Unit 3: Analytical Processing with SAP HANA

Figure 60: Predictive Analysis Approaches

SAP HANA Predictive Analysis Library (PAL)

SAP HANA Predictive Analysis Library (PAL) contains over 90 algorithms that can be used to
develop predictive and machine learning models. Some of these algorithms are used for data
mining preprocessing tasks such as:
● Sampling — select a few records from large data sets (for example, we need 1000 people
from each country)
● Binnig — grouping records into basic categories (for example, age ranges)
● Partitioning — creating sets of data for training, testing, and validation used to train
models and check their predictive accuracy

The majority of the algorithms are used for scoring or predictive modeling. There are many
algorithms provided for all major data mining categories including:
● Association
● Classification
● Clustering
● Regression
● Time Series
● Neural Networks

PAL algorithms can be called directly from procedures in SQL Script or they can be integrated
into an SAP HANA flowgraph which is built using a graphical editor in the Web IDE. A
flowgraph defines the data inputs, data processing, and outputs and parameters used in the
predictive model. Using PAL requires knowledge of statistical methods and data mining

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