Unit I 1.1 Design Data Architecture and Manage The Data For Analysis
Unit I 1.1 Design Data Architecture and Manage The Data For Analysis
Unit I 1.1 Design Data Architecture and Manage The Data For Analysis
1.1 DESIGN DATA ARCHITECTURE AND MANAGE THE DATA FOR ANALYSIS
Data architecture is composed of models, policies, rules or standards that govern which
data is collected, and how it is stored, arranged, integrated, and put to use in data systems
and in organizations. Data is usually one of several architecture domains that form the
pillars of an enterprise architecture or solution architecture.
Various constraints and influences will have an effect on data architecture design. These
include enterprise requirements, technology drivers, economics, business policies and data
processing needs.
• Enterprise requirements
These will generally include such elements as economical and effective system
expansion, acceptable performance levels (especially system access speed), transaction
reliability, and transparent data management. In addition, the conversion of raw data such as
transaction records and image files into more useful information forms through such
features as data warehouses is also a common organizational requirement, since this enables
managerial decision making and other organizational processes. One of the architecture
techniques is the split between managing transaction data and (master) reference data.
Another one is splitting data capture systems from data retrieval systems (as done in a
datawarehouse).
• Technology drivers
These are usually suggested by the completed data architecture and database
architecture designs. In addition, some technology drivers will derive from existing
organizational integration frameworks and standards, organizational economics, and
existing site resources (e.g. previously purchased software licensing).
• Economics
These are also important factors that must be considered during the data architecture phase.
It is possible that some solutions, while optimal in principle, may not be potential
candidates due to their cost. External factors such as the business cycle, interest rates,
market conditions, and legal considerations could all have an effect on decisions relevant to
data architecture.
Business policies
Business policies that also drive data architecture design include internal organizational
policies, rules of regulatory bodies, professional standards, and applicable governmental
laws that can vary by applicable agency. These policies and rules will help describe the
manner in which enterprise wishes to process their data.
These include accurate and reproducible transactions performed in high volumes, data
warehousing for the support of management information systems (and potential data
mining), repetitive periodic reporting, ad hoc reporting, and support of various
organizational initiatives as required (i.e. annual budgets, new productdevelopment).
Physical level is created when we translate the top level design in physical tables in
the database. This model is created by the database architect, software architects, software
developers or database administrator. The input to this level from logical level and various
data modeling techniques are used here with input from software developers or database
administrator. These data modelling techniques are various formats of representation of data
such as relational data model, network model, hierarchical model, object oriented model,
Entity relationship model.
Implementation level contains details about modification and presentation of data through
the use of various data mining tools such as (R-studio, WEKA, Orange etc). Here each tool
has a specific feature how it works and different representation of viewing the same data.
These tools are very helpful to the user since it is user friendly and it does not require much
programming knowledge from the user.
Understand various sources of the Data
Data can be generated from two types of sources namely Primary and Secondary
Sources of Primary Data
Observation Method:
There exist various observation practices, and our role as an observer may vary
according to the research approach. We make observations from either the outsider or insider
point of view in relation to the researched phenomenon and the observation technique can be
structured or unstructured. The degree of the outsider or insider points of view can be seen as
a movable point in a continuum between the extremes of outsider and insider. If you decide
to take the insider point of view, you will be a participant observer in situ and actively
participate in the observed situation or community. The activity of a Participant observer in
situ is called field work. This observation technique has traditionally belonged to the data
collection methods of ethnology and anthropology. If you decide to take the outsider point of
view, you try to try to distance yourself from your own cultural ties and observe the
researched community as an outsider observer. These details are seen in figure 1.2.
Experimental Designs
There are number of experimental designs that are used in carrying out and
experiment. However, Market researchers have used 4 experimental designs most frequently.
