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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.