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378       Chapter 9  Business Intelligence Systems


                            aCtive review






        Use this Active Review to verify that you understand the ideas   Q5  How do organizations use data mining
        and concepts that answer the chapter’s study questions.  applications?

        Q1  How do organizations use business                 Define data mining, and explain how its use typically differs from
        intelligence (BI) systems?                            reporting applications. Explain why data mining tools are dif-
                                                              ficult to use well. Describe the differences between unsupervised
        Define  business intelligence  and  BI system.  Explain  the  com-  and supervised data mining. Use an example to illustrate cluster
        ponents in Figure 9-1. Give an example, other than one in   analysis and regression  analysis. Define  neural networks, and
        this text, of one way that an organization could use business   explain why the term is a misnomer. Define support, confidence,
        intelligence for each of the four collaborative tasks in Figure   and lift, and describe these terms using the data in Figure 9-21.
        9-2. Describe one use of BI in retailing, entertainment, and law   Describe a good application for market-basket analysis results.
        enforcement.                                          Describe the purpose of decision trees and explain how the data
                                                              in Figure 9-22 is used to evaluate loans for possible purchase.
        Q2  What are the three primary activities in
        the BI process?                                       Q6  How do organizations use BigData
        Name and describe the three primary activities in the BI pro-  applications?
        cess. Using Figure 9-3 as a guide, describe the major tasks for   Name and explain the three v’s of BigData. Describe the gen-
        each activity. Summarize how Addison and Drew used these   eral goal of MapReduce and explain, at a conceptual level,
        activities to produce BI results for AllRoad. Explain the role of   how it works. Explain the purpose of Hadoop and describe its
        Figures 9-4 through 9-11.
                                                              origins. Define Pig.
        Q3  How do organizations use data                         Explain how Figure 9-24 could be produced by Map-
        warehouses and data marts to acquire                  Reduce. State one reason why Amazon offers Hadoop services
                                                              as part of its EC3 offering.
        data?
        Describe the need and functions of data warehouses and data   Q7  What is the role of knowledge
        marts. Name and describe the role of data warehouse compo-  management systems?
        nents. List and explain the problems that can exist in data used
        for data mining and sophisticated reporting. Use the example   Define  knowledge  management. Explain  five  key  benefits  of
        of a supply chain to describe the differences between a data   KM. Briefly describe three types of KM systems. Define expert
        warehouse and data mart.                              systems, If/Then rules, and  expert system shell. Explain how
                                                              expert system rules are created. Differentiate expert system If/
        Q4  How do organizations use reporting                Then rules from decision tree If/Then rules. Summarize the
        applications?                                         three major disadvantages of expert systems and assess their
                                                              future. Define  content  management  system  (CMS). Describe
        Name and describe five basic reporting operations and sum-  five challenges organizations face for managing content. Name
        marize  how Addison  used them  at AllRoad.  Define  RFM   three CMS application alternatives and explain the use of each.
        analysis and explain the actions that should be taken with   Explain how social media has changed the orientation of
        customers who have the following scores: [1, 1, 1,], [5, 1, 1,],   knowledge management. Define hyper-social knowledge man-
        [1, 1, 3], and [1, 4, 1]. Explain OLAP and describe its unique   agement.  Explain  the  hyper-social  KM  use  of  each  medium
        characteristics. Explain the roles for measure and dimen-  in Figure 9-28. Explain the entries in the second and third
        sion in an OLAP cube. Illustrate an OLAP cube with a single   columns of this figure. Define rich directory and explain three
        measure and five dimensions, two dimensions on one axis   uses for it. Summarize possible employee resistance to hyper-
        and three on another. Show how drill down applies to your   social knowledge sharing, and name two management tech-
        example.                                              niques for reducing it.
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