Predictive modeling commonly works by looking at past data to learn which cause-and-effect relationships will drive future events. Predicting human behavior through data analysis yields valuable insights in the fields of Customer Lifecycle Management and Workflow Analytics to drive more informed decisions. Analytics quantifies customer and workflow behavior into meaningful data that realizes its true value when the results are embedded into an operational process to drive efficiency and ROI. Take for example optimizing workforce size and scheduling through workflow analytics based on the context of the customers the workforce is there to serve.
Modeling Future Behavior
We collect and observe the characteristics of many consumers and their behavior in a variety of circumstances, and try to understand from that information what will influence future behavior. (We also anticipate how circumstances might change.) We look at both the characteristics and past behavior of the individual consumer, and of others who are similar to him or her. Modeling must determine what makes consumers similar enough to each other to use one consumer’s behavior as indicative of another’s, and what makes circumstances similar enough to believe that a consumer will act again as he or others like him did before.
Capturing Value from Predictive Analytics
Prediction is a four-step process that is repeated over and over again for the best results.
· We analyze historical data and other information to develop a hypothesis about the phenomenon we are trying to predict.
· We perform the prediction on future events.
· We convey the results of the prediction to a business process that implements its recommendations at scale.
· By comparing our prediction to the actual outcome, we can continuously refine our hypothesis.
When this process is automated in a “Virtuous Circle,” we have a self-learning system that continuously conveys ever-greater value to the business.
Operationalizing Predictive Models
Used in conjunction with the Infogix Enterprise Data Analysis Platform, Infogix’s PropensitySCORING can be operationalized into day to day environments, so as new information because available, scores are dynamically updated to provide you real-time, actionable results, thus producing immediate business value and ROI.
This allows you to prioritize higher weighted scores, and through Infogix Assure, Infogix ER®, and Infogix Perceive®, you can automate follow on activities, such as alerting another process, creating and routing cases, or providing management dashboards to enable end-to-end analysis.