Data Mining is an analytic process that scrutinizes data to find consistent patterns or systematic relationships between variables and then confirm what is found by using the detected patterns to new data subsets.
The eventual data mining goal is prediction. The most common type of data mining and one that has the most direct business applications is Predictive data mining. The data mining process includes three stages:
- Initial exploration
- Model building or pattern identification with validation/verification
- Deployment model application to new data in order to create predictions
Data mining gives companies the ability to use the information to reveal more than you think. Generally, data mining informs us about large and complex data sets, the kinds of information that would be readily apparent about small and simple things.
Data mining can help you easily get information and make quick and valid decisions. It also assists your ability to compare information with several factors so your decisions are more reliable. With the information that is available after the data mining, you can create new strategies. Doing so will help your organization effectively expand business boundaries and make better decisions.