What is Predictive Analysis

On June 12, 2017

Predictive analysis is done by gathering and reviewing the available historical information, machine learning, & computing to predict what is the likelihood of an even happening in the future. This historical model is fed into a mathematical model that considers key trends & patterns within the information. The model is then applied to current information to predict the future possibilities.

Predictive analysis is of utmost importance to corporates and organization trying to increase their operational and overall efficiency leading to a better ROI. This is where a good predictive analytic model excels, as analysts can leverage the analytic to foresee if a particular amendment will cut back risks, improve operations, increase efficiency, & generate a better ROI.

Currently more data is being created in one day then has been created in the entire humankind before the year 2000 Says former amazon executive Andreas weignad. Some of the most important uses for Predictive analysis are:

  • Data Mining : It is a process of collecting & making use of large quantities of data with the objective to find relationship or repetitive pattern.
  • Artificial Intelligence : AI makes us of different and combining algorithm to enable a program to perform the same function that a human can.
  • Machine Learning : Machine learning identifies patterns within millions of data units to predict behaviour and enable decision making without human intervention.
  • Deep Learning : Performs a learning process that works into a artificial neural network with associated hierarchical levels.

Predictive analysis is very important for various industry verticals like :

  • Finance
  • Healthcare
  • Sales
  • Operations

To really have an impactful and profitable business operations we have to give proper importance and stress to utilizing predictive analysis over identifiable and actionable data of our particular Business. For this purpose a company can hire an experienced data analyst or hire a Data mining firm to take care of their analytical functions.

Predictive analysis also has to be combined with Cybersecurity best practices so as to completely secure a Business’ act ionable data from various attacks and threats which can manipulate and exploit this important data leaving companies unable to utilize this perfect gift.