It's all in data - Predictive Analytic Solutions

By Suren

This article is intended to give you an idea what predictive analysis is and how it is beginning to come to the forefront of business decision making. It also lists some of the key criterias that a good predictive analytics solution must cater.

Everyone knows capturing data is important, but very few of them know the best way of slicing and dicing the data in such a way to give them insight into making more profit-effective decisions. Predictive Analysis is all about analyzing data, predicting the future and providing information to put into motion effective tasks in the present.

Predictive analysis takes an approach of understanding business data in a context that differs from the standard set of analysis you would do on a business. Nowadays, there are many IT vendors providing various types of predictive analytics, i.e. from the specialist service on predictive analysis to the packaged predictive analysis solution that comes along with a ERP suite.

A good predictive analysis solution should tick the following at least :

• Offer predictive modeling tools that can be used "out of the box" by  analysts
• Few process to follow when going from "anticipate to actioning"
• A proper warehouse appliance to cater to the demands of the "big data"
• A good offerings of analysis algorithms and modeling tools
• Simple-to-use interface for creating, exploring, and modifying outcomes from analysis.

From a business's point of view the following need to be addressed in order to make sure the predictive analysis solution would actually work in the business :

• Understand and design a strong business model for making predictions
• Collect the raw data and make it readable for Predictive analysis.
• Setup a team to understand the nature of the data gathered in order to eliminate noise.
• Implement the model
• Control and monitor the model, with the main aim of being able to relate the outcomes of the model to business goals.

For more information on prediction analytics solutions : 
http://www54.sap.com/solutions/analytics/business-intelligence/software/predictive-analysis/index.html