Somewhere between blind faith and skepticism is the world of prescriptive analytics. Here, machine-generated action items and potential outcomes meet human decision-making. Finding the right balance between algorithms and common sense can be tricky, so consider these tips.
Marketing and retail have been two of the most publicized use-cases forprescriptive analytics, a type of predictive analytics software that recommends one or more courses of action and shows the likely outcome of each decision.
While prescriptive analytics isn’t as mature or widely adopted as descriptive analytics or predictive analytics, Gartner estimates the prescriptive analytics software market will reach $1.1 billion by 2019. Beyond marketing and retail, such tools are starting to be applied in cyber-security, fraud prevention, supply chain optimization, and resource optimization, among other areas of business.