5.2.9 Anomaly Detection

This topic describes the information about the Anomaly Detection.

Anomaly detection identifies data instances that deviate from the normal data pattern. Anomalies are unusual patterns not necessarily fraud.

For example: Suppose you are monitoring financial transactions with the columns: TRANSACTION_ID, AMOUNT, LOCATION, TIME.

Table 5-8 Example – Transaction Details

TRANSACTION_ID AMOUNT LOCATION TIME
TXN001 100 NY 14:00
TXN002 150 NY 14:05
TXN003 105 NY 14:12
TXN004 9000 CA 03:00

Anomaly detection models may flag TXN004 as an anomaly due to the unusually high amount and odd time/location compared to typical transaction patterns.