Data Analytics

When using AI for data analytics, the core approaches include:

• Descriptive Analytics (Business Intelligence): This approach analyzes past data to answer the question, "what happened?". It relies on historical data, dashboards, alerts, and key performance indicators. It largely deals with structured data.

• Predictive Analytics: This approach forecasts future outcomes to answer, "what will happen?". It utilizes predictive modeling, statistical analysis, and data mining. It processes both unstructured and structured data.

• Prescriptive Analytics: This goes a step further by suggesting specific actions to maximize beneficial outcomes.

• Dimensionality Reduction: This is the process of reducing the number of variables (dimensions) in a complex dataset to the necessary minimum for processing. Principal Component Analysis (PCA) is a common example of this method.