Knowledge Acquisition In
Decision Making (SQIT 3033)
Izwan Nizal Mohd Shaharanee
SQS 4017/ 6866
nizal@uum.edu.my
izwan.nizal@gmail.com
Course Objective







To introduce :: knowledge about data mining
and data warehouse
To evaluate and understand several data
mining techniques
To enhance skill on data mining through
analysis problem in business
Being able to apply the commonly used
functions of SAS Enterprise Miner and
WEKA to solve data mining problems
Developing the skills of data mining modeling
and data analysis with SAS Enterprise Miner
and WEKA
Course Content





Intro to Knowledge Acquisition aka ~knowledge discovery~
(3 hours)
Knowledge Discovery Process (4 hours)
Pre-processing data (5 hours)
Predictive Modeling (10 hours)





Evaluation And Implementation (6 hours)
Descriptive Modeling (7 hours)





Decision Tree, Regression, Neural Network, Rough Set
Clustering, Association Rules

Data mining ethics (1.5 hours)
PROJECT PRESENTATION
Course Evaluation
 Assignments
 Case

study + Presentations
 Project + Poster Presentations
 Mid Term ? Quizzes ?
 Class PARTICIPATION !!
 Final Exam 40%

60%
PreRequisites








A “Basic statistics course such as
SQQS2023”Bussiness Statistical”+” programming
language knowledge”+“SAS knowledge”+”Database”+
“spreadsheet+ web 2.0”
Passion in computer applications
Dare to take the challenges
Have a sincere heart to understand infinite God’s
knowledge
Attendance is compulsory (no freely “tuang kelas”)
Behave your “gadget". Please respect others
Timetable
Please introduce yourself..
http://padlet.com/wall/8yly4q2yu8
Facebook Group
https://www.facebook.com/dataharvester2.0
Youtube Channel + Vimeo Video
izwan nizal
http://www.theage.com.au/it-pro/business-it/data-miners-find-theres-gold-in-them-tharfiles-20120511-1yi3q.html
The Age of Big Data




“The BBC documentary follows people who mine
Big Data, including LAPD police officers who use
data to predict crime, a London scientist/trader
who makes millions with math, and a South
African astronomer who wants to catalog the
entire cosmos.”
“Data Scientist” is the sexiest job of the 21st
century. The Harvard Business Review made this
claim last October and it seems that everyone
(including your grandmother) has been repeating it
ever since.
Why Knowledge Acquisitions ?


Why?

Data explosion (tremendous amount of data available + cloud
computing)
 Data is being warehoused
 Computing power – Bionic Skin?
 Competitive pressure


Hard Disk Nowadays more than 1TB capacities
What is Knowledge Acquisitions ?







aka :: data mining, knowledge discovery, knowledge
extraction, information discovery, information
harvesting ect.
Process of discovering useful information,hidden
pattern or rules in large quantities of data ( nontrivial, unknown data)
By automatic or semiautomatic means
It’s impossible to find pattern using manual method.
Traditional Approaches






Traditional database queries:. Access a
database using a well defined query such as
SQL
The query output consist of data from
database
The output usually a subset of the database
SQL
DBMS

DB
Disciplines Of Data Mining
Database System

Machine Learning

Algorithm

Statistics

Data Mining

Visualization

Information Retrieval
Data Mining Model & Task
Data Mining

Predictive

Descriptive

•Classification

•Clustering

•Time

•Association

•Regression

Series Analysis
•Prediction

•Summarization

Rules
•Sequence Discovery
Try to related with your previous
knowledge?
Hmmm…how this data mining differ with
forecasting or prediction?
 Are there similar?

Predictive Model





Make prediction about values of data using
known results found from different data
Or based on the use of other historical data
Example:: credit card fraud, breast cancer
early warning, terrorist act, tsunami and ect.
 Ghost

Protocol, Minority Report, Eagle Eye,
Predictive Model






Perform inference on the current data to make
predictions.
We know what to predict based on historical data)
Never accurate 100%
Concentrate more to input output relation ship ( x,f(x))
Typical Question
 Which costumer are likely to buy this product next
four month
 What kind of transactions that are likely to be
fraudulent
 Who is likely to drop this paper?
Predictive Model
Profit (RM)

O ? Future data

x x x
x x x x x
x
xx x x x
x x

Current data
months
Descriptive Model








Identifies pattern or relationships in data.
Serves as a way to explore the properties of data
examined, not to predict new properties
Always required a domain expert
Example::
Segmenting marketing area
Profiling student performances
Profiling GooglePlay/ AppleApps customer
Descriptive Model







