Action-Rules: How to Increase Profit of a Company

  • Authors:
  • Zbigniew W. Ras;Alicja Wieczorkowska

  • Affiliations:
  • -;-

  • Venue:
  • PKDD '00 Proceedings of the 4th European Conference on Principles of Data Mining and Knowledge Discovery
  • Year:
  • 2000

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Abstract

Decision tables classifying customers into groups of different profitability are used for mining rules classifying customers. Attributes are divided into two groups: stable and flexible. By stable attributes we mean attributes which values can not be changed by a bank (age, marital status, number of children are the examples). On the other hand attributes (like percentage rate or loan approval to buy a house in certain area) which values can be changed or influenced by a bank are called flexible. Rules are extracted from a decision table given preference to flexible attributes. This new class of rules forms a special repository of rules from which new rules called actionrules are constructed. They show what actions should be taken to improve the profitability of customers.