UNIT 4

ANALYSIS OF
STRUCTURE
CLUSTER ANALYSIS
Products or Services

HIERARCHICAL K- MEAN CLUSTER

CLUSTER ANALYSIS ANALYSIS
 HIERARCHICAL
CLUSTER ANALYSIS

All the students of BMS came from different parts of the

country for example Haryana, Delhi, Delhi NCR, Chhattisgarh,
Andhra pradesh, the students from outside Delhi have to take
the PG, Hostel and Flat near Delhi or in Delhi and you all will
came to the college of vocational studies room no. 107 SSP Class.
TYPES OF HIERARCHICAL
CLUSTER ANALYSIS

AGGLOMERATIVE
This is a "bottom-up" approach: each
observation starts in its own cluster,
and pairs of clusters are merged as
one moves up the hierarchy.

DIVISIVE
This is a "top-down" approach: all
observations start in one cluster, and
splits are performed recursively as
one moves down the hierarchy.
QUES: Joseph wants to map the profile of respondents based on internet benefits. He
prepare a list of 13 statements and collects data from 32 respondents to find cluster
solutions.
INTERNET BENEFITS:
1. Availability of updated information.(USE 1)
2. Easy movement across websites.(USE 2)
3. Prompt online ordering.(USE 3)
4. Prompt query handling.(USE 4)
5. Get lowest price for product / service purchase.(Compar1)
6. Easy comparison of product/ service from several vendors. (Compar2)
7. Easy comparison of price from several vendors. (Compar3)
8. Able to obtain competitive and educational information regarding product service.(Compar4)
9. Increase in speed of information gathering from vendor(infoaccess1)
10. Increase in speed of information dissemination with organization(b/w and within
departments/colleagues) (Infoaccess2)
11. Reduced order processing time (RedPTM1)
12. Reduced paper flow(RedPTM2)
13.Reduced ordering costs (RedPTM3)

INTERNET BENEFITS : 1 (Not Important), 2 (Less Important), 3 (Important), 4 (Very Important),

5(Extremely Important)
STEP: 1 Enter the variable view of variables
as shown.
STEP: 2 Enter the data in data view as shown
STEP: 3 Click Analyze menu : Classify > Hierarchical cluster
This will open Hierarchical cluster analysis dialogue box
STEP: 4 Select the variable and send it to variable(s) list box by
clicking the Right Arrow Button. Similarly do this for
other variables. Select the cluster and Display according
to your requirement
STEP: 5 Click Statistics....button to open its sub dialogue box.
Select the Agglomeration Schedule check box and other
parameters as desired. Click to continue to close this sub
dialogue box. Previous dialogue box will reappear.
STEP: 6 Click Plots... button to open this sub dialogue box. Select
the desired plots and click continue to close this sub
dialogue box. Previous dialogue box will reappear.
STEP: 7 Click Method... button to open its sub dialogue box. Select the
desired method and click continue to close this sub dialogue
box. The previous dialogue box will reappear.
Click OK in the Hierarchical cluster Analysis dialogue box to see
output viewer.
FINAL OUTPUT
DENDOGRAM
 K-means
Cluster Analysis

A K-means clustering algorithm tries to group similar items in

the form of clusters. The number of groups is represented by K.

Let’s take an example. Suppose you went to a vegetable shop

to buy some vegetables. There you will see different kinds of
vegetables. The one thing you will notice there that the
vegetables will be arranged in a group of their types. Like all the
carrots will be kept in one place, potatoes will be kept with their
kinds and so on. If you will notice here then you will find that they
are forming a group or cluster, where each of the vegetables is
kept within their kind of group forming the clusters.
 How Does the K-means
clustering work?

k-means clustering tries to group similar

kinds of items in form of clusters. It finds
the similarity between the items and
groups them into the clusters. K-means
clustering algorithm works in three steps.
Let’s see what are these three steps.

1. Select the k values.

2. Initialize the centroids.
3. Select the group and find the
average.

 Ex Ques.
= {2,3,4,10, 11, 12, 20, 25, 30}
Step1: Take mean value.
Step2 = Find Nearest
number of mean and Put in cluster.
Step3: Repeat one and two
Until we get same mean.
Step 1- Click Analyze menu -›Classify->K-Means Cluster...
This will open K-Means cluster Analysis dialogue box.
step 2 -select the variable to be analyzed and send it in
Variables list box by clicking the
right arrow button. Similarly do this for other variables.

Step3-Write thNumber of Clusters you want to extract.-

Step4-Click Iterate.. button to open its
sub dialogue box. You may choose the
maximum number of iterations you
want. Click Contimue to close this suh
dialogue box. The previous dialogue box
will reappear. Click Option... to ppen
its sub dialogue box.
Select the required
Statisties options.
Click Continue to
close its sub dialogs
box. The previous
dialogue box will
reappear. Chick OR
To Sce the output
viener