Machine Learning Β· Lesson 7

Overfitting, Underfitting & Model Generalisation

Learn to diagnose a model that is too simple, too complex, or unable to perform reliably on unseen data. Practise with business scenarios and interactive checks.

8 interactive conceptsActivities + MCQsBusiness case
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CONCEPT 1 OF 8

The goal: generalisation

A model should work on data it has never seen.

Machine learning is useful when it learns a pattern that continues to hold beyond the examples used during training. This ability is called generalisation. A model that memorises training examples may look excellent during training but fail on new customers, new months, or new locations.

Business meaning

A retail model should forecast next month's demandβ€”not merely reproduce last month's sales.

Generalisation checklist

1Representative unseen data
2No data leakage
3Appropriate model complexity
4Validation-guided experiments
A

Try it

A demand model scores 99% on training data but only 62% on a fresh test set. What is the strongest conclusion?

B

Quick knowledge check

What does generalisation mean?