MBA (GLIM), Certified Supply Chain Professional (CSCP) from Association of Operations Management (APICS), Lean Six Sigma Professional (KPMG), B.E.-Marine (D.M.E.T./ M.E.R.I.)

Biological Neural Networks

Posted by Mohit Sewak     Category: Business Intelliegence, Neural Networks

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Neural Networks

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Our brain consists of approximately 1011 neurons, in a densely connected and functionally related in a peripheral nervous system. These neurons are biological cells which get energized by the reaction of chemical ions, which generates an electrical signal which then propagates the neural network. These neural networks are nothing but a network of all of these 1011 neurons, in which each of these neuron is interconnected to several thousands of other neurons. The axon (output node) of one neuron is not connected to the dendrites (input node) of other neurons, through synapses (connectors between input and output nodes).

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The excitation of the neurons by chemical ions causes electrical spikes that travels along the axon of the pre-synaptic neuron (transmitter neuron) that further triggers the release of neurotransmitter substances at the synapse. The neurotransmitters cause excitation or inhibition in the dendrite of the post-synaptic neuron (receiver neuron). The integration of the excitatory and inhibitory signals may produce spikes in the post-synaptic neuron. The contribution of the signals depends on the strength of the synaptic connection. Through a network of these electrical signals and flows, various senses and motor nerves are energized and and information flows from one part of the nervous system to another.

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Although at a unit level the system is very simple, but the very complexity of the interconnections and the huge number of the network nodes makes possible the accomplishment of extraordinary complex tasks through these networks.

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Next: Neural Networks at Work

Next: Capabilities of Neural Networks.


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The spikes travelling along the axon of the pre-synaptic neuron trigger the release of neurotransmitter substances at the synapse.

The neurotransmitters cause excitation or inhibition in the dendrite of the post-synaptic neuron.

The integration of the excitatory and inhibitory signals may produce spikes in the post-synaptic neuron.

The contribution of the signals depends on the strength of the synaptic connection.

Profiting From Data Mining

Posted by Mohit Sewak     Category: Data Mining, Marketing

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Profiting From Data Mining

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Richard Mouser was spending $85 per sale on ad costs for his website. After using Bullock’s Taguchi method of data mining where he tested headers, subheaders, site copy and sent test pages to customers, he was able to reduce his advertising cost to $8 per sale and sales numbers have gone up dramatically.
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Apeoplens by SAS, IBM, Oracle, CA and Microsoft help customers gain valuable insights. Data mining is $1.85 bn industry.

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Uses of Data Mining:-

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  • 1. market segmentation
  • 2. Customer churn – predicting factors that cause customers to leave a business and go to a competitor
  • 3. Fraud detection
  • 4. Direct marketing – identify best prospects for highest response rate
  • 5. Interactive marketing
  • 6. trend Analysis
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Bullocks claims his software can increase conversion rate on a website by upto 400%. Most companies don’t realize that having a website isn’t enough today. You need to monitor and evaluate consumer action and monetize that traffic.

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