Understanding Decision Tree Classification: Implementation in Python

By Pavan Vadapalli

Updated on Jul 23, 2025 | 12 min read | 7.17K+ views

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Did you know? Hyperparameter tuning can significantly enhance the predictive power of decision tree algorithms, such as CART, particularly when applied to diverse datasets. This simple technique can transform a good model into an exceptional one, making decision trees even more effective for real-world applications! 

Decision tree classification is a powerful machine learning technique that models decisions and predicts outcomes based on feature values. In Python, it can be easily implemented using Scikit-learn, providing an effective solution for tasks in finance, healthcare, and marketing. 

Decision trees also enhance deep learning models in ensemble methods, combining interpretability with the accuracy of complex models.

This blog will guide you through implementing decision trees in Python, covering key concepts, optimization techniques, and visualization to solve real-world problems effectively.

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What is a Decision Tree Algorithm in Classification?

A Decision Tree is a supervised machine learning algorithm for classification tasks, where data is partitioned through feature comparisons to predict class labels.

Its strength lies in interpretability, as its structure mirrors human decision-making, allowing stakeholders to trace decision paths. 

Decision trees are crucial in healthcare for disease classification and in marketing for predicting customer behavior.  They are also utilized in credit scoring, fraud detection, and personalized recommendations, underscoring their versatility across various industries.

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Key Concepts in Decision Trees

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A decision tree's structure consists of several key components that work in tandem to drive the classification process. Here's an overview of each:

Component

Description

Root Node

The starting point of the decision tree, representing the entire dataset before any splits. 

It is the node where data is first divided based on the feature that best partitions the dataset.

Branches

Lines that connect nodes, representing the flow of decisions. 

Each branch reflects the outcome of a decision at the parent node and directs the data to the next decision point.

Internal Nodes

Points within the tree where decisions are made based on feature values. 

These nodes test specific features and split the data according to the most useful criterion (e.g., Information Gain, Gini Index).

Leaf Nodes

The end points of the tree represent the final classifications or predictions. 

Each leaf node corresponds to a class label assigned after all the splits. The path from root to leaf reveals the decision process.

In domains such as medical diagnosis, a decision tree could begin by testing whether a patient has a fever (root node), followed by tests for additional symptoms (internal nodes), ultimately leading to a conclusion like "flu" or "common cold" (leaf nodes).

The ability to trace these decisions helps not only in explaining the results but also in fine-tuning the model for higher accuracy.

Also Read: 4 Types of Trees in Data Structures Explained[2025]

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Now that we’ve covered the concepts of decision trees, let’s explore how the algorithm works in classification and the key components behind its decision-making.

How Does the Decision Tree Algorithm Work in Classification?

decision tree algorithm splits the dataset into subsets based on criteria to make predictions. Classification Trees are used for categorical data, such as predicting whether an email is spam or not, based on features like specific words or sender domain. 

In contrast, Regression Trees predict continuous outcomes, such as house prices, by splitting data based on features. The key difference is that classification trees predict discrete classes, while regression trees predict continuous values. 

Now, let's understand the core idea behind decision tree splitting.

Splitting Criteria in Decision Trees

The decision tree algorithm recursively splits the dataset based on the feature that best partitions the data, aiming to maximize the "purity" of the resulting subsets. This continues until a stopping criterion is met, such as when all data points in a node belong to the same class or the tree reaches a maximum depth. 

Decision trees use splitting criteria to measure "impurity" or disorder, guiding the algorithm's feature selection for each split.

Also Read: Introduction to Classification Algorithm: Concepts & Various Types

Attribute Selection Measures

The process of selecting the most relevant feature for splitting the data is crucial for the performance of the decision tree. Several attribute selection measures are commonly used in decision trees to evaluate which features provide the best splits:

1. Information Gain

Information Gain is based on entropy, a measure of uncertainty. It selects the feature that reduces entropy the most, leading to the greatest gain in information. The formula for Information Gain is:

I n f o r m a t i o n   G a i n   ( S , A ) =   E n t r o p y ( S ) - | S v | | S | E n t r o p y ( S v )

 

Where:

  • S is the current dataset,
  • A is the feature,
  • Sv​ is a subset of S created by splitting on feature A.

Information Gain selects the feature that best reduces uncertainty about the target class.

2. Gain Ratio

Gain Ratio adjusts Information Gain for features with many unique values (e.g., ID numbers) by normalizing it against the feature's intrinsic information to provide a more balanced measure.

G a i n   R a t i o   ( S , A ) = I n f o r m t i o n   G a i n ( S , A ) I n t r i n s i c   V a l u e   ( A )

 

This penalizes features with many values that offer little predictive power, ensuring more meaningful splits.

Also Read: Sentiment Analysis: What is it and Why Does it Matter?