These are –
A completely randomized design (CRD) is one where the treatments are assigned
completely at random so that each experimental unit has the same chance of receiving any
one treatment. For the CRD, any difference among experimental units receiving the same
treatment is considered as experimental error. Hence, CRD is appropriate only for
experiments with homogeneous experimental units, such as laboratory experiments, where
environmental effects are relatively easy to control. For field experiments, where there is
generally large variation among experimental plots in such environmental factors as soil, the
CRD is rarely used. CRD is mainly used in agricultural field.
Step 1. Determine the total number of experimental plots (n) as the product of the number of
treatments (t) and the number of replications (r); that is, n = rt. For our example, n = 5 x 4 =
20. Here, one pot with a single plant in it may be called a plot. In case the number of
replications is not the same for all the treatments, the total number of experimental pots is to
be obtained as the sum of the replications for each treatment. i.e.,
t
n= ∑ ri
i=1
Step 3. Assign the treatments to the experimental plots randomly using a table of random
numbers.
Example 1: Assume that a farmer wishes to perform the experiment to determine which of
his 3 fertilizers to use on 2800 tress. Assuming that farmer has a farm divided in to 3 terraces,
where those 2800 trees can be divided in the below format
Solution
Scenario 1
First we divide the 2800 trees in to random assignment of almost 3 equal parts
Random Assignment1: 933 trees
Random Assignment2: 933 trees
Random Assignment3: 934 trees
So for example random assignment1 we can assign fertilizer1, random assignment2 we can
assign fertilizer2, random assignment3 we can assign fertilizer3.
Scenario 2
Thus the farmer will be able analyze and compare various fertilizer performance on different
terrace.
Example 2:
A company wishes to test 4 different types of tyre. The tyres lifetime as determined
from their threads are given. Where each tyre has been tried on 6 similar automobiles
assigned at random to their tyres. Determine whether there is a significant difference between
tyres at .05 level.
Solution:
Null Hypothesis: There is no difference between the tyres in their life time.
We choose a random value closest to the average of all values in the table and subtract that
for each tyre in the automobile, for example by choosing 35
T∗T
Correction factor = = 112.67
N
Square the values to find
The F ratio is the ratio of two mean square values. If the null hypothesis is true, you
expect F to have a value close to 1.0 most of the time. A large F ratio means that the variation
among group means is more than you'd expect to see by chance
If the value of F-Ratio is closer to 1 it means that null hypothesis is true. If F-ratio is
greater than then we assume that the null hypothesis is false.
Hence assumed null hypothesis is false. Which indicates there is life time difference between
tyres.
A randomized block design, the experimenter divides subjects into subgroups called
blocks, such that the variability within blocks is less than the variability between blocks.
Then, subjects within each block are randomly assigned to treatment conditions. Compared to
a completely randomized design, this design reduces variability within treatment conditions
and potential confounding, producing a better estimate of treatment effects.
The table below shows a randomized block design for a hypothetical medical experiment.
Gende Treatment
r Placebo Vaccine
Male 250 250
Female 250 250
Subjects are assigned to blocks, based on gender. Then, within each block, subjects are
randomly assigned to treatments (either a placebo or a cold vaccine). For this design, 250
men get the placebo, 250 men get the vaccine, 250 women get the placebo, and 250 women
get the vaccine.
It is known that men and women are physiologically different and react differently to
medication. This design ensures that each treatment condition has an equal proportion of men
and women. As a result, differences between treatment conditions cannot be attributed to
gender. This randomized block design removes gender as a potential source of variability and
as a potential confounding variable.
LSD - Latin Square Design - A Latin square is one of the experimental designs which has a
balanced two-way classification scheme say for example - 4 X 4 arrangement. In this scheme
each letter from A to D occurs only once in each row and also only once in each column. The
balance arrangement, it may be noted that, will not get disturbed if any row gets changed with
the other.
A B C D
B C D A
C D A B
D A B C
The balance arrangement achieved in a Latin Square is its main strength. In this design, the
comparisons among treatments, will be free from both differences between rows and
columns. Thus the magnitude of error will be smaller than any other design.
