Where does It Belong?
Descriptive Analytics tell you what happened, but do not specify what to do about it.
Diagnostic Analytics let you explore how it happened, but do not specify what to do about it.
Predictive Analytics tell you what is likely in the future, but do not specify what to do about it.
Prescriptive Analytics specify what to do, or automatically trigger a response.
Not Just a Type of Software
Decision Management is a discipline with sets of tools and techniques that allow businesses to make decisions.
When should organisations use Decision Management?
When effectiveness and efficiency matter to the business operations.
Characteristics of the Good Candidates:
- Multiple decision criteria or substantial calculations.
- A lot of data and diverse kinds of data.
- Reusable decision logic that is frequently modified.
- Traceable and auditable decision making.
- Trade-offs among competing goals.
- Multiple decisioning scenarios acting together as a whole.
Where a Decision Management Can be Used?
Which Industries, Functions or Areas of business can Benefit?
Millions of operational decisions are made every day in businesses. The quality of decisions directly influences the quality of business operations. Decisions are influenced by data, regulations and market dynamics.
Because of this, you can see the use of decision management across many different industries and many different areas of business.
- Mortgage Approval
- Insurance and Loan Underwriting
- Financial Trading
- Leasing and Billing
- Supply Chain Management
- Product Configuration
- Risk Management
- Permit Approval
- Subsidy Determination