Predictive Analytics Has Positive And Negative Impact

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1.EXECUTIVE SUMMARY: “Predictive analytics uses technology to predict the future and influence it.” [27] It is predominantly being used to improve business processes, which is a great opportunity for entrepreneurs to achieve positive business outcomes [26]. The goal of this white paper is to discuss the impact of predictive analytics in today’s world and the various concerns that come along with it. The paper addresses key research questions like what are the legal and ethical concerns that rise from predictive analytics? And where can we use predictive analytics to get positive results? We have tried to analyze the current market situation in order to answer these questions, focusing on the key areas where predictive analytics has had positive and negative impact. After intense scrutiny of the facts and details encountered by us, we have come up with some recommendations and solutions to address the issues caused by the use of predictive analytics and how their effects can be balanced by organizations. 2. INTRODUCTION: “There have always been three types of analytics: descriptive, which reports on the past; predictive, which uses models based on past data to predict the future; and prescriptive, which uses models to specify optimal behaviors and actions” [4]. This white paper addresses predictive analytics, which is the analysis of past and present data in order to predict future risks and opportunities. Although reactive decision-making has been successful in the past, it
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