Book Image

R Machine Learning Projects

By : Dr. Sunil Kumar Chinnamgari
Book Image

R Machine Learning Projects

By: Dr. Sunil Kumar Chinnamgari

Overview of this book

R is one of the most popular languages when it comes to performing computational statistics (statistical computing) easily and exploring the mathematical side of machine learning. With this book, you will leverage the R ecosystem to build efficient machine learning applications that carry out intelligent tasks within your organization. This book will help you test your knowledge and skills, guiding you on how to build easily through to complex machine learning projects. You will first learn how to build powerful machine learning models with ensembles to predict employee attrition. Next, you’ll implement a joke recommendation engine and learn how to perform sentiment analysis on Amazon reviews. You’ll also explore different clustering techniques to segment customers using wholesale data. In addition to this, the book will get you acquainted with credit card fraud detection using autoencoders, and reinforcement learning to make predictions and win on a casino slot machine. By the end of the book, you will be equipped to confidently perform complex tasks to build research and commercial projects for automated operations.
Table of Contents (12 chapters)
The Road Ahead

Machine learning in credit card fraud detection

The task of fraud detection often boils down to outlier detection, in which a dataset is verified to find potential anomalies in the data. Traditionally, this task was deemed a manual task, where risk experts checked all transactions manually. Even though there is a technical layer, it is purely based on a rules base that scans through each transaction, and then those shortlisted as suspicious are sent through for a manual review to make a final decision on the transaction. However, there are some major drawbacks to this system:

  • Organizations need substantial fraud management budgets for manual review staff.
  • Extensive training is required to train the employees working as manual review staff.
  • Training the personnel to manually review transactions is time consuming and expensive.
  • Even the most highly trained manual review staff carry...