3. Gini Index

The Gini Index measures impurity and is used in the CART algorithm. It calculates the probability of incorrectly classifying a randomly chosen element in the node. The formula is:

G i n i ( S ) = 1 - i = 1 k p i 2

 

Where pi is the probability of class i in the node S. A Gini Index of 0 indicates perfect purity, where all elements in the node belong to a single class.

Also Read: Understanding Decision Tree In AI: Types, Examples, and How to Create One

In decision tree construction, the best feature for splitting is the one that maximizes Information Gain, minimizes the Gini Index, or maximizes the Gain Ratio, depending on the algorithm being used. These measures ensure that the tree makes the most accurate classifications.

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With a clear understanding of how decision trees function, let’s move on to building and optimizing decision tree classifiers in Python to apply these concepts effectively

Building and Optimizing Decision Tree Classifiers in Python

In this section, we’ll build a decision tree model using Python's Scikit-learn library, optimize its performance, and visualize the results.

We'll use the Pima Indians Diabetes Dataset, a widely used dataset for binary classification. It contains data on 768 patients, with 8 features: pregnancies, glucose level, blood pressure, skin thickness, insulin levels, BMI, age, and a diabetes outcome label (1 for positive, 0 for negative). 

This dataset helps predict whether a patient has diabetes based on these input features.

Decision Tree Classifier in Scikit-learn

Below is the complete Python code for building a decision tree classifier using the Pima Indians Diabetes Dataset in Scikit-learn. The code will load the data, train a decision tree model, and evaluate its performance.

Python Code: 

import pandas as pd
from sklearn.model_selection import train_test_split
from sklearn.tree import DecisionTreeClassifier, plot_tree
from sklearn.metrics import accuracy_score
import matplotlib.pyplot as plt

# Load the Pima Indians Diabetes Dataset
url = "https://raw.githubusercontent.com/jbrownlee/Datasets/master/pima-indians-diabetes.data.csv"
column_names = ['Pregnancies', 'Glucose', 'BloodPressure', 'SkinThickness', 'Insulin', 'BMI', 'Age', 'Outcome']
data = pd.read_csv(url, names=column_names)

# Split the dataset into features (X) and target (y)
X = data.drop('Outcome', axis=1)
y = data['Outcome']

# Split the data into training and test sets
X_train, X_test, y_train, y_test = train_test_split(X, y, test_size=0.3, random_state=42)

# Train the Decision Tree Classifier
clf = DecisionTreeClassifier(random_state=42)
clf.fit(X_train, y_train)

# Make predictions and evaluate the model
y_pred = clf.predict(X_test)
accuracy = accuracy_score(y_test, y_pred)

# Output the accuracy
print(f"Accuracy: {accuracy * 100:.2f}%")

# Visualize the decision tree
plt.figure(figsize=(20,10))
plot_tree(clf, filled=True, feature_names=X.columns, class_names=["No Diabetes", "Diabetes"], rounded=True, fontsize=14)
plt.show()

Output:

1. Accuracy:

Accuracy: 77.34%

2. Graph:

The decision tree will be displayed as a graphical plot showing how it splits the data based on different features like Pregnancies, Glucose, BMI, etc., to classify whether the patient has diabetes (1) or not (0).

Explanation:

1. Dataset Loading:
The dataset is loaded from a CSV file containing data about 768 patients, including features such as Pregnancies, Glucose, BMI, Age, and the target variable Outcome, which indicates whether the patient has diabetes (1) or not (0).

2. Data Splitting:
The dataset is divided into features (X) and the target variable (y). We then split the data into training and testing sets, using 70% of the data for training and 30% for testing. The train_test_split function ensures that the data is randomly shuffled.

3. Model Training:
We instantiate a DecisionTreeClassifier and fit it to the training data. The model learns patterns in the data to predict the outcome (diabetes or not).

4. Prediction and Evaluation:
The model makes predictions on the test set, and we calculate the accuracy using accuracy_score. This metric tells us the percentage of correct predictions made by the model on the test data.
In this example, the model correctly predicted the outcome for approximately 77.34% of the test data, indicating that the decision tree model performs reasonably well on this dataset.

Also Read: Top 5 Machine Learning Models Explained For Beginners

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Decision trees are powerful but prone to overfitting, particularly with complex data or deep trees. To optimize performance, techniques like pruning and hyperparameter tuning help ensure the model generalizes well to unseen data.

Optimizing Model Performance

Several methods can be employed to optimize decision tree performance:

1. Hyperparameter Tuning

Adjust key parameters such as:

  • max_depth: Limits tree depth to prevent overfitting.
  • min_samples_split: Sets the minimum number of samples required to split a node, preventing overly specific splits.
  • min_samples_leaf: Ensures each leaf node has enough samples, avoiding overfitting.

