Importance of Data and Data Mining


The process of Data mining begins with the party doing business– this is where the process commences. Customer Relationship Management (CRM) collected data though is just the tip of the iceberg. Among the data collected in the process of data mining includes competitive data, social media conversations, industry survey data, and blogs. With competitive data combined with the other, collected outputs can be as powerful for organizations. The result allows organizations to analyze and explore data with the benefit of discovering trends and patterns; which of course, can help in the organization’s decisions. Data Mining has often been misunderstood by many. They think that this is the process of extracting data or data processing; but the thing is, the process is so much more than that. It is actually the “computer-assisted process of digging through and analyzing enormous sets of data and then extracting the meaning of data”, as defined by Doug Alexander of the University of Texas. The extracted data, in turn, empower businesses to make knowledge-driven decisions that are likewise productive as well. With the help of Data Mining tools do, do businesses are able to answer questions that used to be time consuming to resolve; unlike with database tools that contain all the required information. The process of Data Mining involves the following elements: 1. Extraction, transformation, and loading of data to a warehouse system 2. Storage and management of data in a database systems 3. Access to data for business analysts and IT professionals 4. Analysis of data by a software 5. Presentation of data in a useful format such as in a table or graph. With Data Mining, organizations are able to make better and more beneficial business decisions. From its marketing, advertising, and introduction of new products and services; and everything in between.

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