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Variable Cluster Analysis is another variable reduction method that often has distinct advantages over the traditional Factor Analysis (FA) approach.
This method borrowed some ideas from the Factor Analysis method and some from the Hierarchical Clustering method and produces either disjoint or hierarchical clusters.
How can we perform variable cluster analysis in Alteryx?
The Alteryx Predictive Tools are designed to encapsulate the most commonly used methodologies in an easy to use parameterized format. You can utilize other methodologies directly within the R Tool.
Varclus is in the Hmisc package which is installed with the Alteryx Predictive tools.
You can also use other packages if the one you need is not included in the Alteryx install. This article in the Community is helpful if you ever need to go down that path.
Hope that helps.