business intelligence & process modellingtakesfw/bipm/lecture2.pdf · 2018. 2. 15. · balanced...
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Business Intelligence & Process Modelling
Frank Takes
Universiteit Leiden
Lecture 2 — BI & Visual Analytics
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Recap
Business Intelligence: anything that aims at providing actionableinformation that can be used to support business decision making
Business IntelligenceVisual AnalyticsDescriptive AnalyticsPredictive Analytics
Process Modelling (April and May)
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Business Intelligence
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Business Intelligence goals
Operational intelligence
Corporate governance
Risk assessment
Compliance
Auditing
Sarbanes-Oxley (SOX) — role of IT in corporate governance
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Management Approaches in BI
Continuous Process Improvement (CPI): ongoing effort toimprove products, services or processes
Incremental improvements vs. Breakthrough improvementsEvaluate based on efficiency, effectiveness and flexibility
Total Quality Management (TQM): improve processes up to themicroscopic level, focussing on meeting customer demands andrealizing strategic company goals, e.g., Six Sigma
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Six Sigma
Originally developed by Motorola in the early 1980s
Minimize Defective Parts per Million Opportunities (DPMO)
Mean µ and standard deviaton σ
Quality level DPMO % broken % OKOne Sigma 691.462 69 31Two Sigma 308.538 31 69Three Sigma 66.807 6,7 93,3Four Sigma 6.210 0,62 99,38Five Sigma 233 0,023 99,977Six Sigma 3,4 0,00034 99,99966
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Normal distribution
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DMAIC approach
Define the problem and set targets,
Measure key performance indicators (KPI’s) and collect data,
Analyze the data to investigate and verify cause-and-effectrelationships,
Improve the current process based on this analysis,
Control the process to minimize deviations from the target.
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Key Performance Indicators
KPI: measure, variable or metric to analyze the performance of(part of) an organization
Strategic goals → Measurable variables
SMARTSpecificMeasurableAcceptableRealisticTime-sensitive
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KPI examples
Operational: increasing market share by 10%
Financial: increase profit by 10%
Sales: obtain 10 new customers
Human resources: attract 10 new sales officers that are part of theworld’s top 1% in the field
Customer support: forward no more than 10% of the support callsto second line
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BI in practice
Codeless reporting
Instant querying
Rich visualization
Dashboards (“Management cockpits”)
Scorecards
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Balanced Scorecards
R. Kaplan, D. Norton, The balanced scorecard: measures that driveperformance, Harvard business review 83(7): 172–180, 2005.
Goal: align business activities to the vision and strategy of theorganization
Financial and nonfinancial goals
Monitor a relatively small number of summative indicators
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Balanced Scorecard
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Balanced Scorecard
Four perspectives:
FinancialCustomerProcessesLearning and Growth
Four elements per perspective
ObjectivesMeasuresTargetsInitiatives
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Balanced Scorecard Perspectives
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Balanced Scorecard Processes
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Relations between Perspectives
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Some terms . . .
Business Activity Monitoring (BAM): insight in operationalstatus and events of a business
Complex Event Processing (CEP): monitor events and reactimmediately if a pattern occurs
Corporate Performance Management (CPM): measuring the(financial) performance of a process or organization
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Some systems . . .
Enterprise Resource Planning (ERP) Systems
Enterprise Information Systems (EIS)
Business Information Systems (BIS)
Management Information System (MIS)
Executive Information System (EIS)
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ETL
Extract data from source systems: generate dumps, exports, etc.
Transform data: aggregating, linking, sorting, joining, etc.
Loading data into target system into desired (reporting) format
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OLAP
OnLine Analytical Processing (OLAP)
Given a data table with n attributes:
Dimensions of an (n − 1)-dimensional cube represent n − 1 attributesof the dataValue in a cell of the cube represents the remaining attribute
Use a slice or dice to get the desired information
Suitable for, e.g., star schema data
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OLAP Example
Example: website visitor logs, storing:
1 Time
2 Web page
3 Action
4 Conversion
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OLAP Cube Example
http://snowplowanalytics.com
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OLAP Cube Example Slice
http://snowplowanalytics.com
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OLAP Cube Dice
http://snowplowanalytics.com
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OLAP Formalized
OnLine Analytical Processing (OLAP)
Given a data table D with 4 attributes W ,X ,Y and Z
An OLAP cube can be characterized as a functionf : (X ,Y ,Z )→W
An example of a slice is a function g : (Y ,Z )→W
Given subsets X ′ ⊆ X and Z ′ ⊆ Z a dice is a functionh : (X ′,Y ,Z ′)→W
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Break?
