Post by simranratry20244 on Feb 12, 2024 4:35:28 GMT -5
A few days ago we were dealing, in this same blog, with a new concept that has radically transformed the paradigm in business intelligence: predictive intelligence , surpassing the descriptive intelligence represented by traditional BI. A concept that points towards the future, as we said on that occasion, using the power of the most advanced analytical tools to project possible future scenarios and make predictions minimizing the margins of error to the maximum. However, the reader minimally familiar with the world of BI will notice that the design of what-if scenarios and the conjecture of future events ( forecasting ) were already potential features of the most common and central business intelligence tools in traditional BI ecosystems, such as the Balanced Scorecard. For this reason, it is necessary to go a little deeper into the concept, qualifying and specifying that the new tools that have emerged under its protection, rather than facilitating predictive analysis , are, eminently, instruments of prescriptive analysis.
Predictive analytics or prescriptive analytics? Before addressing the differences between predictive intelligence and prescriptive intelligence (which in turn give rise to the respective analytical tools), it is necessary Colombia Telemarketing Data to insist on the immeasurable leap that represents the passage from a descriptive paradigm to another characterized by having a predictive. For descriptive, or traditional BI, the center of interest lies in present and/or past events, the knowledge of which (obtained through the pertinent analysis of data and relevant information) will support the possibility of creating possible future scenarios. . However, predictions, in a descriptive context, do not provide any solid guide or reference for decision making , leaving them, ultimately, helpless and unrelated to any technological support. That is, descriptive intelligence is based on the analysis of present and historical data to offer a range of future possibilities, which cannot be analyzed as if they were real scenarios.
On the other hand, if we address the advantages that advanced or predictive analytics tools offer us (many of which are discussed in depth in the guide Predictive Analytics: the impact of prediction for an organization , a completely free resource), we will see that among them Effective support for decision-making through the analysis of the different possible scenarios stands out as a priority . In short: to its analytical action, in addition to historical data, the different future options are also submitted, in turn providing solid knowledge of the different what-if scenarios, and converting a mere and empty prediction into prescriptive advice for the decision. of decisions. The issue is very clearly established by the different questions that descriptive analysis tools and predictive analytics tools try to answer, respectively ; The latter, characterized, as we have seen, by not only predictive but also (and mainly) prescriptive analysis, answer the question about what we should do , while the former only answer questions about what has happened or what is happening, in the present or the past, in the self or the environment of an organization and that, with important limitations, are only capable of making forecasts and providing some clue about what could happen in different future situations.