DATA WAREHOUSING AND DATA MINING

Data Warehousing and Data Mining



Abstract

The recent advancements in technology have developed a link marketing reality in the recent few years. Technologies like data warehousing, campaign management software and data mining have developed the relationship management of customer to an entirely new area where the organizations can get a competitive edge over one another. By using the different techniques of data mining, breaching and intrusion of secured and hidden sensitive information from the large collection of data bases is possible. It is very important for the organizations to identify its valuable clients, have the ability to predict the future scenarios and make the organizations to take knowledge driven and proactive decisions. Due to the different approaches in the sphere of data mining, the application and use of different type of techniques of data mining is necessary to achieve the objectives of the management of customer relationship in accordance with recent policies.

Introduction

A new philosophy related to business of culture is taking shape in today's world. Inside this whole scenario, the economics of the relationships with the clients are varying in their basic ways. The organizations are up to the requirement of implementation of new and advanced solutions and techniques that have the flexibility to address such kind of changes. The idea of mass production and bulk marketing, initially made during the era of industrialization, which are further enhanced by new ideas concentrating on the client relationship as the fundamental business issue.

Many different organizations are highly concerned with the ever increasing value of by the help of accurate analysis of customer life cycle. The instruments and technology associated with data warehousing, data mining and other similar kind of customer management (CRM) methods can move on with advanced technologies having the flexibility to adopt new resources to enhance the process of relationship making.

In the conventional process, the aim of the marketing is to attain more clients and the expansion of number potential customers. From the business point of view, instead of acquiring new customers, it makes better business sense to deal with the current customers in an efficient manner. In the process of doing so, the focus of marketing from the breadth of client base to the depth of the requirement of every customer deviates the other way (Rygielski C. & et al, 2002).

Discussion

Data mining: an overview

Definition

The data mining technique is complementary to other data analysis techniques such as statistics, on line analytical processing (OLAP), spreadsheets, and basic data access. In simple way, data mining is another method to extract meaningful information from data.

By utilizing the technique of data mining, one can discover the relationships and patterns which are hidden in data and is basically a daughter step of a parent process which is known as “Knowledge Discovery.

The Software of data mining, although, terminates the requirement of knowing the business, understanding of data, or the awareness of general statistical procedures. The technique does not investigate the patterns and knowledge that can be considered authentic ...