FD - Factorial Designs - This design allows the experimenter to test two or more variables
simultaneously. It also measures interaction effects of the variables and analyzes the impacts
of each of the variables.
In a true experiment, randomization is essential so that the experimenter can infer cause and
effect without any bias.
If available, internal secondary data may be obtained with less time, effort and money
than the external secondary data. In addition, they may also be more pertinent to the situation
at hand since they are from within the organization. The internal sources include
Accounting resources- This gives so much information which can be used by the marketing
researcher. They give information about internal factors.
Sales Force Report- It gives information about the sale of a product. The information
provided is of outside theorganization.
Internal Experts- These are people who are heading the various departments. They can give
an idea of how a particular thing isworking
Miscellaneous Reports- These are what information you are getting from operational reports.
If the data available within the organization are unsuitable or inadequate, the marketer should
extend the search to external secondary data sources.
Government Publications- Government sources provide an extremely rich pool of data for
the researchers. In addition, many of these data are available free of cost on internet websites.
There are number of government agencies generating data. These are:
Reserve Bank of India- This provides information on Banking Savings and investment. RBI
also prepares currency and finance reports.
Labour Bureau- It provides information on skilled, unskilled, white collared jobs etc.
National Sample Survey- This is done by the Ministry of Planning and it provides social,
economic, demographic, industrial and agricultural statistics.
State Statistical Abstract- This gives information on various types of activities related to the
state like - commercial activities, education, occupation etc.
The Bombay Stock Exchange (it publishes a directory containing financial accounts, key
profitability and other relevant matter)
Various Associations of Press Media. Export Promotion Council.
Confederation of Indian Industries (CII)
Small Industries Development Board of India
Syndicate Services- These services are provided by certain organizations which collect and
tabulate the marketing information on a regular basis for a number of clients who are the
subscribers to these services. So the services are designed in such a way that the information
suits the subscriber. These services are useful in television viewing, movement of consumer
goods etc. These syndicate services provide information data from both household as well as
institution.
In collecting data from household they use three approaches Survey- They conduct surveys
regarding - lifestyle, sociographic, general topics. Mail Diary Panel- It may be related to 2
fields - Purchase and Media.
Various syndicate services are Operations Research Group (ORG) and The Indian
Marketing Research Bureau (IMRB).
Importance of Syndicate Services
Syndicate services are becoming popular since the constraints of decision making are
changing and we need more of specific decision-making in the light of changing
environment. Also Syndicate services are able to provide information to the industries at a
low unit cost.
Disadvantages of Syndicate Services
The information provided is not exclusive. A number of research agencies provide
customized services which suits the requirement of each individual organization.
International Organization- These includes
The International Labour Organization (ILO)- It publishes data on the total and active
population, employment, unemployment, wages and consumer prices
The Organization for Economic Co-operation and development (OECD) - It publishes data
on foreign trade, industry, food, transport, and science andtechnology.
Based on various features (cost, data, process, source time etc.) various sources of
data can be compared as per table 1.
Table 1: Difference between primary data and secondary data.
Sensor data is the output of a device that detects and responds to some type of input
from the physical environment. The output may be used to provide information or input to
another system or to guide a process. Examples are as follows
A photosensor detects the presence of visible light, infrared transmission (IR) and/or
ultraviolet (UV) energy.
Lidar, a laser-based method of detection, range finding and mapping, typically uses a
low-power, eye-safe pulsing laser working in conjunction with a camera.
A charge-coupled device (CCD) stores and displays the data for an image in such a way
that each pixel is converted into an electrical charge, the intensity of which is related to a
color in the color spectrum.
Smart grid sensors can provide real-time data about grid conditions, detecting outages,
faults and load and triggering alarms.
Wireless sensor networks combine specialized transducers with a communications
infrastructure for monitoring and recording conditions at diverse locations. Commonly
monitored parameters include temperature, humidity, pressure, wind direction and speed,
illumination intensity, vibration intensity, sound intensity, powerline voltage, chemical
concentrations, pollutant levels and vital body functions.