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Visual Analytics
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What is Visualization?
Intuition: data is more than its raw bits and bytes
Visualization: making something visible to the eye (Oxforddictionary)
All visualizations share a common “DNA” — a set of mappingsbetween data properties and visual attributes such as position, size,shape, and color — and customized species of visualization mightalways be constructed by varying these encodings.Heer et al., A Tour through the Visualization Zoo, CACM 53(6): 59–67, 2010.
Visual Analytics: knowledge discovery (DIKW) based onvisualization
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What is Visualization?
Data properties: attributes of (groups of) data objectsName; Age; City
Frank; 28; ”Niels Bohrweg 1, Leiden”
Visual attributes: e.g., position, size, shape, label, color, etc.Label; Size; Position
Visualization: mapping data properties to visual attributesName → LabelAge → SizeCity → Position"Frank", log2(28), (52.1603216, 4.4939262)
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What is Visualization?
Data properties: attributes of (groups of) data objectsName; Age; CityFrank; 28; ”Niels Bohrweg 1, Leiden”
Visual attributes: e.g., position, size, shape, label, color, etc.Label; Size; Position
Visualization: mapping data properties to visual attributesName → LabelAge → SizeCity → Position"Frank", log2(28), (52.1603216, 4.4939262)
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What is Visualization?
Data properties: attributes of (groups of) data objectsName; Age; CityFrank; 28; ”Niels Bohrweg 1, Leiden”
Visual attributes: e.g., position, size, shape, label, color, etc.Label; Size; Position
Visualization: mapping data properties to visual attributes
Name → LabelAge → SizeCity → Position"Frank", log2(28), (52.1603216, 4.4939262)
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What is Visualization?
Data properties: attributes of (groups of) data objectsName; Age; CityFrank; 28; ”Niels Bohrweg 1, Leiden”
Visual attributes: e.g., position, size, shape, label, color, etc.Label; Size; Position
Visualization: mapping data properties to visual attributesName → LabelAge → SizeCity → Position
"Frank", log2(28), (52.1603216, 4.4939262)
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What is Visualization?
Data properties: attributes of (groups of) data objectsName; Age; CityFrank; 28; ”Niels Bohrweg 1, Leiden”
Visual attributes: e.g., position, size, shape, label, color, etc.Label; Size; Position
Visualization: mapping data properties to visual attributesName → LabelAge → SizeCity → Position"Frank", log2(28), (52.1603216, 4.4939262)
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What is Visualization?
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Why visualization?
SAS, Data Visualization: Making Big Data Approachable and Valuable, 2014
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Why visualization?
SAS, Data Visualization: Making Big Data Approachable and Valuable, 2014
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Visualization theory
Discrete vs. continuous data
Categorical vs. quantitative data
Mean or median?
Variance?
Correlations? Regression?
Normal distribution or power law?
The correct visualization depends on the data itself!
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Listen to the data to . . .
Catch mistakes
See patterns
Find violations of statistical assumptions
Generate hypotheses
Do outlier detection
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Anscombe’s quartet
F.J. Anscombe, Graphs in Statistical Analysis, American Statistician 27 (1): 1721, 1973.
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Anscombe’s quartet
Property Value AccuracyMean of x 9 exact
Sample variance of x 11 exactMean of y 7.50 to 2 decimal places
Sample variance of y 4.125 plus/minus 0.003Correlation between x and y 0.816 to 3 decimal places
Linear regression line y = 3.0 + 0.50x to 2 decimal places
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Simpson’s Paradox
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Visualization Quality
When is a certain visualization “good”?
“Proper mapping of data properties to visual attributes”?
The number of data properties (variables) that is visualized?
The number of visual attributes that is utilized?
Aesthetics?
. . .
Hard to answer objectively!
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Visualization Quality
When is a certain visualization “good”?
“Proper mapping of data properties to visual attributes”?
The number of data properties (variables) that is visualized?
The number of visual attributes that is utilized?
Aesthetics?
. . .
Hard to answer objectively!
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Visualization Quality
When is a certain visualization “good”?
“Proper mapping of data properties to visual attributes”?
