Planning 4.0: high-value forecasts using artificial intelligence (AI) and predictive analytics
Our brain processes 11 million sensory sensations per second, which amounts to incredible 1,728,000 sensations processed in 12 hours, out of which only 40 are consciously perceived. But how to determine which one of them is important? Our passion for identifying the relevant KPIs with the help of appropriate BI, planning and DWH tools supports you in finding the answers.
Businesses of digital era require adoption of new processes. Even the classical financial sector must look beyond traditional bookkeeping, controlling and reporting, in order to provide high quality results and forecasts that increase decision-making reliability.
Consequently, new possibilities presented by analytics applications of the latest generation, such as artificial intelligence (AI), predictive analytics, and nearly unlimited computing power from the cloud, are particularly important. One business area exceptionally impacted by digitization is sales, as reliable sales and revenue forecasts are of utmost importance in uncertain times. Artificial intelligence and predictive analytics significantly increase forecast’s quality. Periodic and one-time events are automatically identified, as algorithms undergo continuous optimization in the process of ongoing learning.
Best practice: In cooperation with our partner Jedox we developed a custom application for the company MITSUI, which significantly simplifies and accelerates planning, compared to other programs such as Microsoft SQL, Access and Excel. The result is an unprecedented level of accuracy and detail. Among others, opportunities and risks are identified and reported immediately in the sales forecast. In addition, the integrated AI module “Predictive Forecast”, based on the Jedox AIssisted™️ Planning solution enables significant time savings in the forecasting and budgeting processes by achieving yet higher forecasting accuracy. Data collected from at least three previous years constitutes the basis for the predictive AI engine. Enormous potential of AI-conducted analyses is highlighted by both high hit rates and supreme level of detail in planning and forecasting. This is Planning 4.0. A HICO & JEDOX Success Story.
AIssistedTM Planning is the Jedox AI engine using advanced analysis methods, artificial intelligence and machine learning for intelligent, automated corporate performance management. What is more, integrated business algorithms enable accurate forecasting, provide intelligent support for decision-making, and allow for dynamic planning. Even after a short time since their implementation, AI-generated 12-month sales forecasts demonstrate high degree of precision, achieving up to 95% accuracy as measured against the actual values. (Picture: JEDOX)