What is cluster in SAP BI-RA-PA - SAP Predictive Analytics?

SAP Term: cluster

• Component: BI-RA-PA

• Component Name: SAP Predictive Analytics

• Description: Group of similar records/entities. It is defined by its centroid and a given entity is associated to a cluster by looking at the closest centroid.

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• Key Concepts: 
  A cluster is a group of data points that are similar to each other in some way. In SAP Predictive Analytics, clusters are used to identify patterns in data and to group similar data points together. Clusters can be used to identify customer segments, product categories, or any other type of grouping that can be identified from the data. 
  
  How to use it: 
  Clusters can be created using a variety of algorithms, such as k-means clustering or hierarchical clustering. The algorithm chosen will depend on the type of data being analyzed and the desired outcome. Once the clusters have been created, they can be used to identify patterns in the data and to group similar data points together. 
  
  Tips & Tricks: 
  When creating clusters, it is important to consider the size of the clusters and the number of clusters that will be created. Too few clusters may not provide enough information, while too many clusters may make it difficult to interpret the results. It is also important to consider how the clusters will be used and what type of analysis will be performed on them. 
  
  Related Information: 
  Clustering is a common technique used in machine learning and data mining. It can be used for a variety of tasks, such as customer segmentation, product categorization, and anomaly detection. Clustering algorithms are also used in natural language processing for tasks such as document classification and topic modeling.