Running head: MARKETING PREDICTIVE ANALYTICS TO DETERMINE ALLOCATION OPTIMIZATION - Essay Example

The executives are further instituting firm wide analytics at all levels of management to ensure that reported metrics are significant to determination of organizational and industry’s performance measures. This paper focuses on applied methods, by the executives, for marketing predictive analytics towards optimizing allocations. Introduction Organizations, whether profit making or non-profit making, seek efficient utilization of their resources towards meeting their objectives. Profit based organizations focus on financial benefits from their ventures and aim at minimizing operational costs and increasing revenues through mass sales and high profit margins, factors that establish the need for effective marketing.

This paper offers a discussion on predictive analytics, its associated methods, and its contribution to management to support C-Suite Executive decision making on Corporate Operations. Corporate operational divisions include marketing, information technology, and Operations. The paper focuses on marketing operations and application of analytics in monitoring, evaluation, and forecasting to aid informed decisions among C-suite executives’ decisions on key performance measures such as revenue levels, customer relations, and cost minimization.

Background information An integrated system that can share data and developed knowledge from the data is necessary for organizations and data management by specialized departments within the organizations is necessary and achievable through business intelligence teams. The last decade has marked an increasing trend in application of business intelligence in the corporate sector as organizations seek efficiency. The Motorola’s Six Sigma methodology for process improvements and waste elimination to reduce costs and increase revenues is an example.

While such applications could have been effective, application of statistical tools to collect and analyze data from business intelligence programs and tools and consideration of available data from organization’s databases offer a basis for determining organizations’ levels of efficiency. These metrics, at a managerial level, are important in running day-to-day teams, managing individual performance, understanding internal and external dependencies. Operational teams provide interdepartmental metrics on volume, accuracy, timeliness and consistency, measures whose applications increase competitive advantage and raises the knowledge of the data to not only predict scenarios but also optimize them.

This paper seeks to promote optimization of marketing teams’ resource allocation within the financial management investment industry (Davenpoint and Harris, 2007). Predictive analytics Predictive analytics is a branch of statistics that evaluates data for forecasting purposes. Klimberg and McCullough describe it as an integral term that combines “data mining and predictive modeling” as well as other data analysis techniques (252). It derives its basis