Predictive analytics and the use of Ai in business
“What happens next?”
It’s a question that besets every business.
While no person, tool, or technology can predict a definite future, there are a few things that come close.
Predictive analytics is a branch of data analytics, often associated with Big Data and data science, that predicts future outcomes from historical data combined with statistical modelling, data mining techniques, Ai, and machine learning. Predictive modelling has also become a standard when it comes to anticipating a company’s future needs, such as inventory stocking, purchasing and trends of all sorts. Some of the most popular predictive analytics models include Classification, Time Series models, and Clustering. As this technique becomes more advanced and accurate with time, more and more businesses are using it to find patterns in their data to predict trends and events and identify risks and opportunities.
The good news for businesses is that machine learning and Ai are making predictive analytics even more powerful and accurate with time. From better customer data analysis to improved supply chain and operational efficiency, Ai-powered predictive analytics offer several benefits to businesses. Data is at the centre of all analytics techniques. With Ai-powered predictive analytics, organisations now have the opportunity to tap into the full potential of this data to impact their future.
Improving Customer Experience/Satisfaction
Ai enhances the power of predictive analytics by generating models that help businesses anticipate customer behaviour and trends and detecting patterns in customer data that may not be easy for humans to spot. As a result, businesses can identify potential opportunities and risks before they become an issue. Ai can also analyse customer data to provide a better understanding of their preferences and needs, to help businesses tailor their products and services to better meet customer demands. Finally, Ai-based predictive analytics can help businesses save time and money as it can analyse vast amounts of data with greater accuracy in lesser time than manual data analysis.
Forecasting & Planning
Most B2C businesses use predictive analytics for efficient forecasting and planning and base their demand estimates on a variety of factors and data including prior-year sales, intuition and industry knowledge. However, the risk of human error can cost the company considerable loss. Ai-based approaches help ease this burden and limit forecasting errors, saving the company money.
Supply Chain Efficiency
Ai-powered predictive analysis helps businesses make informed decisions regarding the supply chain. From quick and efficient inventory management to delivery optimisation, Ai-based predictive analytics is helping to transform the supply chain by proactively flagging likely events and enabling more informed decision-making.
The more prepared an organisation, the better are its chances of survival in the long run. Ai-powered predictive analytics is the best way to gather and analyse information and produce actionable insights that can help the organisation become strong, steady, and successful.
Want to give AI-powered predictive analytics a chance to transform your business?
Drop us a line at 03333010302 or email us at hello@figuringoutdata.com to learn how to leverage Ai-based predictive analytics.