a very long time to run
on the complete data set

 Data reduction
 Obtain a reduced representation of the data set that is much
smaller in volume but yet produce the same (or almost the
same) analytical results
 Data reduction strategies
 Data cube aggregation:
 Dimensionality reduction — e.g., remove unimportant attributes
 Data Compression
 Numerosity reduction — e.g., fit data into models
 Discretization and concept hierarchy generation

Data Cube Aggregation
 The lowest level of a data cube (base cuboid)

 The aggregated data for an individual entity of interest
 E.g., a customer in a phone calling data warehouse
 Multiple levels of aggregation in data cubes
 Further reduce the size of data to deal with
 Reference appropriate levels
 Use the smallest representation which is enough to
solve the task
 Queries regarding aggregated information should be
answered using data cube, when possible
Attribute Subset Selection
 Feature selection (i.e., attribute subset selection):
 Select a minimum set of features such that the
probability distribution of different classes given the

values for those features is as close as possible to the
original distribution given the values of all features
 reduce # of patterns in the patterns, easier to
understand
 Heuristic methods (due to exponential # of choices):
 Step-wise forward selection
 Step-wise backward elimination
 Combining forward selection and backward elimination
 Decision-tree induction

Example of Decision Tree Induction
Initial attribute set:

{A1, A2, A3, A4, A5, A6}
A4 ?
A1? A6?
Class 1 Class 2 Class 1 Class 2
Reduced
> attribute set: {A1, A4, A6}
Heuristic Feature Selection Methods
 There are 2d possible sub-features of d features

 Several heuristic feature selection methods:
 Best single features under the feature independence
assumption: choose by significance tests

 Best step-wise feature selection:
 The best single-feature is picked first
 Then next best feature condition to the first, ...
 Step-wise feature elimination:
 Repeatedly eliminate the worst feature
 Best combined feature selection and elimination
 Optimal branch and bound:
 Use feature elimination and backtracking

Data Compression
 String compression
 There are extensive theories and well-tuned algorithms
 Typically lossless
 But only limited manipulation is possible without
expansion
 Audio/video compression
 Typically lossy compression, with progressive
refinement
 Sometimes small fragments of signal can be
reconstructed without reconstructing the whole

 Time sequence is not audio
 Typically short and vary slowly with time

Data Compression
Original Data Compressed

Data
lossless
s sy
lo
Original Data
Approximated

Dimensionality Reduction:
Wavelet Transformation
Haar2 Daubechie4
 Discrete wavelet transform (DWT): linear signal processing,
multi-resolutional analysis
 Compressed approximation: store only a small fraction of
the strongest of the wavelet coefficients
 Similar to discrete Fourier transform (DFT), but better lossy
compression, localized in space
 Method:
 Length, L, must be an integer power of 2 (padding with 0’s, when
necessary)
 Each transform has 2 functions: smoothing, difference
 Applies to pairs of data, resulting in two set of data of length L/2
 Applies two functions recursively, until reaches the desired length

DWT for Image Compression
 Image
Low Pass High Pass
Low Pass High Pass
Low Pass High Pass

Dimensionality Reduction: Principal
Component Analysis (PCA)
 Given N data vectors from n-dimensions, find k ≤ n orthogonal
vectors (principal components) that can be best used to represent data
 Steps
 Normalize input data: Each attribute falls within the same range
 Compute k orthonormal (unit) vectors, i.e., principal components
 Each input data (vector) is a linear combination of the k principal
component vectors
 The principal components are sorted in order of decreasing
“significance” or strength
 Since the components are sorted, the size of the data can be
reduced by eliminating the weak components, i.e., those with low

variance. (i.e., using the strongest principal components, it is
possible to reconstruct a good approximation of the original data
 Works for numeric data only
 Used when the number of dimensions is large

Principal Component Analysis
X2
Y1
Y
2
X1

Numerosity Reduction
 Reduce data volume by choosing alternative, smaller
forms of data representation
 Parametric methods
 Assume the data fits some model, estimate model
parameters, store only the parameters, and discard

the data (except possible outliers)
 Example: Log-linear models—obtain value at a point
in m-D space as the product on appropriate marginal

subspaces
 Non-parametric methods
 Do not assume models
 Major families: histograms, clustering, sampling

Data Reduction Method (1): Regression
and Log-Linear Models
 Linear regression: Data are modeled to fit a straight line

 Often uses the least-square method to fit the line
 Multiple regression: allows a response variable Y to be
modeled as a linear function of multidimensional feature
vector
 Log-linear model: approximates discrete
multidimensional probability distributions

Regress Analysis and Log-Linear Models
 Linear regression: Y = w X + b
 Two regression coefficients, w and b, specify the line
and are to be estimated by using the data at hand

 Using the least squares criterion to the known values
of Y1, Y2, …, X1, X2, ….

