Next-Generation Business Intelligence Already Used by Risk Analysis Teams
June 1, 2016
Ideas about business intelligence have certainly evolved with emerging technologies. Addressing this, an article, Why machine learning is the new BI from CIO, speaks to this transformation of the concept. The author describes how reactive analytics based on historical data do not optimally assist business decisions. Questions about customer satisfaction are best oriented toward proactive future-proofing, according to the article. The author writes,
“Advanced, predictive analytics are about calculating trends and future possibilities, predicting potential outcomes and making recommendations. That goes beyond the queries and reports in familiar BI tools like SQL Server Reporting Services, Business Objects and Tableau, to more sophisticated methods like statistics, descriptive and predictive data mining, machine learning, simulation and optimization that look for trends and patterns in the data, which is often a mix of structured and unstructured. They’re the kind of tools that are currently used by marketing or risk analysis teams for understanding churn, customer lifetimes, cross-selling opportunities, likelihood of buying, credit scoring and fraud detection.”
Does this mean that traditional business intelligence after much hype and millions in funding is a flop? Or will predictive analytics be a case of polishing up existing technology and presenting it in new packaging? After time — and for some after much money has been spent — we should have a better idea of the true value.
Megan Feil, June 1, 2016