The Predictive Analytics Tool Box - Understanding the Tools and Algorithms

There’s a lot of excitement lately about AI, new models, and machine learning algorithms and the accompanying idea that they will replace all human judgement. This misconception may be due to lack of understanding about how all the tools and methods now available fit together, and how we need all of them if we’re to forecast all datasets accurately. In this article we will look at the full spectrum of forecasting methods from pure judgment to machine learning, and classify each of them so that they are easy to understand. I also provide an explanation of each of the broader classes of methods, so demand planners can add different models to their toolkit, knowing when to use which one for maximum effect.