‘van017 ‘Applications | Data Aralyies Tearing | Itershala VTC v Navigate Applications It is Rard to imagine any area which has not been touched by analytics. Any vertical (@g. Banking, Insurance, Manufacturing, eCommerce etc.) or any horizontal (e.g. Customer acquisition, Customer management, Retention, Attirion) has been influenced heavily by Analytics. We take you through a few applications and case studies on how analytics has benefitted various businesses: Application in various vertical: Banking & Financial Services Analytics: * Anti-money laundering - identifying suspicious transactions to alert investigation officers ‘Credit scoring - score the customer based on various parameters to arrive at certain number and if that is above a threshold, then approve the credit ‘Credit Risk - predicting the risk involved due to non payment by borrowers in case of credit cards, loans, etc ‘+ Fraud detection & Prevention - predicting suspicious transactions which are likely to be fraud in all the transactions of card, wire transfers, online transactions etc ‘Price Optimization - Debt collection agency can predict the optimal price for the portfolio & forecasting the probable recovery from defaulters Insurance Analytics: ‘= Claims Fraud detection - predicting the claims which are likely to be fraudulent ‘© Policy Lapse prediction - predict which are the policies that are going to lapse before completing the tenure hp ttc rternshala.comieourselcortert pp ?opie_ =8kmodde_ jd Bkcourso=arayics 101 18an017 ‘Aplications | Data Analytics Tearing | tershala VIC ‘+ Underwriting rate optimization - predicting the best price for the insurance products based on Customer profile ‘+ Agent performance prediction - how agents are going add revenues to the organization, improve customer satisfaction & retention ‘+ Agent Lifetime Value - how best an agent is going to serve the organization throughout his/her tenure Healthcare Analytics: ‘+ Healthcare Claims Fraud detection - predicting the claims which are likely to be fraud * Financial recovery - predicting the payments from healthcare insurance payer which are overpayments to service providers ‘+ Health plan analytics - allows organizations to compare & predict different benefits & risk options in terms of coverage & costs Condition Management - predict which of the people are likely to develop diseases like blood pressure, cholesterol etc Retail Analytics: ‘+ Discount or Price optimization - predict the optimal prices of discounts & normal prices of merchandizes for today's sensitive shopper * Cross-Sell & Up-Sell - propose other products depending on various factors such as color, fashion, choice, location, earning patter & Customer buying behavior etc ‘+ Forecasting - based on demands from Customers predict how much stock is required to avoid stock-outs & excess inventory Manufacturing Analytics: + Predicting the parts failure - based on the history data predict which of the machinery parts are going to fail & when ‘+ Issue detection - predicting the issues before they occur so preventive maintenance can be done on the parts Warranty Analytics - identity issues across production period to reduce warranty costs, Forecasting - based on demands from Customers predict how much stock is required to avoid stock-outs & excess inventory ‘+ Inventory Optimization - to reduce inventory carrying costs & increase order fulfillment by predicting optimal inventory to be stored across warehouses Application in various horizontals: ‘Customer Analytics: To sustain a business, you need to keep it profitable which means you need to keep your customers satisfied. For this you need to identity different sections of your customers according to their behaviour. ‘= Customer Life time value - group Customers on high, medium, low value & take actions to increase + Customer Segmentation - grouping of Customers based on demographics, or profitability, or life time value ‘* Customer Churn/attrition - predict which Customers are likely to leave you & take suitable actions ‘+ Customer Retention - identify most profitable Customers & then retain them + Campaign management. selective campaigns based on segmentation or Customer's likely behaviour + Cross-sell and Up-sell- increase the revenue proposing other products or high end products Text Analytics: hp ttc rternshala.comicourselcortert pp ?opic_=8modde_jd=kcourso=arayies 101‘van017 ‘Applications | Data Aralyies Tearing | Itershala VTC Discover & extract meaningful patterns and relationships from the text collection from social media site such as Facebook, Twitter, Linked-in, Blogs, Call center scripts ‘© Understand Customer sentiments - positive & negative. Used for Product & Customer service Improvements. Also for knowing what competition is good or bad at. Case study: How Target Figured Out A Teen Girl Was Pregnant Before Her Father Did? (http://www. forbes.com/sites/kashmirhill/2012/02/16/how- target-figured-out-a-teen-girl-was-pregnant-before-her-father-did/) Additional read: How analytics help organizations becoming customer centric? (http://www.analyticsvidhya.com/blog/2014/03/analytics-helps- organization-customer-centric/?utm_source=Analytics101) (content.php?topic_id=8&module_jd=3&course=analytics101) (content.php?topic_id=10&module_id=3&course=analytics101) internshala.com (http://internshala.com) hp ttc rternshala.comicourselcortert pp ?opic_=8kmodde_jd=kcourso=arayics 101