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Codeless Time Series Analysis with KNIME

Codeless Time Series Analysis with KNIME

By : KNIME AG , Corey Weisinger, Maarit Widmann, Daniele Tonini
4.8 (10)
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Codeless Time Series Analysis with KNIME

Codeless Time Series Analysis with KNIME

4.8 (10)
By: KNIME AG , Corey Weisinger, Maarit Widmann, Daniele Tonini

Overview of this book

This book will take you on a practical journey, teaching you how to implement solutions for many use cases involving time series analysis techniques. This learning journey is organized in a crescendo of difficulty, starting from the easiest yet effective techniques applied to weather forecasting, then introducing ARIMA and its variations, moving on to machine learning for audio signal classification, training deep learning architectures to predict glucose levels and electrical energy demand, and ending with an approach to anomaly detection in IoT. There’s no time series analysis book without a solution for stock price predictions and you’ll find this use case at the end of the book, together with a few more demand prediction use cases that rely on the integration of KNIME Analytics Platform and other external tools. By the end of this time series book, you’ll have learned about popular time series analysis techniques and algorithms, KNIME Analytics Platform, its time series extension, and how to apply both to common use cases.
Table of Contents (20 chapters)
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1
Part 1: Time Series Basics and KNIME Analytics Platform
7
Part 2: Building and Deploying a Forecasting Model
14
Part 3: Forecasting on Mixed Platforms

Understanding TSA

When analyzing business data, it’s quite common to focus on what happened at a particular point in time: sales figures at the end of the month, customer characteristics at the end of the year, conversion results at the end of a marketing campaign, and more. Even in the development of the most sophisticated ML models, in most cases, we collect information that refers to different objects at a specific instant in time (or by taking a few snapshots of historical data). This approach, which is absolutely valid and correct for many applications, not only in business, uses cross-sectional data as the basis for analytics: data collected by observing many subjects (such as individuals, companies, shops, countries, equipment, and more) at one point or period of time.

Although the fact of not considering the temporal factor in the analysis is widespread and rooted in common practice, there are several situations where the analysis of the temporal evolution of a phenomenon provides more complete and interesting results. In fact, it’s only through the analysis of the temporal dynamics of the data that it is possible to identify the presence of some peculiar characteristics of the phenomenon we are analyzing, be it sales/consumption data, rather than a physical parameter or a macroeconomic index. These characteristics that act over time, such as trends, periodic fluctuations, level changes, anomalous observations, turning points, and more can have an effect in the short or long term, and often, it is important to be able to measure them precisely. Furthermore, it is only by analyzing data over time that it is possible to provide a reliable quantitative estimate of what might occur in the future (whether immediate or not). Since economic conditions are constantly changing over time, data analysts must be able to assess and predict the effects of these changes in order to suggest the most appropriate actions to take for the future.

For these reasons, TSA can be a very useful tool in the hands of business analysts and data scientists when it comes to both describing the patterns of a phenomenon along the time axis and providing a reliable forecast for it. Through the use of the right tools, TSA can significantly expand the understanding of any variable of interest (typically numerical) such as sales, financial KPIs, logistic metrics, sensors’ measurements, and more. More accurate and less biased forecasts that have been obtained through quantitative TSA can be one of the most effective drivers of performance in many fields and industries.

In the next sections of this chapter, we will provide definitions, examples, and some additional elements to gain a further understanding of how to recognize some key features of time series and how to approach their analyses in a structured way.

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