[3D4-GS-10] AI application: prediction 1

[3D4-GS-10-02] Predictive optimization for group-based decision making

〇Shunsuke Ozeki¹, Shunsuke Hirose¹, Itaru Nishioka¹ (1. Deloitte Analytics, Deloitte Touche Tohmatsu LLC)

Keywords:Predictive Optimization, Mixed linear regression model, Variational Bayes, Business strategy

Predictive optimization, which is a fact-based decision-making method using historical dataset, is one of the most important research areas for future digitalized business. We propose a predictive optimization method for group-based decision-making that address three decision-making issues in bussiness, explainability, decision-making risk consideration, and easy-to-execution. Through the experimental demonstration, we show our proposal is comparable to existing predictive optimization, while offering practical solution in applying to real business.