The simplest form of signal is a direct current (DC) that is switched on and off; this is
the principle by which the early telegraph worked. More complex signals consist of an
alternating-current (AC) or electromagnetic carrier that contains one or more data streams.
Data must be transformed into electromagnetic signals prior to transmission across a
network. Data and signals can be either analog or digital. A signal is periodic if it consists
of a continuously repeating pattern.
The Global Positioning System (GPS) is a space based navigation system that
provides location and time information in all weather conditions, anywhere on or near the
Earth where there is an unobstructed line of sight to four or more GPS satellites. The system
provides critical capabilities to military, civil, and commercial users around the world. The
United States government created the system, maintains it, and makes it freely accessible to
anyone with a GPS receiver.
Timeliness and Relevance: There must be a valid reason to collect the data to justify the
effort required, which also means it has to be collected at the right moment in time. Data
collected too soon or too late could misrepresent a situation and drive inaccurate
decisions.
Completeness and Comprehensiveness: Incomplete data is as dangerous as inaccurate
data. Gaps in data collection lead to a partial view of the overall picture to be displayed.
Without a complete picture of how operations are running, uninformed actions will occur. It’s
important to understand the complete set of requirements that constitute a comprehensive set
of data to determine whether or not the requirements are being fulfilled.
Availability and Accessibility: This characteristic can be tricky at times due to legal and
regulatory constraints. Regardless of the challenge, though, individuals need the right level of
access to the data in order to perform their jobs. This presumes that the data exists and is
available for access to be granted.
Granularity and Uniqueness: The level of detail at which data is collected is important,
because confusion and inaccurate decisions can otherwise occur. Aggregated, summarized
and manipulated collections of data could offer a different meaning than the data
implied at a lower level. An appropriate level of granularity must be defined to provide
sufficient uniqueness and distinctive properties to become visible. This is a requirement for
operations to function effectively.
Noisy data is meaningless data. The term has often been used as a synonym for
corrupt data. However, its meaning has expanded to include any data that cannot be
understood and interpreted correctly by machines, such as unstructured text.
An outlier is an observation that lies an abnormal distance from other values in a
random sample from a population. In a sense, this definition leaves it up to the analyst (or a
consensus process) to decide what will be considered abnormal.
Example of outlier test
2,4,4,5,7,9,11,11,13,14,41
(i)Arrange them in ascending order
(ii)Divide them into equi depths
2,4,4,5,7,|9|,11,11,13,14,41
MIN=2
MAX=41
Q1=4
Q3=13
Q3-Q1=13-4=9*1.5=13.5
Q1-13.5=4-13.5=-9.5
Q3+13.5=13+13.5=26.5
In statistics, missing data, or missing values, occur when no data value is stored for the
variable in an observation. Missing data are a common occurrence and can have a significant
effect on the conclusions that can be drawn from the data. missing values can be replaced by
following techniques:
Partial imputation
The expectation-maximization algorithm is an approach in which values of the statistics which
would be computed if a complete dataset were available are estimated (imputed), taking into
account the pattern of missing data. In this approach, values for individual missing data-items are
not usually imputed.
Partial deletion
Methods which involve reducing the data available to a dataset having no missing values include:
Full analysis
Methods which take full account of all information available, without the distortion resulting
from using imputed values as if they were actually observed:
The expectation-maximization algorithm
full information maximum likelihood estimation
Interpolation
In the mathematical field of numerical analysis, interpolation is a method of constructing new
data points within the range of a discrete set of known data points.
Data Cleaning: Data is cleansed through processes such as filling in missing values,
smoothing the noisy data, or resolving the inconsistencies in the data.
Data Integration: Data with different representations are put together and conflicts within
the data are resolved. The sources may include database, files and data warehouse
One of the most well-known implementation of data integration is building an enterprise data
warehouse. The benefit of data warehouse enables a business to perform analyses based on
the data in the data warehouse.
