Application Of Data Mining On The Construction Of Key Performance Indicators

With the advent of the economic globalization and the information age, the enterprise must constantly improve its overall efficiency and performance to survive in the information explosion social. A set of scientific standards of performance management system is indispensable to the operation of the enterprise for a long-term vision. It is more urgent for the enterprise to realize the intelligence of the performance management. Therefore, how to promote the development of intelligence of the performance management is an important research topic for the enterprise currently.As data mining technology can extract and transmit different data from different sources, it can help enterprise have a unique ability to support decision-making. From this point of view, data mining technology research in performance management is more meaningful. Considering the features of the data in performance management, research on the association relation of the indicators is made in the thesis, and the data mining techniques in the course of the extraction is applied. Besides, some expansion of exploratory research of data mining applications is also made in the thesis.Based on the investigation of Planning and Development Department of China Three Gorges Project Corporation, the performance management system in line with the company's vision is strived to be explored and established in the thesis, while the analysis methods of data mining processing being took into account and the association rules algorithm is applied. The purpose and meaning of subject is introduced and the background of the corresponding areas of development is also explained in the thesis, so the theoretical foundation of this thesis is laid. The concept of Key Performance Indicators (KPI) is described in detail and the principles and analysis several methods of how to choose Key Performance Indicators are identified. On this basis, the key role that the Key Performance Indicators play in project management is proposed. The basic functions of data mining are explained, the significance of introduction of data mining into the Key Performance Indicators is focused on. Among many data mining algorithms, the association rules is focused on and several common association rule algorithms and improved-algorithms are described. Finally, a demonstration for data mining model is made and some analyzes on the data based on the project and some useful advice to support the decision of the contract management according the association relation is made. At length, the study of the thesis is summarized and the direction of future research is also made.The research of the thesis supplies a new way of extracting the Key Performance Indicators, making a beneficially attempt of data mining on application in the contract management, giving some inspiration to the future study.