IS 425 Midterm

How are descriptive analytics methods different from the other two types?

" They answer ""what-is?"" queries, not ""what will be?"" queries. "

The Web can play a significant role in making large amounts of information available to decision makers. Decision makers must be careful that this glut of information does not

" detract from the quality and speed of decision making. "

"Which of these applications will derive the LEAST benefit from text mining?: patients' medical files patent description files sales transaction files customer comment files "

" sales transaction files "

According to a study by Merrill Lynch and Gartner, what percentage of all corporate data is captured and stored in some sort of unstructured form?

85%

What is the main reason parallel processing is sometimes used for data mining?

because of the massive data amounts and search efforts involved

What data discovery process, whereby objects are categorized into predetermined groups, is used in text mining?

classification

Which broad area of data mining applications partitions a collection of objects into natural groupings with similar features?

clustering

In the Cabela's case study, what types of models helped the company understand the value of customers, using a five-point scale?

clustering and association models

"All of the following statements about social networks are true EXCEPT: it is possible to gain insights into how products go viral. companies should invest equally to retain all members of a group. members of a group are affected by the behavior of others in the group. a group with all interconnected individuals is called a clique. "

companies should invest equally to retain all members of a group.

In the student retention case study, which of the following variables was MOST important in determining whether a student dropped out of college?

completed credit hours and hours enrolled

" In the Whirlpool case study, the company sought to better understand information coming from which source? "

customer e-mails

"All of the following are benefits of hosted data warehouses EXCEPT: smaller upfront investment. better quality hardware. greater control of data. frees up in-house systems. "

greater control of data.

Groupthink in a decision-making environment occurs when

group members all accept a course of action without thinking for themselves.

"Clickstream analysis is most likely to be used for all the following types of applications EXCEPT: determining the lifetime value of clients. hiring new functional area managers. designing cross-marketing strategies across products. predicting user behavior. "

hiring new functional area managers

Understanding which keywords your users enter to reach your Web site through a search engine can help you understand

how well visitors understand your products

Which data warehouse architecture uses a normalized relational warehouse that feeds multiple data marts?

hub-and-spoke data warehouse architecture

Data warehouses provide direct and indirect benefits to using organizations. Which of the following is an indirect benefit of data warehouses?

improved customer service

Identifying and preventing incorrect claim payments and fraudulent activities falls under which type of data mining applications?

insurance

What does the scalability of a data mining method refer to?

its ability to construct a prediction model efficiently given a large amount of data

"All the following statements about hidden layers in artificial neural networks are true EXCEPT: hidden layers are not direct inputs or outputs. more hidden layers increase required computation exponentially. many top commercial ANNs forgo hidden layers completely. more hidden layers include many more weights. "

many top commercial ANNs forgo hidden layers completely.

"In developing an artificial neural network, all of the following are important reasons to pre-select the network architecture and learning method EXCEPT: some configurations have better success than others with specific problems. development personnel may be more experienced with certain architectures. most neural networks need special purpose hardware, which may be absent. some neural network software may not be available in the organization. "

most neural networks need special purpose hardware, which may be absent.

"Search engines do not search the entire Web every time a user makes a search request, for all the following reasons EXCEPT: the Web is too complex to be searched each time. it would take longer than the user could wait. most users are not interested in searching the entire Web. it is more efficient to use pre-stored search results. "

most users are not interested in searching the entire Web.

"The Internet emerged as a new medium for visualization and brought all the following EXCEPT: worldwide digital distribution of visualization. immersive environments for consuming data. new forms of computation of business logic. new graphics displays through PC displays. "

new forms of computation of business logic.

What form of decision theory assumes that decision makers are rational beings who always seek to strictly maximize economic goals?

normative decision theory

What is the management feature of a dashboard?

operational data that identify what actions to take to resolve a problem

In the Magpie Sensing case study, the automated collection of temperature and humidity data on shipped goods helped with various types of analytics. Which of the following is an example of prescriptive analytics?

optimal temperature setting

Breaking up a Web page into its components to identify worthy words/terms and indexing them using a set of rules is called

parsing the documents

Which type of visualization tool can be very helpful when the intention is to show relative proportions of dollars per department allocated by a university administration?

pie chart

When using support vector machines, in which stage do you transform the data?

preprocessing the data

Using the k-nearest neighbor machine learning algorithm for classification, larger values of k

reduce the effect of noise on the classification.

In text mining, stemming is the process of

reducing multiple words to their base or root.

Prediction problems where the variables have numeric values are most accurately defined as

regressions

Third party providers of publicly available datasets protect the anonymity of the individuals in the data set primarily by

removing identifiers such as names and social security numbers.

Backpropagation learning algorithms for neural networks are

required to have error tolerance set in advance.

"Organizations counter the pressures they experience in their business environments in multiple ways. Which of the following is NOT an effective way to counter these pressures?: reactive actions anticipative actions adaptive actions retroactive actions "

retroactive actions

What types of documents are BEST suited to semantic labeling and aggregation to determine sentiment orientation?

small- to medium-sized documents

"Identifying the target of an expressed sentiment is difficult for all the following reasons EXCEPT: the review may not be directly connected to the target through the topic name. blogs and articles with the sentiment may be general in nature. strong sentiments may be generated by a computer, not a person. sometimes there are multiple targets expressed in a sentiment. "

strong sentiments may be generated by a computer, not a person.