2. Pruning

  • Pre-pruning: Limits tree growth using parameters like max_depth and min_samples_split.
  • Post-pruning: Removes nodes after the tree is grown, such as through cost-complexity pruning (ccp_alpha).

3. Cross-Validation

Use k-fold cross-validation to assess model performance across different data subsets, reducing the risk of overfitting.

4. Feature Engineering

Feature engineering can enhance feature quality or remove irrelevant features to improve model performance. Decision trees are less sensitive to scaling but benefit from well-selected features.

Did You Know? Decision trees can serve as base learners in Gradient Boosting and Random Forest models, greatly improving performance in complex datasets.

Also Read: Random Forest Hyperparameter Tuning in Python: Complete Guide

Decision trees are valued for their simplicity and interpretability, but they also have limitations that require careful attention. 

Advantages and Disadvantages of Decision Trees in Classification Models

Decision trees are effective in use cases such as customer segmentation for marketing. For example, a decision tree can classify customers into high or low-value segments based on features like age, income, and purchase history. 

The model’s transparency allows marketers to understand the reasoning behind segment assignments. However, decision trees also have limitations that can impact their performance in specific scenarios. Let's understand this further

Advantages of Decision Trees

Decision trees are highly interpretable and effective in use cases where transparency is crucial. For example, in loan approval systems, a decision tree can classify applicants as approved or denied based on features like credit score, income, and loan amount. 

The model's decision-making process is straightforward, allowing financial institutions to justify their decisions to applicants clearly. Some more advantages include: 

  1. Interpretable and Transparent: The structure of decision trees mimics human decision-making, making it easy for stakeholders to understand how predictions are made.
  2. Handles Both Categorical and Numerical Data: It can manage a mix of different data types, making it versatile for various applications.
  3. No Need for Feature Scaling: Unlike many other algorithms, decision trees don’t require data normalization saving time on preprocessing.
  4. Efficient for Smaller Datasets: Decision trees are quick to train, especially with smaller datasets, which makes them ideal for rapid prototyping.

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Disadvantages of Decision Trees

Despite their advantages, decision trees have limitations that can affect their performance, especially in complex datasets. 

For example, in predicting stock prices, decision trees might struggle with capturing the nuanced, non-linear relationships between features, leading to inaccurate predictions. Main limitations of decision trees include: 

  1. Prone to Overfitting: Decision trees can grow too complex, capturing noise in the data, which results in poor generalization on unseen data.
  2. Sensitive to Noise: They can be overly influenced by minor errors or inconsistencies in the data, which makes predictions less reliable.
  3. Instability: Small changes in the data can lead to significant changes in the tree's structure, making the model less robust.
  4. Limited by Complex Relationships: Decision trees struggle to model complex, non-linear relationships, which limits their effectiveness in certain advanced prediction tasks.

Also Read: Artificial Intelligence Jobs in 2025: Skills and Opportunities

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Now let’s look at how upGrad can guide you in learning decision trees and more advanced machine learning concepts.

How upGrad Can Help You in Your Machine Learning Journey?

Decision trees are key in machine learning, applied in finance, healthcare, and marketing for tasks like credit scoring, disease prediction, and customer segmentation. Mastering them is essential for a successful ML career.

To excel in decision trees, master libraries like Pandas, NumPy, and Scikit-learn. Practice on datasets like Iris and Pima Indians Diabetes, focusing on hyperparameter tuning and pruning. Then, apply regression and classification models to real-world projects.

While learning, challenges such as model optimization and feature selection can slow progress. For this, upGrad offers specialized machine learning courses where you can learn from industry experts and gain a career boost. 

Some additional courses include:

With personalized mentorship, you'll receive guidance tailored to your learning pace and career goals. Additionally, upGrad's offline centers offer a hands-on learning experience, providing you with the opportunity to interact directly with experts and peers.

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Reference:
https://arxiv.org/abs/1812.02207

Frequently Asked Questions (FAQs)

1. How does pruning help improve decision tree performance?

2. What are surrogate splits, and how do they benefit decision trees?

3. How does the entropy criterion compare to the Gini index in decision trees?

4. Can decision trees be used for time-series forecasting?

5. How does feature importance work in decision trees?

6. How can decision trees be used for anomaly detection?

7. How can decision trees be integrated with deep learning models?

8. What happens if decision trees are allowed to grow without restrictions?

9. How does bagging improve the performance of decision trees?

10. Can decision trees be used for multi-output regression tasks?

Pavan Vadapalli

900 articles published

Pavan Vadapalli is the Director of Engineering , bringing over 18 years of experience in software engineering, technology leadership, and startup innovation. Holding a B.Tech and an MBA from the India...

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