A statistical process control approach to business activity monitoring

作者：Jiang Wei^*; Au Tom; Tsui Kwok Leung

来源：IIE Transactions, 2007, 39(3): 235-249.

DOI：10.1080/07408170600743912

• Bayesian Model Averaging
• churn detection
• customer relationship management
• EWMA
• fraud detection
• LAD

Statistical Process Control (SPC) techniques have been successfully used in manufacturing industries to trigger and identify the root cause of variations so as to promote quality improvement. This paper develops a SPC framework to identify important changes deserved in business activity monitoring. To model and track thousands of diversified customer behaviors, the proposed SPC system consists of efficient and robust pro. ling methods to accommodate different behavior patterns including business changes, structural breakdowns, and unnecessary errors. Several customer pro. ling techniques are discussed and the activity monitoring performance based on the pro. ling algorithms is compared in a simulation example and a customer churn detection example in a telecommunications setting. The enhanced system will allow business managers and engineers to establish successful customer loyalty programs for churn prevention and fraud detection.

• 出版日期2007-3