Combining expert knowledge and databases for risk management

Correctness, transparency and effectiveness are the principalattributes of knowledge derived from databases. In current data miningresearch there is a focus on efficiency improvement of algorithms forknowledge discovery. However important limitations of data mining canonly be dissolved by the integration of knowledge of experts in thefield, encoded in some accessible way, with knowledge derived formpatterns in the database. In this paper we will in particular discussmethods for combining expert knowledge and knowledge derived fromtransaction databases.The framework proposed is applicable to widevariety of risk management problems. We will illustrate the method ina case study on fraud discovery in an insurance company.risk management;datamining;knowledge discovery;knowledge based systems

Advances in Data Mining Knowledge Discovery and Applications

Advances in Data Mining Knowledge Discovery and Applications aims to help data miners, researchers, scholars, and PhD students who wish to apply data mining techniques. The primary contribution of this book is highlighting frontier fields and implementations of the knowledge discovery and data mining. It seems to be same things are repeated again. But in general, same approach and techniques may help us in different fields and expertise areas. This book presents knowledge discovery and data mining applications in two different sections. As known that, data mining covers areas of statistics, machine learning, data management and databases, pattern recognition, artificial intelligence, and other areas. In this book, most of the areas are covered with different data mining applications. The eighteen chapters have been classified in two parts: Knowledge Discovery and Data Mining Applications

Set-oriented data mining in relational databases

Data mining is an important real-life application for businesses. It is critical to find efficient ways of mining large data sets. In order to benefit from the experience with relational databases, a set-oriented approach to mining data is needed. In such an approach, the data mining operations are expressed in terms of relational or set-oriented operations. Query optimization technology can then be used for efficient processing.\ud \ud In this paper, we describe set-oriented algorithms for mining association rules. Such algorithms imply performing multiple joins and thus may appear to be inherently less efficient than special-purpose algorithms. We develop new algorithms that can be expressed as SQL queries, and discuss optimization of these algorithms. After analytical evaluation, an algorithm named SETM emerges as the algorithm of choice. Algorithm SETM uses only simple database primitives, viz., sorting and merge-scan join. Algorithm SETM is simple, fast, and stable over the range of parameter values. It is easily parallelized and we suggest several additional optimizations. The set-oriented nature of Algorithm SETM makes it possible to develop extensions easily and its performance makes it feasible to build interactive data mining tools for large databases

Data Mining and Data Matching: Regulatory and Ethical Considerations Relating to Privacy and Confidentiality in Medical Data

The application of data mining techniques to health-related data is beneficial to medical research. However, the use of data mining or knowledge discovery in databases, and data matching and profiling techniques, raises ethical concerns relating to consent and undermines the confidentiality of medical data. Data mining and data matching requires active collaboration between the medical practitioner and the data miner. This article examines the ethical management of medical data including personal information and sensitive information in the healthcare sector. It offers some ethical and legal perspectives on privacy and the confidentiality of medical data. It examines the International landscape of health information privacy protection, relevant Australian legislation and recommendations to improve the ethical handling of medical data proposed by the Australian Law Reform Commission

Knowledge Discovery in Databases: An Information Retrieval Perspective

The current trend of increasing capabilities in data generation and collection has resulted in an urgent need for data mining applications, also called knowledge discovery in databases. This paper identifies and examines the issues involved in extracting useful grains of knowledge from large amounts of data. It describes a framework to categorise data mining systems. The author also gives an overview of the issues pertaining to data pre processing, as well as various information gathering methodologies and techniques. The paper covers some popular tools such as classification, clustering, and generalisation. A summary of statistical and machine learning techniques used currently is also provided

Combining expert knowledge and databases for risk management

Correctness, transparency and effectiveness are the principal attributes of knowledge derived from databases. In current data mining research there is a focus on efficiency improvement of algorithms for knowledge discovery. However important limitations of data mining can only be dissolved by the integration of knowledge of experts in the field, encoded in some accessible way, with knowledge derived form patterns in the database. In this paper we will in particular discuss methods for combining expert knowledge and knowledge derived from transaction databases.The framework proposed is applicable to wide variety of risk management problems. We will illustrate the method in a case study on fraud discovery in an insurance company

