Intelligent Knowledge Exploration and Processing

Intelligent Knowledge Exploration and Processing

Location of branches and ATMs of banks using decision tree algorithm

Document Type : Original Article

Author
Ayandegan Tonekabon
Abstract
Choosing the optimal location of bank branches and ATMs is one of the most important decisions in banking activities, which has a great effect on the performance and efficiency of banks. The location of bank branches and financial institutions, as well as ATMs, is an important driver in attracting customers, and bank marketers should carefully examine and evaluate it. In the current research, which was carried out with the aim of identifying and determining the priority of factors affecting the location of Tejarat Bank branches and ATMs in Mazandaran province, through reviewing previous studies and interviews with bank branch personnel and experts in this field, factors affecting the location of branches and ATMs were extracted. Then, based on Shannon's method of weighting, it was determined how much each of the features has a score and benefit of information regarding the discovery of the results in determining the appropriate location.
In this research, in addition to using the usual methods, it has been tried to address location by introducing a new model in the form of reasoning and mathematical logic. Therefore, to compare the results of the research, the characteristics and capacities available in the branches of Tejarat Bank of Mazandaran province have been used in the form of a data set. The proposed model has been implemented using the widely used CART decision tree algorithm in the Python programming environment to locate branches and ATMs.
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