Predictive analytics in the era of big data

Predictive analytics in the era of big data Jacob Zahavi, from The Coller School of Management at Tel Aviv University, discusses the components of predictive analytics (PA) and the increasing complexity of PA problems in the world of Big Data. This is the era of Big Data. Big Data are datasets that are too large and complex to handle using traditional data-processing tools and software. Data nowadays comes in huge quantities (volume), in different forms (velocity), and in a multitude of formats (variety). Some also add ‘value’ to this list. While raw data doesn’t have a value of its own, it carries a lot of hidden information essential for decision-making. For example, in marketing, data reflects the characteristics of potential buyers; in healthcare, which symptoms affect certain diseases; in insurance, which customers are more prone to risk; in banking, which customers are more likely to return their loans; and more.