Discovering new patterns inside the data
We may don’t have any idea how the data looks like
Explores the properties of the data examined
Pattern at various granularities (eg: Student: University> faculty->program-> major?
Typical Question
 What is the data
 What does it look like
 What does the data suggest for group of costumer
advertisement?
Descriptive Model
Results
y
o

y
y

y

y
y

y y
y

y

o
o
o
y y
o
o o o
y
o
Group 3
o o o
y
o
y
x x
o o
x
o
x x
x
x
x
Group 2
x x
Group 1

major
View Of DM








Data To Be Mined
 Data warehouse, WWW, time series, textual. spatial
multimedia, transactional
Knowledge To Be Mined
 Classification, prediction, summarization, trend
Techniques Utilized
 Database, machine learning, visualization, statistics
Applications Adapted
 Marketing, demographic segmentation, stock analysis
DM In Action







Medical Applications ::clinical diagnosis, drug analysis
Business (marketing segmentation & strategies, insolvency
predictor, loan risk assessment
Education (Online learning)
Internet (searching engine)
Ect
Data Mining Methodology


Hypothesis Testing vs Knowledge Discovery
 Hypothesis



Top down approach
Attempts to substantiate or disprove preconceived idea

 Knowledge



Testing

Discovery

Bottom-up approach
Start with data and tries to get it to tell us something
we didn’t already know
Data Mining Methodology


Hypothesis Testing
 Generate

good ideas
 Determine what data allow these hypotheses to be
tested
 Locate the data
 Prepare the data for analysis
 Build computer models based on the data
 Evaluate computer model to confirm or reject
hypotheses
Data Mining Methodology


Knowledge Discovery
 Directed











Identified sources of pre classified data
Prepare data analysis
Select appropriated KD techniques based on data
characteristics and data mining goal
Divide data into training, testing and evaluation
Use the training dataset to build model
Tune the model by applying it to test dataset
Take action based on data mining results
Measure the effect of the action taken
Restart the DM process taking advantage of new data
generated by the action taken
Data Mining Methodology


Knowledge Discovery
 Undirected









Identified available data sources
Prepare data analysis
Select appropriated undirected KD techniques based on
data characteristics and data mining goal
Use the selected technique to uncover hidden structure in
the data
Identify potential targets for directed KD
Generate new hypothesis to test
Revision::
Two Approaches In data Mining
Predict the future value

Data Mining

Predictive

Define R/S among data

Descriptive

•Classification

•Clustering

•Time

•Association

•Regression

Series Analysis
•Prediction

•Summarization

Rules
•Sequence Discovery
Knowledge Discovery Process
Knowledge Discovery Process
Knowledge Discovery Process


1.0 Selection
 The

data needs for the data mining process may be
obtained from many different and heterogeneous
data sources
 Examples





Business Transactions
Scientific Data
Video and pictures
UUM Student Database
Knowledge Discovery Process



2.0 Pre Processing
Main idea – to ensure that data is clean (high quality of
data).
 The data to be used by the process may have
incorrect or missing data.
 There may be anomalous data from multiple
sources involving different data types and
metrics
 Erroneous data may be corrected or removed,
whereas missing data must be supplied or
predicted (Often using data mining tools)
Knowledge Discovery Process


3.0 Transformation
 Data

from different sources must be converted
into a common format for processing
 Some data may be encoded or transformed into
more usable formats
 Example::


Data Reduction Data Cleaning, Data Integration,
Data Transformation, Data Reduction and Data
Discretization
Knowledge Discovery Process









4.0 Data Mining
Main idea –to use intelligent method to extract patterns
and knowledge from database
This step applies algorithms to the transformed data to
generate the desired results.
The heart of KD process (where unknown pattern will be
revealed).
Example of algorithms: Regression (classification,
prediction), Neural Networks (prediction, classification,
clustering), Apriori Algorithms (association rules), KMeans & K-Nearest Neighbor (clustering), Decision
Tree (classification), Instance Learning (classification).
Knowledge Discovery Process


5.0 Interpretation/Evaluation
 How

the data mining results are presented to the
users is extremely important because the
usefulness of the results is dependent on it
 Example::
 Graphical
 Geometric
 Icon Based
 Pixel Based
 Hierarchical Based
 Hybrid
Case Study: Predicting SQS Final
Year’s Studentrecord
Selected Performance
Student
database
{contains
30,000 records}
Academics
activities

Knowledge
(apply model)
Testing result:
90 % correct 
accept model

{matric, PMK, grades} –
only 2,000 records
(contains incomplete
records etc.

Clean record {replace
the missing value,
removed the replicated}
academics

Selection academics

Pre-processing
Transformation

Generated Model :
pattern for
prediction

Interpretation Y=w1x1+w2x2+b1
& evaluation
Data mining

Using neural
networks :
transform into
numerical.
Assignment 1






Group Assignment >> you may be selected (randomly) to present your
answer? (2 minutes max)
Discuss how prediction/forecasting related to your life? Or any issues
related to prediction/forecasting that might interest to you.
You may discuss






Give an appropriated example? Ect. Weather forecasting can determine your
daily exercise planning?
How it been done?