The number of data properties (variables) that is visualized?
The number of visual attributes that is utilized?
Aesthetics?
. . .
Hard to answer objectively!
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Visualization Quality
When is a certain visualization “good”?
“Proper mapping of data properties to visual attributes”?
The number of data properties (variables) that is visualized?
The number of visual attributes that is utilized?
Aesthetics?
. . .
Hard to answer objectively!
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Visualization Quality
When is a certain visualization “good”?
“Proper mapping of data properties to visual attributes”?
The number of data properties (variables) that is visualized?
The number of visual attributes that is utilized?
Aesthetics?
. . .
Hard to answer objectively!
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Visualization Quality
When is a certain visualization “good”?
“Proper mapping of data properties to visual attributes”?
The number of data properties (variables) that is visualized?
The number of visual attributes that is utilized?
Aesthetics?
. . .
Hard to answer objectively!
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Infographic of infographics
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Visualization Metaphors
Important is Big
Happy is Up
More is Up
Categories Are Containers
Organization is Physical Structure
Similarity is Closeness
Control is Up
http://www.bostondatafest.com/wp-content/uploads/2013/11/big_data_viz.pdf
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Visualization Metaphors
Important is Big
Happy is Up
More is Up
Categories Are Containers
Organization is Physical Structure
Similarity is Closeness
Control is Up
http://www.bostondatafest.com/wp-content/uploads/2013/11/big_data_viz.pdf
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Visualization Metaphors
Important is Big
Happy is Up
More is Up
Categories Are Containers
Organization is Physical Structure
Similarity is Closeness
Control is Up
http://www.bostondatafest.com/wp-content/uploads/2013/11/big_data_viz.pdf
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Visualization Metaphors
Important is Big
Happy is Up
More is Up
Categories Are Containers
Organization is Physical Structure
Similarity is Closeness
Control is Up
http://www.bostondatafest.com/wp-content/uploads/2013/11/big_data_viz.pdf
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Visualization Metaphors
Important is Big
Happy is Up
More is Up
Categories Are Containers
Organization is Physical Structure
Similarity is Closeness
Control is Up
http://www.bostondatafest.com/wp-content/uploads/2013/11/big_data_viz.pdf
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Examples
Time-series data
Statistical data
Geographical data
Hierarchical data
Network data
Heer et al., A Tour through the Visualization Zoo, CACM 53(6): 59–67, 2010.
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Index chart
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Stacked graph
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Small multiples
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Horizon graphs
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Examples
Time-series data
Statistical data
Geographical data
Hierarchical data
Network data
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Scatter plot matrix
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Parallel coordinates
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Examples
Time-series data
Statistical data
Geographical data
Hierarchical data
Network data
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Flow maps
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Choropleth maps
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Graduated symbol maps
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Cartogram
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Examples
Time-series data
Statistical data
Geographical data
Hierarchical data
Network data
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Node-link diagram
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Circular dendogram
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Examples
Time-series data
Statistical data
Geographical data
Hierarchical data
Network data
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Force-directed layout
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Arc diagram
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Annotated matrix
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Dashboards
Multiple widgets on one page
A widget can contain:
OLAP sliceKPI metricData mining results. . .
Codeless reporting
BI in the blink of an eye!
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Dashboard (1)
http://blog.jinfonet.com/
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Dashboard (2)
http://www.axosoft.com/
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Dashboard (3)
http://www.cyfe.com/
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Dashboard (4)
http://www.klipfolio.com/BIPM — Lecture 2 — BI & Visual Analytics 69 / 74
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Dashboard (5)
http://insideanalysis.com/
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Assignment 1
Gaming industry context
Sales log spanning 4 years of sales
Apply and compare BI techniques
Inspect, visualize, aggregate, segment, score . . .
Deliverables:
1 Web-based BI Dashboard2 Short assignment report in LATEX
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Assignment 1 — Hints
Model: MySQL database containing the data
View: HTML page using Javascript that reads JSON
Controller: PHP outputs relevant data in JSON
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Lab session February 17
Make progress with Assignment 1
Read paper by Kooti et al.
Setup a framework for your dashboard
Load some data into your framework
Investigate visualization options
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Credits
Lecture based on (slides of the (previous edition of the)) course book:W. van der Aalst, Process Mining: Data Science in Action, 2nd edition,Springer, 2016.
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