Predictive analytics has come of age as a core enterprise practice necessary to sustain competitive advantage. Enterprise data is a priceless strategic asset because it represents the aggregate experience of an organization, the very history of its interactions. Predictive analytics taps this rich vein of experience, mining it to automatically generate predictive models.
We can take the lead from insurance companies on how to manage risk. This white paper outlines: What Every Organization Needs to Learn from Insurance Companies. The actuarial methods that enable an insurance company to conduct its core business perform the very same function as predictive models. Like insurance, all business is, at the core, an exercise in risk management. Every decision an organization makes, each step it takes, impacts the risks an enterprise must withstand.