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http://dx.doi.org/10.7232/JKIIE.2016.42.5.327

Prediction of Customer Failure Rate Using Data Mining in the LCD Industry  

You, Hwa Youn (School of Industrial Management Engineering, Korea University)
Kim, Seoung Bum (School of Industrial Management Engineering, Korea University)
Publication Information
Journal of Korean Institute of Industrial Engineers / v.42, no.5, 2016 , pp. 327-336 More about this Journal
Abstract
Prediction of customer failure rates plays an important role for establishing appropriate management policies and improving the profitability for industries. For these reasons, many LCD (Liquid crystal display) manufacturing industries have attempted to construct prediction models for customer failure rates. However, most traditional models are based on the parametric approaches requiring the assumption that the data follow a certain probability distribution. To address the limitation posed by the distributional assumption underpinning traditional models, we propose using parameter-free data mining models for predicting customer failure rates. In addition, we use various information associated with product attributes and field return for more comprehensive analysis. The effectiveness and applicability of the proposed method were demonstrated with a real dataset from one of the leading LCD companies in South Korea.
Keywords
Failure rates; Field Return Data; Life Testing; Data Mining; LCD;
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Times Cited By KSCI : 6  (Citation Analysis)
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