Operational or transaction databases are product oriented, handling transactions that update the database. In contrast, data warehouses are

subject-oriented and nonvolatile

In the research literature case study, the researchers analyzing academic papers extracted information from which source?

the paper abstract

Big Data often involves a form of distributed storage and processing using Hadoop and MapReduce. One reason for this is

the processing power needed for the centralized model would overload a single computer.

In estimating the accuracy of data mining (or other) classification models, the true positive rate is

the ratio of correctly classified positives divided by the total positive count.

"Dashboards can be presented at all the following levels EXCEPT: the visual dashboard level. the static report level. the visual cube level. the self-service cube level. "

the visual cube level

Support vector machines are a popular machine learning technique primarily because of

their superior predictive power and their theoretical foundation.

"Benefits of the latest visual analytics tools, such as SAS Visual Analytics, include all of the following EXCEPT: mobile platforms such as the iPhone are supported by these products. it is easier to spot useful patterns and trends in the data. they explore massive amounts of data in hours, not days. there is less demand on IT departments for reports. "

they explore massive amounts of data in hours, not days.

A Web client that connects to a Web server, which is in turn connected to a BI application server, is reflective of a

three tier architecutre

In the Coors case study, why was a genetic algorithm paired with neural networks in the prediction of beer flavors?

to complement the neural network by reducing the error term

Which element in an artificial neural network roughly corresponds to a synapse in a human brain?

weight

Which data mining process/methodology is thought to be the most comprehensive, according to kdnuggets.com rankings?

CRISP-DM

What application is MOST dependent on text analysis of transcribed sales call center notes and voice conversations with customers?

CRM

"The model management subsystem provides the system's analytical capabilities and appropriate software management. Which of the following is NOT an element of the model management subsystem?: model base MBMS DBMS model execution, integration, and command processor "

DBMS

How does the use of cloud computing affect the scalability of a data warehouse?

Hardware resources are dynamically allocated as use increases.

What does advanced analytics for social media do?

It examines the content of online conversations

PageRank for Webpages is useful to Web developers for which of the following reasons?

It gives developers insight into Web user behavior

What does descriptive analytics for social media do?

It helps identify your followers

In the opening vignette, which method was the best in both accuracy of predicted outcomes and sensitivity?

SVM

" Interval data is a type of numerical data"

TRUE

A data warehouse can support the intelligence phase of decision making by continuously monitoring both internal and external information, looking for early signs of problems and opportunities through a Web-based enterprise information portal or dashboard.

TRUE

Categorization and clustering of documents during text mining differ only in the preselection of categories.

TRUE

Clickstream analysis does not need users to enter their perceptions of the Web site or other feedback directly to be useful in determining their preferences.

TRUE

If using a mining analogy, "knowledge mining" would be a more appropriate term than "data mining."

TRUE

In a four-step process for decision making, managers construct a model of the problem before they evaluate potential solutions.

TRUE

In data mining, classification models help in prediction.

TRUE

In sentiment analysis, it is hard to classify some subjects such as news as good or bad, but easier to classify others, e.g., movie reviews, in the same way.

TRUE

In text mining, inputs to the process include unstructured data such as Word documents, PDF files, text excerpts, e-mail and XML files.

TRUE

In the Hong Kong government case study, reporting time was the main benefit of using SAS Business Analytics to generate reports.

TRUE

In the chapter's opening vignette, IBM's computer named Watson outperformed human game champions on the game show 'Jeopardy!'

TRUE

In the financial services firm case study, text analysis for associate-customer interactions were completely automated and could detect whether they met the company's standards.

TRUE

Prior to starting the development of a neural network, developers must carry out a requirements analysis.

TRUE

Since a descriptive model checks the performance of the system for only a subset of all possible alternatives, there is no guarantee that a selected alternative will be optimal.

TRUE

The WebFOCUS BI platform in the Travel and Transport case study decreased clients' reliance on the IT function when seeking system reports.

TRUE

The bag-of-words model is appropriate for spam detection but not for text analytics.

TRUE

The k-nearest neighbor algorithm appears well-suited to solving image recognition and categorization problems.

TRUE

The most complex problems solved by neural networks require one or more hidden layers for increased accuracy.

TRUE

The network topology that allows only one-way links between layers, with no feedback linkage permitted, is known as backpropagation.

TRUE

The number of users of free/open source data mining software now exceeds that of users of commercial software versions.

TRUE

The use of hidden layers and new topologies and algorithms renewed waning interest in neural networks.

TRUE

Though useful in business applications, neural networks are a rough, inexact model of how the brain works, not a precise replica.

TRUE

Unlike other "black box" predictive models, support vector machines have a solid mathematical foundation in statistics.

TRUE

Visualization differs from traditional charts and graphs in complexity of data sets and use of multiple dimensions and measures.

TRUE

Generally, making a search engine more efficient makes it less effective.

