Mehrdad Jalali

[email protected] Jalali.mshdiau.ac.ir

Data Mining

Data Mining

Introduction
Motivation: Why data mining? What is data mining? Data Mining: On what kind of data? Data mining functionality Are all the patterns interesting? Classification of data mining systems Integration of data mining system with a DB and DW System Major issues in data mining

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,
We are drowning in data, but starving for knowledge! Necessity is the mother of inventionData miningAutomated analysis of massive data sets

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?

Data mining (knowledge Discovery from Data)
Extraction of interesting patterns or knowledge from huge amount of data

Alternative names
Knowledge discovery (mining) in databases (KDD), knowledge extraction, data/pattern analysis, data archeology, data dredging, business intelligence, etc.

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, 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, discount coupons, customer complaint calls

Target marketing
Find clusters of model customers who share the same characteristics: interest, income level, spending habits, etc.,

Cross-market analysisFind associations/co-relations between product sales, & predict based on such association Customer profilingWhat types of customers buy what products (clustering or classification) Customer requirement analysis
Identify the best products for different customers
Predict what factors will attract new customers

All Statistical summary information

Ex. 2: Corporate Analysis & Risk Management

Finance planning and asset evaluation cash flow analysis and prediction 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
Money laundering 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

Knowledge Discovery (KDD) Process

Data miningcore of knowledge discovery process

Pattern Evaluation

Data Mining Task-relevant Data Data Warehouse Selection

Data Cleaning
Data Integration Databases

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

Data Mining and Business Intelligence

Increasing potential to support business decisions

Decision Making
Data Presentation Visualization Techniques Data Mining Information Discovery

End User

Business Analyst Data Analyst

Data Exploration Statistical Summary, Querying, and Reporting Data Preprocessing/Integration, Data Warehouses Data Sources Paper, Files, Web documents, Scientific experiments, Database Systems
DBA

Data Mining: Confluence of Multiple Disciplines

Database Technology

Statistics

Machine Learning
Pattern Recognition

Data Mining

Visualization

Algorithm

Other Disciplines

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 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

Describes data in a concise and summarative manner and presents interesting general properties of the data
Predictive data mining

Analyzes data in order to construct one or a set of models and attempts to predict the behavior of new data sets.

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

Data Mining Functionalities

Frequent patterns, association, correlation vs. 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 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 Other pattern-directed or statistical analyses

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 users 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? 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 patternsmining query optimization

Coupling Data Mining with DB/DW Systems

Data mining systems, DBMS, Data warehouse systems coupling No coupling, loose-coupling, semi-tight-coupling, tight-coupling

No couplingflat file processing, not recommended Loose coupling

Fetching data from DB/DW

Semi-tight couplingenhanced DM performance

Provide efficient implement a few data mining primitives in a DB/DW system, e.g., sorting, indexing, aggregation, histogram analysis.

Tight couplingA 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 Data Mining Engine Database or Data Warehouse Server
data cleaning, integration, and selection Knowl edgeBase

Database

Data World-Wide Other Info Repositories Warehouse Web

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 Data mining query languages and ad-hoc mining Expression and visualization of data mining results Interactive mining of knowledge at multiple levels of abstraction

User interaction

Applications and social impacts

Domain-specific data mining & invisible data mining Protection of data security, integrity, and privacy

Conferences and Journals on Data Mining

KDD Conferences ACM SIGKDD Int. Conf. on Knowledge Discovery in Databases and Data Mining (KDD) SIAM Data Mining Conf. (SDM) (IEEE) Int. Conf. on Data Mining (ICDM) Conf. on Principles and practices of Knowledge Discovery and Data Mining (PKDD) Pacific-Asia Conf. on Knowledge Discovery and Data Mining (PAKDD) International Conference on Data Mining (DMIN)

Other related conferences

ACM SIGMOD

VLDB
(IEEE) ICDE WWW, SIGIR ICML, CVPR, NIPS

Journals
Data Mining and Knowledge Discovery (DAMI or DMKD) Springer IEEE Trans. On Knowledge and Data Eng. (TKDE) KDD Explorations (ACM) ACM Trans. on KDD

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Data Mining

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