What is the first step in the CRISP-DM process?

• A. Business Understanding
• B. Data Understanding
• C. Data Preparation
• D. Modeling

Answer: (A)

In CRISP-DM, the project starts by clarifying what the business aims to achieve and how success will be measured. This means defining the business objectives, identifying success criteria, and outlining the constraints and deliverables. Framing the problem in business terms ensures that every data mining effort is aligned with real value for the organization and guided by clear goals, so the analytics work isn’t chasing the wrong outcomes. Once this foundation is established, you can proceed to the data understanding phase, then data preparation, modeling, evaluation, and deployment. So the first step is to establish Business Understanding.