Professional Documents
Culture Documents
Dr.Parijat Upadhyay
Competing on Analytics
Competitive strategies that are employed today involve optimization of key business processes
Process optimization vs. take as it comes However process optimization requires data and extensive analysis of that data
Wal-Mart
Financial performance and cost management Research and new product/service development Strategic planning Human resources
database is designed to store data useful for daily operation operational data Systems are designed to handle transactions (insertion, updation, and deletion of data) OLTP systems systems maintain integrity and consistency of data
Database
Database
An Example
SONY World selling electronic items
Various Items sold through various Branches Customers Buy different items in different Quantities Employees work in various branches Employees earn commissions for Purchases
Entity
A person, place, thing on which we maintain information Examples Employees, Customers, Products, Warehouses
Attribute
Characteristic or quality of particular entity Examples Employees PAN Card No., Customers Phone number, Products unit price, Warehouse address
Objects of Interest
Item
Branch
Customer
Employee
Limitations of a Spreadsheet
Things become complicated when we want to keep track of several related entities For example:
Customers Products
Orders
An Order is essentially a relationship between one Customer and one or more Products
Customer
Employee
Customer Data CustId 1 2 CustName M.K. Saxena K Gupta CustAddress Bistupur C.H. Area (East)
Item Data ItemId 1 2 ItemName LCD TV Home Theatre ItemPrice 25000 19000
Customer
Employee
Customer
Purchases
Item
CUSTOMER(cust_id, cust_name, cust_address) ITEM(item_id, item_name, item_type, item_price) Purchases(cust_id, cust_name, cust_address, item_id, item_name, item_type, item_price, qty, date, time, trans_id) Transaction(cust_id, cust_name, cust_address, item_id, item_name, item_type, item_price, qty, date, time, trans_id)
TransId CustId
T100 T200 T300 C01 C02 C02
Date
1/8/09 5/9/09 7/9/09
Time
19:00 13:00 18:00
The database must be created Data must be inserted, modified and deleted Data must be retrieved SQL makes a database management system successful/popular
Queries
1. List all customers
Queries
6. For every transaction, find out the number of items
purchased
7.
8.
9.
List the items and the corresponding quantity purchased by customer "C01".
10. List the custids who have purchased items in quantity > 1.
SONY WORLD
Sony Each
World has branches all around the country branch has its own database sales per item per branch in the third quarter
Companys Can
you do this?
Data Warehouse
Data
Summarized,
Integrated, ..
Residing
in a single site
Used
Data Warehouse
Delhi Terminal
Mumbai
Data Warehouse
Kolkata
Chennai
Terminal
Data Warehouse
Around major subjects
- Customer, Item, Supplier
Summarized, Integrated
Data Warehouse
Dimensions
Viewed
Data Warehouse
location = Delhi
item type
home entertainment
time (quarter) Q1
Q2 Q3 Q4
computer 825
952 1023 1038
phone 14
31 30 38
security 400
512 501 580
605
680 812 927
Data Warehouse
time Q1 Q2 Q3 Q4
location = Delhi item home ent comp phone sec 854 882 89 623 943 890 64 698 1032 924 59 789 1129 992 63 870
location = Mumbai location = Kolkata item item home ent comp phone sec home ent comp phone 1087 968 38 872 818 746 43 1130 1024 41 925 894 769 52 1034 1048 45 998 940 795 58 1142 1091 54 984 978 864 59
location =Chennai item home ent comp phone sec 605 825 14 400 680 952 31 512 812 1023 30 501 927 1038 38 580
Data Warehouse
Delhi 882 623 89 854 Mumbai 1087 968 872 38 Kolkata 746 591 43 818 Chennai Q1 605 825 14 400
Time (quarters)
Q2
680
952
31
512
Q3
812
1023
30
501
Q4
927
1038
38
580
Home ent
Comp
Phone
Security
Data Warehouse
Roll
Drill
Dice
Slice
Q1
time (quarters)
Q2
Q3
Jan Feb
Mar Apr May Jun Jul Aug Sep Oct Nov Dec
time (months)
Home ent
Comp
Phone
Security
Q1
time (quarters)
Q2
Home ent
Computer
Delhi Mumbai
location
Comp
Phone
Security
Data Mining
How long after someone buys a computer do they buy a certain software?
What unusual credit card transactions have occurred? Are certain promotions more effective than others? Do certain customers form segments that were not obvious before? Can lifetime value be calculated? Can propensity to switch be forecasted?