 Multiple regression: Y = b0 + b1 X1 + b2 X2.
 Many nonlinear functions can be transformed into the
above
 Log-linear models:
 The multi-way table of joint probabilities is
approximated by a product of lower-order tables

 Probability: p(a, b, c, d) = ab acad bcd

Data Reduction Method (2): Histograms
40
 Divide data into buckets and store
average (sum) for each bucket 35
 Partitioning rules: 30
 Equal-width: equal bucket range 25
 Equal-frequency (or equal-
20
depth)
 V-optimal: with the least 15
histogram variance (weighted 10
sum of the original values that
each bucket represents) 5
 MaxDiff: set bucket boundary 0
between each pair for pairs have 10000 30000 50000 70000 90000
the β–1 largest differences

Data Reduction Method (3): Clustering
 Partition data set into clusters based on similarity, and store cluster
representation (e.g., centroid and diameter) only
 Can be very effective if data is clustered but not if data is “smeared”
 Can have hierarchical clustering and be stored in multi-dimensional
index tree structures
 There are many choices of clustering definitions and clustering
algorithms
 Cluster analysis will be studied in depth in Unit-5

Data Reduction Method (4):
Sampling
 Sampling: obtaining a small sample s to represent the
whole data set N
 Allow a mining algorithm to run in complexity that is
potentially sub-linear to the size of the data
 Choose a representative subset of the data
 Simple random sampling may have very poor
performance in the presence of skew

 Develop adaptive sampling methods
 Stratified sampling:
 Approximate the percentage of each class (or
subpopulation of interest) in the overall database

 Used in conjunction with skewed data
 Note: Sampling may not reduce database I/Os (page at a

time)
Sampling: with or without Replacement
W O R
SRS le random
im p h o u t
(s e w it
m p l t)
s a me n
l ac e
rep
SRSW
R
Raw Data
Sampling: Cluster or Stratified Sampling
Raw Data Cluster/Stratified Sample

Discretization
 Three types of attributes:

 Nominal — values from an unordered set, e.g., color, profession
 Ordinal — values from an ordered set, e.g., military or academic
rank
 Continuous — real numbers, e.g., integer or real numbers
 Discretization:
 Divide the range of a continuous attribute into intervals
 Some classification algorithms only accept categorical attributes.
 Reduce data size by discretization
 Prepare for further analysis

Discretization and Concept Hierarchy
 Discretization
 Reduce the number of values for a given continuous attribute by
dividing the range of the attribute into intervals
 Interval labels can then be used to replace actual data values
 Supervised vs. unsupervised
 Split (top-down) vs. merge (bottom-up)
 Discretization can be performed recursively on an attribute
 Concept hierarchy formation
 Recursively reduce the data by collecting and replacing low level
concepts (such as numeric values for age) by higher level concepts
(such as young, middle-aged, or senior)

Discretization and Concept Hierarchy
Generation for Numeric Data
 Typical methods: All the methods can be applied recursively

 Binning (covered above)
 Top-down split, unsupervised,
 Histogram analysis (covered above)
 Top-down split, unsupervised
 Clustering analysis (covered above)
 Either top-down split or bottom-up merge, unsupervised
 Entropy-based discretization: supervised, top-down split
 Interval merging by 2 Analysis: unsupervised, bottom-up merge
 Segmentation by natural partitioning: top-down split, unsupervised

Entropy-Based Discretization
 Given a set of samples S, if S is partitioned into two intervals S1 and S2
using boundary T, the information gain after partitioning is
|S | |S |
I ( S , T )  1 Entropy ( S 1)  2 Entropy ( S 2)
|S| |S|
 Entropy is calculated based on class distribution of the samples in the
set. Given m classes, the entropy of S1 is
m
Entropy ( S1 )   pi log 2 ( pi )
i 1
where pi is the probability of class i in S1

