What is predictive analytics?

Predictive analytics uses your historical data to estimate what is likely to happen next, and is worth building only where the estimate would change a decision that somebody is actually able to make.

Before any question about data or accuracy, there is a simpler test that most proposed predictions fail. If you knew the answer, would you do anything differently?

A prediction that customer demand will rise next month is interesting. If you cannot get more stock in that time and cannot add capacity, it is interesting and useless. The useful version predicts far enough ahead that you can still act.

The second test is data. Prediction needs enough history covering enough variation, and Kenyan businesses frequently have three years of records through a period that included nothing like normal conditions.

The test that removes most requests

Duara builds predictive work in Kenya only where a prediction would change a decision and the data can support it.

We apply the action test before the data test, and it removes most requests. A client who cannot act on the answer does not need a better model, and building one anyway produces an accurate number nobody uses.

Who this is for

  • You want to anticipate rather than react
  • A decision has a lead time you could exploit
  • You have several years of consistent history
  • Previous predictions were accurate and unused

Industries we serve

  • Distribution and wholesale
  • Manufacturing
  • Retail chains
  • Financial services
  • Agriculture and agribusiness
  • Logistics

Problems this solves

These describe the narrow conditions where a prediction is worth having rather than merely interesting.

What we deliver

Applying the action test before building, checking whether history supports a prediction at all, expressing results as ranges rather than numbers, and measuring whether decisions actually changed.

An action test applied before anything is built

An honest assessment of whether history supports it

Predictions expressed as ranges, not single numbers

The lead time required to act, stated explicitly

Measurement of whether decisions changed

A recommendation against where appropriate

Features

Benefits

  • Money not spent on decoration. The action test removes most proposed predictions before anybody builds one.
  • Predictions that arrive in time. Designing around lead time is what makes a forecast actionable rather than merely correct.
  • Uncertainty stays visible. Ranges prevent an estimate being treated as a fact by everybody who receives it second hand.
  • Better decisions where it applies. Where the conditions genuinely hold, anticipating rather than reacting is a real advantage.

Technologies we use

The most common failure is not inaccuracy. It is an accurate prediction arriving after the point at which anybody could have acted on it, which is a design failure rather than a modelling one.

How the process works, step by step

Predictive work usually takes six to twelve weeks where it proceeds, and the action test frequently ends it in the first week.

  1. Step 1

    Free action review

    We ask what you would do differently if you knew, which removes most requests before any data discussion.

  2. Step 2

    Lead time established

    How far ahead the prediction must arrive to be actionable, which shapes what can be built.

  3. Step 3

    History assessed

    Whether your records cover enough variation, and we say plainly when they do not.

  4. Step 4

    Built with ranges

    Estimates are produced as ranges so uncertainty survives being passed on.

  5. Step 5

    Decisions measured

    We check whether anything actually changed, which is the real test.

Quality assurance and how we work

The commitments attached to telling a business what will happen next.

Frequently asked questions about predictive analytics

What is the action test?

If you knew the answer, would you do anything differently. Most proposed predictions fail it before any data question arises.

Why apply it before checking data?

Because a client who cannot act on the answer does not need a better model. Building one produces an accurate number nobody uses.

How much history do we need?

Enough to cover real variation, which is usually more than three years and depends entirely on how unusual those years were.

What if our history is too short?

We say so rather than producing a confident forecast from thin evidence. Somebody will act on that number and it will not deserve the confidence.

Why report ranges instead of numbers?

Because a single figure gets treated as fact by everybody who receives it second hand, and the uncertainty disappears at the first retelling.

Is accuracy not the goal?

No. The goal is a changed decision. An accurate prediction that arrives too late to act on is a design failure rather than a success.

What is the most common failure?

Not inaccuracy. It is an accurate forecast arriving after the point at which anybody could have done anything about it.

Can you predict customer demand?

Where history supports it and lead time allows action. Predicting a rise you cannot stock for is interesting and useless.

Can you predict which customers will leave?

Sometimes, and we are careful about acting on it. Predicting behaviour for named individuals raises fairness questions worth considering first.

Will you predict equipment failure?

Only with sensor data. Most Kenyan operations do not have it, and we would rather say so than sell a model that cannot work.

How long does predictive work take?

Six to twelve weeks where it proceeds, and the action test frequently ends the conversation in the first week.

What counts as a successful forecast?

One that changed a decision, not one that turned out close. That is frequently uncomfortable to report and it is the honest measure.

What about seasonality?

Learned from your own history where the history covers full cycles. Where it does not, we say the seasonal component is unsupported.

Can it handle sudden changes?

Poorly, and no forecasting method handles them well. A model trained on stable conditions will be confidently wrong through a disruption.

Does it replace judgement?

No. It informs it, and where a prediction disagrees with somebody experienced, the disagreement is usually worth investigating rather than resolving in favour of the model.

Can we start small?

Yes, and one prediction against one decision is the right size. Broad forecasting programmes are where this work usually goes wrong.

What data do you need?

Your own operational history. Buying external data rarely helps as much as suppliers of external data suggest.

Will the model need retraining?

Yes, and conditions change, so a forecast that was accurate last year is not automatically accurate now.

Who sees our historical data?

Only the people working on your project, and it stays in your systems.

What does predictive work cost?

Data condition and decision complexity determine it, quoted after the action review, which may recommend against proceeding.

Glossary of terms

Forecasting terms in plain language.

Action test
Whether you would do anything differently if you knew the answer, applied before any model is built.
Lead time
How far ahead a prediction must arrive for action to still be possible.
Range
The band a prediction falls within, which should be reported instead of a single figure.
Historical variation
Whether your records cover enough different conditions to support a forecast.
Point estimate
A single predicted number, which downstream readers treat as certainty.
Decision change
Whether anybody acted differently because of a prediction, which is the only real measure.