6. Predictive Analytics
Artificial intelligence (AI) has penetrated many organizational
processes, resulting in a growing fear that smart machines will soon replace many humans in
decision making.With a greater computational information processing capacity and an analytical
approach, AI can extend humans’ cognition when addressing complexity, whereas humans can still
offer a more holistic, intuitive approach in dealing with uncertainty and equivocality in
organizational decision making.
However, management decisions informed by the use of these data analytic methods are only as
good as the data on which they are based.
Predictive analytics encompasses a variety of statistical techniques from data mining,
predictive modelling, and machine learning, that analyze current and historical facts to make
predictions about future or otherwise unknown events