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Big data analytics by Kim H.Pries & Robert dunnigian

BIG DATA ANALYTICS:

BIG-DATA-ANALYTICS 

A PHYSICAL GUIDE FOR MANAGER

The book-big-data analytics is written by (Kim H.Pries & Robert dunnigian) 
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VARIANT 1 (English) BIG DATA ANALYTICS
Kim H. Pries & Robert Dunnigan

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4. Statistical Methods and Machine Learning

The authors dive into how Big Data changes the "Math." They discuss several key techniques in a way that’s to non-mathematicians:

  • Regression Analysis: Predicting a value based on other variables (e.g., how much will weather affect sales?).

  • Clustering: Finding "natural" groups in data. This is huge for marketing; instead of generic demographics (like "Men aged 18-35"), cluster is a group of selected things or persons used for for sampling 

  • Association Rules: The classic "Beer and Diapers" example identifying that the things that are mostly bought together to optimize store themes or website recommendations can cause a long term benifits

5. The "People" Problem: Roles and Culture

A significant portion of the book is dedicated to the topic of the human element. Pries and Dunnigan warn that "The best algorithm in the world cannot save a company with a closed mind." so that means we have to diversify our thinking pattern to increase our knowledge and thinking 

They define the necessary roles:

  • The Data Scientist: The "wizard" who knows the math and the code and can do both of them.

  • The Data Architect: The person who builds the "pipes" that move the data and creates the system.

  • The Savvy Manager: The bridge. This person knows enough about the data to ask the right questions and enough about the business to turn an insight into a profit for a long run.

They also tackle "Analysis Paralysis." Managers often wait for 100% certainty from the data, but the authors argue that in the Big Data world, 80% certainty with high velocity is often better than 100% certainty when the opportunity has already passed so that depends on a chance.

6. Ethics, Privacy, and Security

Written with a prophetic edge, -the authors discuss the here "creepy factor." They caution that just because a company can correlate a customer’s location with their health records and purchase history, doesn't mean they should do that

They highlight the massive risk of "Data Breaches." In the Big Data world, a breach isn't just a few leaked names, it’s a categorical exposure of a person's life. They advocate for Security by Design—building the locks while you build the database, not as an afterthought it is a task.

7. The Business Value of "V"

The book constantly and much circles back to the ROI and RI (Return on Investment) (Reseidual income). They break down the 3 Vs (plus a few extra) into business terms:

  • Volume: Lowering storage costs while increasing "memory."

  • Velocity: Making decisions in real-time (e.g., fraud detection on a credit card happens in milliseconds).

  • Variety: Combining data from different departments (Sales + HR + Logistics) to see the "full picture"

  • Veracity: How much can we trust this data? This is the authors' favorite "V," as it deals with the quality of the insights.


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