 The boundary that minimizes the entropy function over all possible
boundaries is selected as a binary discretization
 The process is recursively applied to partitions obtained until some
stopping criterion is met
 Such a boundary may reduce data size and improve classification
accuracy
Interval Merge by 2 Analysis
 Merging-based (bottom-up) vs. splitting-based methods
 Merge: Find the best neighboring intervals and merge them to form
larger intervals recursively
 ChiMerge [Kerber AAAI 1992, See also Liu et al. DMKD 2002]
 Initially, each distinct value of a numerical attr. A is considered to be
one interval
 2 tests are performed for every pair of adjacent intervals
 Adjacent intervals with the least 2 values are merged together, since
low 2 values for a pair indicate similar class distributions
 This merge process proceeds recursively until a predefined stopping
criterion is met (such as significance level, max-interval, max
inconsistency, etc.)
Segmentation by Natural Partitioning
 A simply 3-4-5 rule can be used to segment numeric data

into relatively uniform, “natural” intervals.
 If an interval covers 3, 6, 7 or 9 distinct values at the
most significant digit, partition the range into 3 equi-
width intervals
 If it covers 2, 4, or 8 distinct values at the most
significant digit, partition the range into 4 intervals
 If it covers 1, 5, or 10 distinct values at the most
significant digit, partition the range into 5 intervals

Example of 3-4-5 Rule
count
Step 1: -$351 -$159 profit $1,838 $4,700

Min Low (i.e, 5%-tile) High(i.e, 95%-0 tile) Max
Step 2: msd=1,000 Low=-$1,000 High=$2,000
(-$1,000 - $2,000)
Step 3:
(-$1,000 - 0) (0 -$ 1,000) ($1,000 - $2,000)
(-$400 -$5,000)
Step 4:
(-$400 - 0) ($2,000 - $5, 000)

(0 - $1,000) ($1,000 - $2, 000)
(0 -
(-$400 - ($1,000 -
$200)
$1,200) ($2,000 -
-$300)
($200 - $3,000)
($1,200 -
(-$300 - $400)
$1,400)
-$200) ($3,000 -
($400 - ($1,400 - $4,000)
(-$200 - $600) $1,600) ($4,000 -
-$100) $5,000)
($600 - ($1,600 -
$800) ($800 - ($1,800 -
$1,800)
(-$100 - $1,000) $2,000)
0)
Concept Hierarchy Generation for Categorical Data
 Specification of a partial/total ordering of attributes

explicitly at the schema level by users or experts
 street < city < state < country
 Specification of a hierarchy for a set of values by explicit
data grouping
 {Urbana, Champaign, Chicago} < Illinois
 Specification of only a partial set of attributes
 E.g., only street < city, not others
 Automatic generation of hierarchies (or attribute levels) by
the analysis of the number of distinct values
 E.g., for a set of attributes: {street, city, state, country}
Automatic Concept Hierarchy Generation
 Some hierarchies can be automatically generated based
on the analysis of the number of distinct values per
attribute in the data set
 The attribute with the most distinct values is placed
at the lowest level of the hierarchy

 Exceptions, e.g., weekday, month, quarter, year
country 15 distinct values
province_or_ state 365 distinct

values
city 3567 distinct values
street 674,339 distinct values

Measures of Similarity and Dissimilarity
Similarity and Dissimilarity

 Distance or similarity measures are essential to solve
many pattern recognition problems such as classification
and clustering.
 Various distance/similarity measures are available in
literature to compare two data distributions.
 As the names suggest, a similarity measures how close
two distributions are.
 For multivariate data complex summary methods are
developed to answer this question.

Measures of Similarity and Dissimilarity
Similarity Measure
 Numerical measure of how alike two data objects are.
 Often falls between 0 (no similarity) and 1 (complete
similarity).
Dissimilarity Measure
 Numerical measure of how different two data objects are.
 Range from 0 (objects are alike) to ∞ (objects are
different).
Proximity refers to a similarity or dissimilarity.

Similarity/Dissimilarity for Simple Attributes
Here, p and q are the attribute values for two data objects.

Common Properties of Dissimilarity Measures
 Distance, such as the Euclidean distance, is a dissimilarity measure and has some well known properties:
 d(p, q) ≥ 0 for all p and q, and d(p, q) = 0 if and only if p = q,
 d(p, q) = d(q,p) for all p and q,
 d(p, r) ≤ d(p, q) + d(q, r) for all p, q, and r, where d(p, q) is the distance (dissimilarity) between points (data objects), p and q.

