Predictive Analytics

Big Data and Predictions

Imagine it’s 2022. Predictive analytics (PA) plays a crucial role in your life, starting with your commute to work. When you get in your car, a predictive model will use biometrics to verify your identity. Spotify will pick music based on its forecast of your musical tastes.

As you drive, a “social techretary” reads the Facebook feeds, CareerBuilder ads and Match responses it predicts you will like. You’ll receive directions and notifications about traffic congestion from Siri. If you take your eyes off the road for too long, your car will shake your seat as a warning. If a more severe threat looms, such as a distracted driver in another vehicle or a child about to dart into traffic, your car will sound a warning. Your vehicle’s prediction system will scan the engine and transmission and warn you of imminent mechanical breakdowns.

These interactions are just the most obvious uses of PA. Other examples operate behind the scenes. You bought the car with a loan that won approval because you have a good credit score. Your auto insurer monitors your behavior with sensors that send information about your driving habits to a predictive model...