TRUE (more effective -> more complex -> less efficient)

In the Target case study, why did Target send a teen maternity ads?

Target's analytic model suggested she was pregnant based on her buying habits.

What is one major way in which Web-based social media differs from traditional publishing media?

They have different costs to own and operate.

For DSS, why are semistructured or unstructured decisions the main focus of support?

They include human judgment, which is incorporated into DSS.

In the Blue Cross Blue Shield case study, speech analytics were used to identify "confusion" calls by customers. What was true about these calls?

They were not documented by customer service reps for speech analytics.

Web site usability may be rated poor if

Web site visitors download few of your offered PDFs and videos.

Compared to the human brain, artificial neural networks have many more neurons.

FALSE

Data mining can be very useful in detecting patterns such as credit card fraud, but is of little help in improving sales.

FALSE

Data warehouse administrators (DWAs) do not need strong business insight since they only handle the technical aspect of the infrastructure.

FALSE

Data warehouses are subsets of data marts.

FALSE

Generally speaking, people intuitively estimate risk quite accurately.

FALSE

Generally speaking, support vector machines are less accurate a prediction method than other approaches such as decision trees and neural networks.

FALSE

Group collaboration software has proved generally ineffective at improving decision-making.

FALSE

In the Isle of Capri case, the only capability added by the new software was increased processing speed of processing reports.

FALSE

In the cancer research case study, data mining algorithms that predict cancer survivability with high predictive power are good replacements for medical professionals.

FALSE

In the patent analysis case study, text mining of thousands of patents held by the firm and its competitors helped improve competitive intelligence, but was of little use in identifying complementary products.

FALSE

Market basket analysis is a useful and entertaining way to explain data mining to a technologically less savvy audience, but it has little business significance.

FALSE

Moving the data into a data warehouse is usually the easiest part of its creation.

FALSE

Participating in social media is so new that it is still optional for most companies in the United States

FALSE

Since little can be done about visitor Web site abandonment rates, organizations have to focus their efforts on increasing the number of new visitors.

FALSE

Since the business environment involves considerable uncertainty, a manager cannot use modeling to estimate the risks resulting from specific actions.

FALSE

The BPM development cycle is essentially a one-shot process where the requirement is to get it right the first time.

FALSE

The dashboard for the WebFOCUS BI platform in the Travel and Transport case study required client side software to operate.

FALSE

The linguistic approach to speech handles processes elements such as intensity, pitch and jitter from speech recorded on audio.

FALSE

The use of statistics in baseball by the Oakland Athletics, as described in the Moneyball case study, is an example of the effectiveness of prescriptive analytics.

FALSE

Using support vector machines, you must normalize the data before you numericize it.

FALSE

When training a data mining model, the testing dataset is always larger than the training dataset.

FALSE

Web mining is exactly the same as Web analytics: the analysis of Web site usage data.

FALSE (analytics is analyzing what happened, mining is finding new knowledge)

With the PageRank algorithm, a Web page with more incoming links will always rank higher than one with fewer incoming links.

FALSE (balances more than just links)

Consistent high quality, higher publishing frequency, and longer time lag are all attributes of industrial publishing when compared to Web publishing.

FALSE (high publishing frequency wrong)

" Decentralization, the need for specialized skills, and immediacy of output are all attributes of Web publishing when compared to industrial publishing. "

FALSE (specialized skills wrong)

"In the opening vignette, the architectural system that supported Watson used all the following elements EXCEPT: massive parallelism to enable simultaneous consideration of multiple hypotheses. an underlying confidence subsystem that ranks and integrates answers. a core engine that could operate seamlessly in another domain without changes. integration of shallow and deep knowledge. "

a core engine that could operate seamlessly in another domain without changes.

"Common sources of traffic to your Web site include all of the following EXCEPT: paid search from search engines. referral Web sites. accidental visitors. direct links. "

accidental visitors

What does Web structure mining involve?

analyzing the universal resource locators in Web pages

Understanding customers better has helped Amazon and others become more successful. The understanding comes primarily from

analyzing the vast data amounts routinely collected

In data mining, finding an affinity of two products to be commonly together in a shopping cart is known as

association rule mining.

Why are analytical decision making skills now viewed as more important than interpersonal skills for an organization's managers?

because analytical-oriented managers produce better results over time

"The deployment of large data warehouses with terabytes or even petabytes of data been crucial to the growth of decision support. All the following explain why EXCEPT: data warehouses have enabled the affordable collection of data for analytics. data warehouses have enabled the collection of decision makers in one place. data warehouses have assisted the collection of data for data mining. data warehouses have assisted the collection of data from multiple sources. "

data warehouses have enabled the collection of decision makers in one place.

Which of the following activities permeates nearly all managerial activity?: planning controlling directing decision-making

decision-making

"All of the following statements about the decision implementation phases are true EXCEPT: implementation is every bit as important as the decision itself. employees need only the decisions from the CEO, not the rationale. ERP, CRP, and BPM tools can all help track decision implementation. ES and KMS can help in training and support for decision implementation. "

employees need only the decisions from the CEO, not the rationale.

For those executives who do not have the time to go through lengthy reports, the best alternative is the

executive summary.