A probabilistic estimation framework for predictive modeling analytics

  • Authors:
  • C. V. Apte;R. Natarajan;E. P. D. Pednault;F. A. Tipu

  • Affiliations:
  • IBM Research Division, Thomas J. Watson Research Center, Yorktown Heights, New York;IBM Research Division, Thomas J. Watson Research Center, Yorktown Heights, New York;IBM Research Division, Thomas J. Watson Research Center, Yorktown Heights, New York;IBM Research Division, Thomas J. Watson Research Center, Yorktown Heights, New York

  • Venue:
  • IBM Systems Journal
  • Year:
  • 2002

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Abstract

IBM ProbE (for probabilistic estimation) is an extensible, embeddable, and scalable modeling engine, particularly well-suited for implementing segmentation-based modeling techniques, wherein data records are partitioned into segments and separate predictive models are developed for each segment. We describe the ProbE framework and discuss two key business solutions that have been built using ProbE: the IBM Underwriting Profitability Analysis for insurance risk management, and the IBM Advanced Targeted Marketing for Single Events for direct mail database marketing.