Predictive Data Analysis: The Future
Predictive Analysis , well the name sounds like something boring at first glance right ? Worry not, it's something very interesting and intriguing at the same time. So let’s delve deeper into the topic and understand what actually is Predictive Analysis and what are its applications.
What is Predictive Analysis ?
Predictive Analysis is basically predicting the future outcome of a business or any enterprise based on past data trends coupled with current happenings. When this data set is analyzed in the backdrop of -
● Machine Learning
● Data Mining
● Statistical Modeling
● Algorithm
What is the need for it ?
With the economic environment becoming ever more complex and dynamic, finding stability for businesses has become quite a task. Since businesses and corporations require certain clarity in the economic environment in order to thrive and grow it is necessary to adopt measures like Data Analysis. These measures not only give the businesses an edge over their competition but also help to improve their services. For predicting the future outcomes what better than predictive analysis and hence it has become the future for Data Analytics and is here to stay.
In short -
● Complex and Interconnected Environment for businesses, so Data Analytics provides a sense of security by Predictive Analysis
● Helps in providing an edge over your competition
● Leads to improvement in your services based on analysis of data
● Provides sense of security
What are the steps in Predictive Analysis ?
The steps in predictive analysis are as follows -
● Describe
● Diagnose
● Predict
● Prescribe
The procedure for predictive analysis starts with Descriptive Analysis that is the most basic form of analysis for any form of business.
Next, The Diagnostic Analysis takes place which throws light upon the fact that ‘what’ is making things happen with the help of flow charts and bar graphs.
Followed by, Prediction which predicts the future outcome to the best of their possibilities taking into consideration the data collected in the previous stage.
Lastly, Prescriptive Analysis i.e. one of the most powerful phases in Data analytics which ponders over the ‘why’ in data analytics and helps make data driven decisions.
Thus, with this the procedure of Predictive Analysis comes to an end.