TY - CHAP A1 - Paolo Trucco A2 - Maria Chiara Leva ED1 - Wichian Premchaiswadi Y1 - 2012-04-20 PY - 2012 T1 - BN Applications in Operational Risk Analysis: Scope, Limitations and Methodological Requirements N2 - Bayesian Belief Networks are a powerful tool for combining different knowledge sources with various degrees of uncertainty in a mathematically sound and computationally efficient way. A Bayesian network is a graphical model that encodes probabilistic relationships among variables of interest. When used in conjunction with statistical techniques, the graphical model has several advantages for data modeling. First, because the model encodes dependencies among all variables, it readily handles situations where some data entries are missing. Second, a Bayesian network can be used to learn causal relationships, and hence can be used to gain an understanding about a problem domain and to predict the consequences of intervention. Third, because the model has both causal and probabilistic semantics, it is an ideal representation for combining prior knowledge (which often comes in a causal form) and data. Fourth, Bayesian statistical methods in conjunction with Bayesian networks offer an efficient and principled approach to avoid the over fitting of data. BT - Bayesian Networks SP - Ch. 6 UR - https://doi.org/10.5772/38858 DO - 10.5772/38858 SN - PB - IntechOpen CY - Rijeka Y2 - 2021-07-30 ER -