Euclidean Distance
 Assume that we have measurements xik, i = 1, … , N, on variables k = 1, … , p (also called attributes).

 The Euclidean distance between the ith and jth objects is

Minkowski Distance
 The Minkowski distance is a generalization of the Euclidean distance.

 With the measurement, xik , i = 1, … , N, k = 1, … , p, the Minkowski distance is

Mahalanobis Distance

Question Bank
Short Answer Questions

1) Define data mining?
2) Distinguish between data mining and data warehouse?
3) Identify any three functionality of data mining?
4) Interpret major issues in data mining?
5) Name the steps in the process of knowledge discovery?
6) Differentiate classification and Prediction?
7) List the types of data that can be mined?
8) Define data characterization?
9) Express what is a decision tree?
10) Explain the outlier analysis?

Question Bank
Short Answer Questions cont’d

11) Name the steps involved in data preprocessing?
12) Interpret the dimensionality reduction?
13) What are the measures of Similarity and Dissimilarity?
14) What is Feature Subset Selection?
15) What is Discretization?
16) What is Binaryzation?
17) What are the challenges of Data Mining?
18) What are the applications of Data Mining?
19) What is KDD?
20) What is Missing Data?

Question Bank
Long Answer Questions

1) Describe data mining? In your answer, address the following:
a. Is it another hype?
b. Is it a simple transformation of Technology developed from databases, statistics, and
machine learning?
c. Explain how the evolutions of database technology lead to data mining?
d. Describe the steps involved in data mining when viewed as a process of knowledge
discovery.Discuss briefly about the multidimensional data models?
2) Explain the difference between discrimination and classification? Between
characterization and clustering? Between classification and prediction? For each of
these pairs of tasks, how are they similar?

Question Bank
Long Answer Questions cont’d

3) Describe three challenges to data mining regarding data mining methodology
and user interaction issues?
4) Distinguish between the data warehouses and data mining?
5) Discuss briefly about the data smoothing techniques?
6) Explain Data Integration and Transformation?
7) Describe the various data reduction techniques?
8) Define data cleaning? Express the different techniques for handling missing
values?
9) Differentiate between descriptive and predictive data mining?

Question Bank
Long Answer Questions cont’d

10) Explain data mining as a step in the process of knowledge discovery?
11) Describe briefly Discretization and concept hierarchy generation for
numerical data?
12) Discuss about the concept hierarchy generation for categorical data?
13) List and describe the five primitives for specifying a data mining task?
14) Discuss issues to consider during data integration?
15) Explain Data quality can be assessed in terms of accuracy, completeness,
and consistency. Propose two other dimensions of data quality.

RMM Unit-I Introdution To Data Mining

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IV Year B.Tech. CSE I-Semester (R16 B.

Course Name: DATA MINING

Dr. R. MADANA MOHANA., M.E, Ph.D

 Discuss classification algorithms learn how data is grouped using clustering

 Develop the abilities of critical analysis to data mining systems and

 Implement practical and theoretical understanding of the technologies for

 Understand the strengths and limitations of various data mining models

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At the end of this course, each student should be able to:

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Unit-I: Introduction to Data Mining

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Unit-II: Association Rules

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Unit-V: Web and Text Mining

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3. Data mining Techniques and Applications, Hongbo Du Cengage India Publishing

1. Data Mining Techniques, Arun K Pujari, 3rd Edition, Universities Press.

3. Data Mining, Vikaram Pudi, P Radha Krishna, Oxford University Press

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 Introduction: What is Data Mining, Definition

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 Introduction: What is Data Mining, Definition

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 The Explosive Growth of Data: from terabytes to petabytes

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 Introduction: What is Data Mining, Definition

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 Data mining—core of Pattern Evaluation

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 Data mining may generate thousands of patterns: Not all of them

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 Find all the interesting patterns: Completeness

Data Presentation Business

Data Preprocessing/Integration, Data Warehouses

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 Introduction: What is Data Mining, Definition

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 Data analysis and decision support

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 Finance planning and asset evaluation

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 Approaches: Clustering & model construction for frauds, outlier analysis

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 Introduction: What is Data Mining, Definition

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