Predictive/Prescriptive Analytics

 Predictive analytics answers the question of what is likely to happen. This is where historical data is combined with rules, algorithms, and occasionally external data to determine the probable future outcome of an event or the likelihood of a situation occurring.

Prescriptive analytics provides organizations with recommendations around optimal actions to achieve business objectives like customer satisfaction, profits and cost savings. It goes beyond predicting future outcomes by also suggesting actions to benefit from the predictions and showing the implications of each decision option.