Minimum 1 pages
Due Date: 18 September 2013

Chapter 1: Introduction to Data Mining

  • 1.
    Knowledge Acquisition In DecisionMaking (SQIT 3033) Izwan Nizal Mohd Shaharanee SQS 4017/ 6866 [email protected] [email protected]
  • 2.
    Course Objective      To introduce:: knowledge about data mining and data warehouse To evaluate and understand several data mining techniques To enhance skill on data mining through analysis problem in business Being able to apply the commonly used functions of SAS Enterprise Miner and WEKA to solve data mining problems Developing the skills of data mining modeling and data analysis with SAS Enterprise Miner and WEKA
  • 3.
    Course Content     Intro toKnowledge Acquisition aka ~knowledge discovery~ (3 hours) Knowledge Discovery Process (4 hours) Pre-processing data (5 hours) Predictive Modeling (10 hours)    Evaluation And Implementation (6 hours) Descriptive Modeling (7 hours)    Decision Tree, Regression, Neural Network, Rough Set Clustering, Association Rules Data mining ethics (1.5 hours) PROJECT PRESENTATION
  • 4.
    Course Evaluation  Assignments Case study + Presentations  Project + Poster Presentations  Mid Term ? Quizzes ?  Class PARTICIPATION !!  Final Exam 40% 60%
  • 5.
    PreRequisites       A “Basic statisticscourse such as SQQS2023”Bussiness Statistical”+” programming language knowledge”+“SAS knowledge”+”Database”+ “spreadsheet+ web 2.0” Passion in computer applications Dare to take the challenges Have a sincere heart to understand infinite God’s knowledge Attendance is compulsory (no freely “tuang kelas”) Behave your “gadget". Please respect others
  • 6.
  • 7.
    Please introduce yourself.. http://padlet.com/wall/8yly4q2yu8 FacebookGroup https://www.facebook.com/dataharvester2.0 Youtube Channel + Vimeo Video izwan nizal
  • 8.
  • 9.
    The Age ofBig Data   “The BBC documentary follows people who mine Big Data, including LAPD police officers who use data to predict crime, a London scientist/trader who makes millions with math, and a South African astronomer who wants to catalog the entire cosmos.” “Data Scientist” is the sexiest job of the 21st century. The Harvard Business Review made this claim last October and it seems that everyone (including your grandmother) has been repeating it ever since.
  • 10.
    Why Knowledge Acquisitions?  Why? Data explosion (tremendous amount of data available + cloud computing)  Data is being warehoused  Computing power – Bionic Skin?  Competitive pressure  Hard Disk Nowadays more than 1TB capacities
  • 11.
    What is KnowledgeAcquisitions ?     aka :: data mining, knowledge discovery, knowledge extraction, information discovery, information harvesting ect. Process of discovering useful information,hidden pattern or rules in large quantities of data ( nontrivial, unknown data) By automatic or semiautomatic means It’s impossible to find pattern using manual method.
  • 12.
    Traditional Approaches    Traditional databasequeries:. Access a database using a well defined query such as SQL The query output consist of data from database The output usually a subset of the database SQL DBMS DB
  • 13.
    Disciplines Of DataMining Database System Machine Learning Algorithm Statistics Data Mining Visualization Information Retrieval
  • 14.
    Data Mining Model& Task Data Mining Predictive Descriptive •Classification •Clustering •Time •Association •Regression Series Analysis •Prediction •Summarization Rules •Sequence Discovery
  • 15.
    Try to relatedwith your previous knowledge? Hmmm…how this data mining differ with forecasting or prediction?  Are there similar? 
  • 16.
    Predictive Model    Make predictionabout values of data using known results found from different data Or based on the use of other historical data Example:: credit card fraud, breast cancer early warning, terrorist act, tsunami and ect.  Ghost Protocol, Minority Report, Eagle Eye,
  • 17.
    Predictive Model      Perform inferenceon the current data to make predictions. We know what to predict based on historical data) Never accurate 100% Concentrate more to input output relation ship ( x,f(x)) Typical Question  Which costumer are likely to buy this product next four month  What kind of transactions that are likely to be fraudulent  Who is likely to drop this paper?
  • 18.
    Predictive Model Profit (RM) O? Future data x x x x x x x x x xx x x x x x Current data months
  • 19.
    Descriptive Model        Identifies patternor relationships in data. Serves as a way to explore the properties of data examined, not to predict new properties Always required a domain expert Example:: Segmenting marketing area Profiling student performances Profiling GooglePlay/ AppleApps customer
  • 20.
    Descriptive Model      Discovering newpatterns inside the data We may don’t have any idea how the data looks like Explores the properties of the data examined Pattern at various granularities (eg: Student: University> faculty->program-> major? Typical Question  What is the data  What does it look like  What does the data suggest for group of costumer advertisement?
  • 21.
    Descriptive Model Results y o y y y y y y y y y o o o yy o o o o y o Group 3 o o o y o y x x o o x o x x x x x Group 2 x x Group 1 major
