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ddao
Fluorite | Level 6

I am new to SASEM, and currently using version 14.2. I want to do variable binning and calculate WOE to build a scorecard. All materials I have found are for SASEM 12.1 or 13.1, in which we can use Interactive Grouping Node. When I used Interactive binning in 14.2, I did not see WOE. Could you please advise? Thank you for your time in advance

 

 

6 REPLIES 6
MShubert
Calcite | Level 5

I believe you are looking for the Credit Scoring Nodes which offer Interactive Grouping in Enterprise Miner. You will need to have the Credit Scoring Add-on for SAS Enterprise Miner licensed in addition to SAS Enterprise Miner. I have attached a screenshot with Interactive Grouping highlighted under the Credit Scoring tab. Interactive Binning is a slightly different approach without WOE.

 

Credit Scoring Add-On.jpg

ddao
Fluorite | Level 6
Thank you so much! That is why I could not locate the node Interactive Grouping. I will check if I could have it.
AnshulS
Obsidian | Level 7

Hi, Thank you for your reply, I have 2 more questions here please:

 

1. Is there a way we can calculate WOE & IV without having Interactive Grouping Node??

 

2. I am developing a PD model on SAS EM, I do not have Scorecard Add-on on my EM. What are the variable reduction nodes (along with sequence) you suggest me to follow out of Variable Selection/Variable Clustering/Transform Variables/Principal Component analysis/ or any other?? I am highly confused on how to i) Remove Unpredictable variables ii) Remove monotonicity iii) Remove multi collinearity ??

 

You help here is highly appreciated??

 

Thanks,

Anshul.

ddao
Fluorite | Level 6

Hey AnshulS,

 

1. I don't have the Interactive Grouping Node either. So, I used the node Interactive Binning to bin the variables manually, copied the binning results to excel to calculate WOEs. It is not a really good way. There are SAS Procs to do binning, you may want to do a research on them.

2. Unfortunately, I did not use SAS EM much for my projects.

AnshulS
Obsidian | Level 7
thanks for your response ddao
MShubert
Calcite | Level 5

Apologize for the delay in responding to your questions. I did not receive a message saying I had a reply to respond. 

 

The advice to use excel to calcuate the WOE is a good suggestion. For IV you do not get that out of the box in Enterprise MIner without the Credit Scoring nodes. You can find the Net Information Value under the Applicaton in E Miner called Incremental Response. Not quite the same as IV in the Credit Scoring nodes though. I woudlnt recommend it for your use case since you are developing a Credti Scorecard. The Incremental Response node is for Marketing campaign analysis and modeling. You can also write the SAS code to generate IV yourself but its a long process. You might find some code online or through a SAS whitepaper with IV code. I have recently used the below for variable reduction but the process for Credit Scorecards would be a little different. You may be able to alter the code in the below whitepaper to make it fit for you. Good Luck! Not an easy task without the Credit Scoring nodes. Thats how they make their money. On the additional sale but in my opinion it is well worth the investment due to the speed to development, validate, and deploy new credit scorecards.

 

https://support.sas.com/resources/papers/proceedings13/095-2013.pdf