Predictive Analytics vs. Prescriptive Analytics Explained | NextPhase.ai
https://nextphase.ai/ -- Predictive analytics and prescriptive analytics are two forms of analytics that can help drive business growth. If you want to know how predictive analytics differs versus prescriptive analytics, and the different data tools available, this guide is for you.
FULL ARTICLE: https://nextphase.ai/predictive-analytics-vs-prescriptive-analytics/
What are predictive analytics?
Predictive analytics use advanced analytic tools and techniques to effectively capitalize on historical data with the aim of uncovering and identifying real-time insights, which can help a business predict and plan for possible future events – and avoid risks. Per Wikipedia:
“Predictive analytics encompasses a variety of statistical techniques from data mining, predictive modeling, and machine learning, that analyze current and historical facts to make predictions about future or otherwise unknown events.”
Predictive analytics can transform your business operations by combining classical statistical analysis with artificial intelligence (AI). This can help you close the gap between different and critical data sets, delivering predictable business outcomes.
What are prescriptive analytics?
Prescriptive analytics can attempt to predict what will happen and why it will happen. Prescriptive analytics “prescribe” a variety of possible actions to data, which can lead towards a positive solution or outcome. Using prescriptive analytics, businesses can quantify the impact of future decisions. Per Wikipedia –
“Referred to as the “final frontier of analytic capabilities, prescriptive analytics entails the application of mathematical and computational sciences and suggests decision options to take advantage of the results of descriptive and predictive analytics.”
What’s the difference between prescriptive and predictive analytics?
Both prescriptive and predictive analytics support robust business decision-making by providing businesses with insight and by enabling them to plan ahead. Both forms of analytics involve a number of processes and strategies including statistical modeling, data mining, and machine learning to deliver deep actionable insight into customers and overall business operations. However, there are several fundamental differences between the predictive and prescriptive analytics:
Predictive Analytics involves the use of statistical models and forecasting tools to deliver an understanding of future events. It essentially answers the critical question: “What could happen?” It is important to note that predictive analytics only offer probabilities – delivering the possibility of a future event occurring. The core pillars of predictive analytics include:
Decision analysis and optimization.
Profiling of transactional and historical data.
Predictive modeling.
Prescriptive Analytics involves the use of both simulation and optimization algorithms to deliver recommendations into possible outcomes. It essentially answers the question: “What should we do?” Prescriptive analytics advance beyond simply predicting options delivered by the predictive mode. They deliver a wide range of prescribed actions, while offering potential outcomes for each of the recommended actions. Because the prescriptive model can effectively predict possible consequences of different actions, it can also provide businesses with an ideal pathway for a predetermined outcome.
FULL ARTICLE: https://nextphase.ai/predictive-analytics-vs-prescriptive-analytics/
Have questions? We help companies like yours every day.
Email us at hello@nextphase.ai
About NextPhase.ai
NextPhase.ai is a data cloud services provider specializing in Snowflake, cloud data management and analytics technologies. We accelerate enterprise digital transformation initiatives by leveraging our innovative cloud data management technology, "NextPhase.ai DATAFLO” to optimize and rationalize disparate enterprise data into relevant insights. "DATAFLO" is designed to automate the lifecycle of data management transformation using AI and ML along with expeditious on-ramps to the Snowflake data cloud infrastructure. NextPhase.ai provides a range of technology consulting services for the Financial Services, Biotech and Technology industry sectors combining our platform-based services, seasoned talent, and industry proven methodology so our customers can harness more from their data. We are a Silicon Valley based company with global presence having delivered high value service engagements for numerous Global 2000 enterprises.
https://nextphase.ai/ — Predictive analytics and prescriptive analytics are two forms of analytics that can help drive business growth. If you want to know how predictive analytics differs versus prescriptive analytics, and the different data tools available, this guide is for you.
FULL ARTICLE: https://nextphase.ai/predictive-analytics-vs-prescriptive-analytics/
What are predictive analytics?
Predictive analytics use advanced analytic tools and techniques to effectively capitalize on historical data with the aim of uncovering and identifying real-time insights, which can help a business predict and plan for possible future events – and avoid risks. Per Wikipedia:
“Predictive analytics encompasses a variety of statistical techniques from data mining, predictive modeling, and machine learning, that analyze current and historical facts to make predictions about future or otherwise unknown events.”
Predictive analytics can transform your business operations by combining classical statistical analysis with artificial intelligence (AI). This can help you close the gap between different and critical data sets, delivering predictable business outcomes.
What are prescriptive analytics?
Prescriptive analytics can attempt to predict what will happen and why it will happen. Prescriptive analytics “prescribe” a variety of possible actions to data, which can lead towards a positive solution or outcome. Using prescriptive analytics, businesses can quantify the impact of future decisions. Per Wikipedia –
“Referred to as the “final frontier of analytic capabilities, prescriptive analytics entails the application of mathematical and computational sciences and suggests decision options to take advantage of the results of descriptive and predictive analytics.”
What’s the difference between prescriptive and predictive analytics?
Both prescriptive and predictive analytics support robust business decision-making by providing businesses with insight and by enabling them to plan ahead. Both forms of analytics involve a number of processes and strategies including statistical modeling, data mining, and machine learning to deliver deep actionable insight into customers and overall business operations. However, there are several fundamental differences between the predictive and prescriptive analytics:
Predictive Analytics involves the use of statistical models and forecasting tools to deliver an understanding of future events. It essentially answers the critical question: “What could happen?” It is important to note that predictive analytics only offer probabilities – delivering the possibility of a future event occurring. The core pillars of predictive analytics include:
Decision analysis and optimization.
Profiling of transactional and historical data.
Predictive modeling.
Prescriptive Analytics involves the use of both simulation and optimization algorithms to deliver recommendations into possible outcomes. It essentially answers the question: “What should we do?” Prescriptive analytics advance beyond simply predicting options delivered by the predictive mode. They deliver a wide range of prescribed actions, while offering potential outcomes for each of the recommended actions. Because the prescriptive model can effectively predict possible consequences of different actions, it can also provide businesses with an ideal pathway for a predetermined outcome.
FULL ARTICLE: https://nextphase.ai/predictive-analytics-vs-prescriptive-analytics/
Have questions? We help companies like yours every day.
Email us at hello@nextphase.ai
About NextPhase.ai
NextPhase.ai is a data cloud services provider specializing in Snowflake, cloud data management and analytics technologies. We accelerate enterprise digital transformation initiatives by leveraging our innovative cloud data management technology, “NextPhase.ai DATAFLO” to optimize and rationalize disparate enterprise data into relevant insights. “DATAFLO” is designed to automate the lifecycle of data management transformation using AI and ML along with expeditious on-ramps to the Snowflake data cloud infrastructure. NextPhase.ai provides a range of technology consulting services for the Financial Services, Biotech and Technology industry sectors combining our platform-based services, seasoned talent, and industry proven methodology so our customers can harness more from their data. We are a Silicon Valley based company with global presence having delivered high value service engagements for numerous Global 2000 enterprises.