  • 22.
    View Of DM     DataTo Be Mined  Data warehouse, WWW, time series, textual. spatial multimedia, transactional Knowledge To Be Mined  Classification, prediction, summarization, trend Techniques Utilized  Database, machine learning, visualization, statistics Applications Adapted  Marketing, demographic segmentation, stock analysis
  • 23.
    DM In Action      MedicalApplications ::clinical diagnosis, drug analysis Business (marketing segmentation & strategies, insolvency predictor, loan risk assessment Education (Online learning) Internet (searching engine) Ect
  • 24.
    Data Mining Methodology  HypothesisTesting vs Knowledge Discovery  Hypothesis   Top down approach Attempts to substantiate or disprove preconceived idea  Knowledge   Testing Discovery Bottom-up approach Start with data and tries to get it to tell us something we didn’t already know
  • 25.
    Data Mining Methodology  HypothesisTesting  Generate good ideas  Determine what data allow these hypotheses to be tested  Locate the data  Prepare the data for analysis  Build computer models based on the data  Evaluate computer model to confirm or reject hypotheses
  • 26.
    Data Mining Methodology  KnowledgeDiscovery  Directed          Identified sources of pre classified data Prepare data analysis Select appropriated KD techniques based on data characteristics and data mining goal Divide data into training, testing and evaluation Use the training dataset to build model Tune the model by applying it to test dataset Take action based on data mining results Measure the effect of the action taken Restart the DM process taking advantage of new data generated by the action taken
  • 27.
    Data Mining Methodology  KnowledgeDiscovery  Undirected       Identified available data sources Prepare data analysis Select appropriated undirected KD techniques based on data characteristics and data mining goal Use the selected technique to uncover hidden structure in the data Identify potential targets for directed KD Generate new hypothesis to test
  • 28.
    Revision:: Two Approaches Indata Mining Predict the future value Data Mining Predictive Define R/S among data Descriptive •Classification •Clustering •Time •Association •Regression Series Analysis •Prediction •Summarization Rules •Sequence Discovery
  • 29.
  • 30.
  • 31.
    Knowledge Discovery Process  1.0Selection  The data needs for the data mining process may be obtained from many different and heterogeneous data sources  Examples     Business Transactions Scientific Data Video and pictures UUM Student Database
  • 33.
    Knowledge Discovery Process   2.0Pre Processing Main idea – to ensure that data is clean (high quality of data).  The data to be used by the process may have incorrect or missing data.  There may be anomalous data from multiple sources involving different data types and metrics  Erroneous data may be corrected or removed, whereas missing data must be supplied or predicted (Often using data mining tools)
  • 34.
    Knowledge Discovery Process  3.0Transformation  Data from different sources must be converted into a common format for processing  Some data may be encoded or transformed into more usable formats  Example::  Data Reduction Data Cleaning, Data Integration, Data Transformation, Data Reduction and Data Discretization
  • 35.
    Knowledge Discovery Process      4.0Data Mining Main idea –to use intelligent method to extract patterns and knowledge from database This step applies algorithms to the transformed data to generate the desired results. The heart of KD process (where unknown pattern will be revealed). Example of algorithms: Regression (classification, prediction), Neural Networks (prediction, classification, clustering), Apriori Algorithms (association rules), KMeans & K-Nearest Neighbor (clustering), Decision Tree (classification), Instance Learning (classification).
  • 36.
    Knowledge Discovery Process  5.0Interpretation/Evaluation  How the data mining results are presented to the users is extremely important because the usefulness of the results is dependent on it  Example::  Graphical  Geometric  Icon Based  Pixel Based  Hierarchical Based  Hybrid
  • 37.
    Case Study: PredictingSQS Final Year’s Studentrecord Selected Performance Student database {contains 30,000 records} Academics activities Knowledge (apply model) Testing result: 90 % correct  accept model {matric, PMK, grades} – only 2,000 records (contains incomplete records etc. Clean record {replace the missing value, removed the replicated} academics Selection academics Pre-processing Transformation Generated Model : pattern for prediction Interpretation Y=w1x1+w2x2+b1 & evaluation Data mining Using neural networks : transform into numerical.
  • 38.
    Assignment 1    Group Assignment>> you may be selected (randomly) to present your answer? (2 minutes max) Discuss how prediction/forecasting related to your life? Or any issues related to prediction/forecasting that might interest to you. You may discuss     Give an appropriated example? Ect. Weather forecasting can determine your daily exercise planning? How it been done? Minimum 1 pages Due Date: 18 September 2013