There are mainly to two approaches for data integration
Tight Coupling: In tight coupling data is combined from different sources into a single
physical location through the process of Extraction, Transformation, Loading.
Loose Coupling :In loosely Coupling data only remains in the actual source databases. In this
approach an interface is provided that takes query from the user and transformsit in a waythe
source database can understand and then sends the query directly to the source databases to
obtain the results.
1.Smoothing:
It is a process that is used to remove noise from the dataset using some algorithms It allows
for highlighting important features present in the dataset. It helps in predicting the patterns.
When collecting data, it can be manipulated to eliminate or reduce any variance or any other
noise form.
The concept behind data smoothing is that it will be able to identify simple changes to help
predict different trends and patterns. This serves as a help to analysts or traders who need to
look at a lot of data which can often be difficult to digest for finding patterns that they
wouldn’t see otherwise.
Aggregation:
Data collection or aggregation is the method of storing and presenting data in a summary
format. The data may be obtained from multiple data sources to integrate these data sources
into a data analysis description. This is a crucial step since the accuracy of data analysis
insights is highly dependent on the quantity and quality of the data used. Gathering accurate
data of high quality and a large enough quantity is necessary to produce relevant results.
The collection of data is useful for everything from decisions concerning financing or
business strategy of the product, pricing, operations, and marketing strategies.
Generalization:
It converts low-level data attributes to high-level data attributes using concept hierarchy. For
Example Age initially in Numerical form (22, 25) is converted into categorical value (young,
old).
For example, Categorical attributes, such as house addresses, may be generalized to higher-
level definitions, such as town or country.
Discretization:
It is a process of transforming continuous data into set of small intervals. Most Data Mining
activities in the real world require continuous attributes. Yet many of the existing data mining
frameworks are unable to handle these attributes.
Also, even if a data mining task can manage a continuous attribute, it can significantly
improve its efficiency by replacing a constant quality attribute with its discrete values.
For example, (1-10, 11-20) (age:- young, middle age, senior).
Normalization: Data normalization involves converting all data variable into a given range.
Techniques that are used for normalization are:
Min-Max Normalization:
This transforms the original data linearly.
Suppose that: min_A is the minima and max_A is the maxima of an attribute, P
We Have the Formula:
.
Where v is the value you want to plot in the new range.
v’ is the new value you get after normalizing the old value.
Solved example:
Suppose the minimum and maximum value for an attribute profit(P) are Rs. 10, 000 and Rs.
100, 000. We want to plot the profit in the range [0, 1]. Using min-max normalization the
value of Rs. 20, 000 for attribute profit can be plotted to:
Data Reduction: This step aims to present a reduced representation of the data in a data
warehouse.It reduces the data size by collecting and then replacing the low-level concepts
(such as 43 for age) to high-level concepts (categorical variables such as middle age or
Senior).
Simple Random Sampling :There is an equal probability of selecting any particular item
Sampling without replacement :As each item is selected, it is removed from the population
Sampling with replacement:Objects are not removed from the population as they are selected for the
sample.In sampling with replacement, the same object can be picked up more than once
Stratified sampling:
Approximate the percentage of each class (or subpopulation of interest) in the overall database
Used in conjunction with skewed data
Data Discretization: Involves the reduction of a number of values of a continuous attribute
by dividing the range of attribute intervals.
Data Reduction Feature Subset Selection
Another way to reduce dimensionality of data
Remove duplication or all of the information contained in one or more other attributes
Example: purchase price of a product and the amount of sales tax paid.
Irrelevant features:contain no information that is useful for the data mining task at hand Example:
students' ID is often irrelevant to the task of predicting students' GPA
Condition: Wet floor can cause slippage. Working conditions in mines can cause health hazards.
o Gravitational energy: Objects falling on you can cause injury.
o Rotating or moving objects: Clothes entangled into ratting objects can cause serious harm.