Cooperation between expert knowledge and data mining discovered knowledge: Lessons learned

Expert systems are built from knowledge traditionally elicited from the human expert. It is precisely knowledge elicitation from the expert that is the bottleneck in expert system construction. On the other hand, a data mining system, which automatically extracts knowledge, needs expert guidance on the successive decisions to be made in each of the system phases. In this context, expert knowledge and data mining discovered knowledge can cooperate, maximizing their individual capabilities: data mining discovered knowledge can be used as a complementary source of knowledge for the expert system, whereas expert knowledge can be used to guide the data mining process. This article summarizes different examples of systems where there is cooperation between expert knowledge and data mining discovered knowledge and reports our experience of such cooperation gathered from a medical diagnosis project called Intelligent Interpretation of Isokinetics Data, which we developed. From that experience, a series of lessons were learned throughout project development. Some of these lessons are generally applicable and others pertain exclusively to certain project types

Knowledge discovery from trajectories

Dissertation submitted in partial fulfilment of the requirements for the Degree of Master of Science in Geospatial TechnologiesAs a newly proliferating study area, knowledge discovery from trajectories has attracted more and more researchers from different background. However, there is, until now, no theoretical framework for researchers gaining a systematic view of the researches going on. The complexity of spatial and temporal information along with their combination is producing numerous spatio-temporal patterns. In addition, it is very probable that a pattern may have different definition and mining methodology for researchers from different background, such as Geographic Information Science, Data Mining, Database, and Computational Geometry. How to systematically define these patterns, so that the whole community can make better use of previous research? This paper is trying to tackle with this challenge by three steps. First, the input trajectory data is classified; second, taxonomy of spatio-temporal patterns is developed from data mining point of view; lastly, the spatio-temporal patterns appeared on the previous publications are discussed and put into the theoretical framework. In this way, researchers can easily find needed methodology to mining specific pattern in this framework; also the algorithms needing to be developed can be identified for further research. Under the guidance of this framework, an application to a real data set from Starkey Project is performed. Two questions are answers by applying data mining algorithms. First is where the elks would like to stay in the whole range, and the second is whether there are corridors among these regions of interest

Knowledge Discovery in Online Repositories: A Text Mining Approach

Before the advent of the Internet, the newspapers were the prominent instrument of mobilization for independence and political struggles. Since independence in Nigeria, the political class has adopted newspapers as a medium of Political Competition and Communication. Consequently, most political information exists in unstructured form and hence the need to tap into it using text mining algorithm. This paper implements a text mining algorithm on some unstructured data format in some newspapers. The algorithm involves the following natural language processing techniques: tokenization, text filtering and refinement. As a follow-up to the natural language techniques, association rule mining technique of data mining is used to extract knowledge using the Modified Generating Association Rules based on Weighting scheme (GARW). The main contributions of the technique are that it integrates information retrieval scheme (Term Frequency Inverse Document Frequency) (for keyword/feature selection that automatically selects the most discriminative keywords for use in association rules generation) with Data Mining technique for association rules discovery. The program is applied to Pre-Election information gotten from the website of the Nigerian Guardian newspaper. The extracted association rules contained important features and described the informative news included in the documents collection when related to the concluded 2007 presidential election. The system presented useful information that could help sanitize the polity as well as protect the nascent democracy

Knowledge construction: the role of data mining tools

This paper seeks to integrate the process of knowledge discovery in databases in the wider context of the creation and sharing of organisational knowledge. The focus on the process of knowledge discovery has been mainly technological. The paper attempts to enrich that perspective by stressing the insights gained by integrating the knowledge discovery process into the social process of knowledge construction that makes KDD meaningful. In order to achieve this goal, a test case is presented. A component of the database of the Portuguese Army was used to test the PADRÃO system. This system integrates a set of databases and principles of qualitative spatial reasoning, which are implemented in the Clementine Data Mining system. The process and the results obtained are then discussed in order to stress the insights that emerge when the focus changes from technology to the social construction of knowledge