THE DESIGN AND ANALYSIS OF EXPERIMENTS. By Oscar Kempthorne. New York, John Wiley and Sons, Inc., 1952. 631 pp. $8.50. This book by a teacher of statistics (as well as a consultant for \"experimenters\") is a comprehensive study of the philosophical background for the statistical design of experiment. It is necessary to have some facility with algebraic notation and manipulation to be able to use the volume intelligently. The problems are presented from the theoretical point of view, without such practical examples as would be helpful for those not acquainted with mathematics. The mathematical justification for the techniques is given. As a somewhat advanced treatment of the design and analysis of experiments, this volume will be interesting and helpful for many who approach statistics theoretically as well as practically. With emphasis on the \"why,\" and with description given broadly, the author relates the subject matter to the general theory of statistics and to the general problem of experimental inference. MARGARET J. ROBERTSON

The Design and Analysis of Experiments

Probability Distributions.- Linear Models for Regression.- Linear Models for Classification.- Neural Networks.- Kernel Methods.- Sparse Kernel Machines.- Graphical Models.- Mixture Models and EM.- Approximate Inference.- Sampling Methods.- Continuous Latent Variables.- Sequential Data.- Combining Models.

Pattern Recognition and Machine Learning

According to W. Edwards Deming, American companies require nothing less than a transformation of management style and of governmental relations with industry. In Out of the Crisis, originally published in 1982, Deming offers a theory of management based on his famous 14 Points for Management. Management's failure to plan for the future, he claims, brings about loss of market, which brings about loss of jobs. Management must be judged not only by the quarterly dividend, but by innovative plans to stay in business, protect investment, ensure future dividends, and provide more jobs through improved product and service. In simple, direct language, he explains the principles of management transformation and how to apply them.

Out of the Crisis

Recommender systems provide users with personalized suggestions for products or services. These systems often rely on Collaborating Filtering (CF), where past transactions are analyzed in order to establish connections between users and products. The two more successful approaches to CF are latent factor models, which directly profile both users and products, and neighborhood models, which analyze similarities between products or users. In this work we introduce some innovations to both approaches. The factor and neighborhood models can now be smoothly merged, thereby building a more accurate combined model. Further accuracy improvements are achieved by extending the models to exploit both explicit and implicit feedback by the users. The methods are tested on the Netflix data. Results are better than those previously published on that dataset. In addition, we suggest a new evaluation metric, which highlights the differences among methods, based on their performance at a top-K recommendation task.

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Factorization meets the neighborhood: a multifaceted collaborative filtering model

An overview of the self-organizing map algorithm, on which the papers in this issue are based, is presented in this article.

The Self-Organizing Map

Optimal accelerated degradation test (ADT) plans are developed assuming that the constant-stress loading method is employed and the degradation characteristic follows a Wiener process. Unlike the previous works on planning ADTs based on stochastic process models, this article determines the test stress levels and the proportion of test units allocated to each stress level such that the asymptotic variance of the maximum-likelihood estimator of the qth quantile of the lifetime distribution at the use condition is minimized. In addition, compromise plans are also developed for checking the validity of the relationship between the model parameters and the stress variable. Finally, using an example, sensitivity analysis procedures are presented for evaluating the robustness of optimal and compromise plans against the uncertainty in the pre-estimated parameter value, and the importance of optimally determining test stress levels and the proportion of units allocated to each stress level are illustrated.

Optimal design of accelerated degradation tests based on Wiener process models

This paper contains a bibliography of approximately 530 journal papers and books on process capability indices for the period 2000–2009. The related literature is classified into four major categories, namely, books, review/overview papers, theory- and method-related papers, and special applications. Theory- and method-related papers are further classified into univariate and multivariate cases, and special applications include acceptance sampling plans, supplier selection, and tolerance design and other optimizations. Copyright © 2010 John Wiley & Sons, Ltd.

A bibliography of the literature on process capability indices: 2000–2009

In this article, a novel CF (collaborative filtering)-based recommender system is developed for e-commerce sites. Unlike the conventional approach in which only binary purchase data are used, the proposed approach analyzes the data captured from the navigational and behavioral patterns of customers, estimates the preference levels of a customer for the products which are clicked but not purchased, and CF is conducted using the preference levels for making recommendations. This also compares with the existing works on clickstream data analysis in which the navigational and behavioral patterns of customers are analyzed for simple relationships with the target variable. The effectiveness of the proposed approach is assessed using an experimental e-commerce site. It is found among other things that the proposed approach outperforms the conventional approach in almost all cases considered. The proposed approach is versatile and can be applied to a variety of e-commerce sites as long as the navigational and behavioral patterns of customers can be captured.

Development of a recommender system based on navigational and behavioral patterns of customers in e-commerce sites

Collaborative filtering (CF) is one of the most popular recommender system technologies, and utilizes the known preferences of a group of users to predict the unknown preference of a new user. However, the existing CF techniques has the drawback that it requires the entire existing data be maintained and analyzed repeatedly whenever new user ratings are added. To avoid such a problem, Eigentaste, a CF approach based on the principal component analysis (PCA), has been proposed. However, Eigentaste requires that each user rate every item in the so called gauge set for executing PCA, which may not be always feasible in practice. Developed in this article is an iterative PCA approach in which no gauge set is required, and singular value decomposition is employed for estimating missing ratings and dimensionality reduction. Principal component values for users in reduced dimension are used for clustering users. Then, the proposed approach is compared to Eigentaste in terms of the mean absolute error of prediction using the Jester, MovieLens, and EachMovie data sets. Experimental results show that the proposed approach, even without a gauge set, performs slightly better than Eigentaste regardless of the data set and clustering method employed, implying that it can be used as a useful alternative when defining a gauge set is neither possible nor practical.

Collaborative filtering based on iterative principal component analysis

The authors present a heuristic method for solving constrained redundancy optimization problems in complex systems. The proposed method allows excursions over a bounded infeasible region, which can alleviate the risks of being trapped at a local optimum. Computational results show that the method performs consistently better than other heuristic methods in terms of solution quality. If solution quality is of more concern and if one is willing to accept a moderate increase in computing time for better solutions, then the authors believe that this method is an attractive alternative to other heuristic methods. >

Bong-Jin Yum

Papers

Optimal design of accelerated degradation tests based on Wiener process models

A bibliography of the literature on process capability indices: 2000–2009

Development of a recommender system based on navigational and behavioral patterns of customers in e-commerce sites

Collaborative filtering based on iterative principal component analysis

A heuristic method for solving redundancy optimization problems in complex systems