What Is Predictive Analysis and Why It Rocks for Project Management
by Julie Bennett on September 7, 2021
Updated June 8th 2023
At PSOhub, we talk about predictive analysis a lot. For SaaS providers and users alike, predictive analysis is an important tool that leverages AI to help make platforms smarter and to provide more value. If you’re using software with predictive analysis, you’re already taking advantage of this advanced technology…
We’ll discuss what predictive analysis is and how it can add massive value to an all-in-one project management solution.
Predictive analysis definition
To start, let’s touch on what predictive analysis is and how it works. PSOhub is based in Europe, where we often use the term ‘predictive analysis’ to describe what is known perhaps more commonly by the global community (especially in the US) as predictive analytics.
When it comes to describing the technology, predictive analysis and predictive analytics are unequivocally the same thing. The difference is just language semantics. Without further ado, here’s a solid definition of predictive analysis:
Predictive analysis (n.)
The use of data, algorithms, and machine learning to identify the likelihood of future outcomes based on historical data; also known as predictive analytics.
The purpose of predictive analysis is to calibrate the data from what has already happened to provide the best statistical assessment of what will happen in the future.
By mining data, analyzing it, and putting that information into a statistical scenario, solutions that use predictive analysis can give users the ability to both safeguard against loss of profitability and identify future opportunities.
Why is predictive analysis considered an AI feature?
There’s been a ton of buzz in the world lately about the use of AI and how it affects/will affect different businesses and roles. But predictive analysis has already been in use for many years across tons of industries like finance and project management.
It’s not the scary robot that’s coming for people’s jobs. Rather, predictive analysis is a highly useful AI feature that can help service businesses safeguard their budgets and increase their profit margins. In short, it’s a great tool that can give you the most accurate predictions possible to inform the decisions you make today.
Predictive analysis can be considered an artificial intelligence feature because the system must learn from past data in order to accurately forecast possible outcomes. This is also called machine learning, which is ultimately an innovation in the science of prediction, something that humans have done for thousands of years.
While predicting the future is always a risky endeavor, AI minimizes those risks by identifying trends that occurred in the past.
In the case of project management, specifically, the system will examine project failures and profitability:
What were the conditions that happened for projects that went off-rail? What was happening that could have resulted in really good or really bad profit margins? What was the billable utilization for each team member during these projects?
By answering these questions with statistics generated by solid data, predictive analysis can then paint an accurate picture of future outcomes. It’s a dream come true for project managers, who we’ve found at-large are excited about the use of AI in the field.
Predictive analysis and other AI-driven tools are already helping relieve the admin load off managers’ and assistants’ backs. And from the looks of the trends we’re seeing across the industry, it will only continue to grow in popularity and use cases.
Benefits of predictive analysis for businesses
Businesses who use predictive analysis aka predictive analytics can leverage the technology to reap the following benefits:
- Optimize services and performance
- Win a competitive edge
- Increase profitability
- Reduce risk
- Pinpoint issues before they happen
- Better collaboration
- Reduce costs
- Detect fraud
- Find new service opportunities
- And more...
Benefits of predictive analysis for project management software
Lots of industries use predictive analysis, from online retailers to digital marketers. But predictive analysis has a particularly powerful use case when it comes to managing projects. Within project management software, predictive analysis has specific benefits that can help managers and owners as well as team members to stay on track and stay profitable.
For example, project management software with predictive analysis can calculate the probability and the actual date of when/if your project will statistically go off rail. Pair that with an automated alert, and you’ll be able to address the issue(s) before they affect the bottom line.
Another easy example of how predictive analysis can help you manage your projects is under the umbrella of resource management. The solutions that offer predictive analysis can identify who, where, and when capacity problems might arise. Especially with long-term projects, you can stay in control and stay in the profitability zone on all sides.
Where can I get predictive analysis for project management software?
Platforms like Asana provide comprehensive project management software, but do not (yet) offer predictive analysis. Many of these tools, while useful to project managers in other ways, will not provide the kind of in-depth predictive analysis that we’ve touched on in this article.
"The more integrations that are offered to platforms you already use, the more data that can then be mined and used to predict future outcomes more accurately."
PSOhub is an innovative leader in affordable, full-suite project management software that’s designed with predictive analysis and other self-driving features to make your project cycle more efficient and profitable. PSOhub leverages predictive analysis to help you level-up on your:
- Contract management
- Resource Management
- Time tracking
- And more!
To close– Predictive analysis is all about accurately predicting future outcomes, so you can adjust accordingly in the present to remain profitable and efficient.
If you need help managing your projects with a solution anyway, why not get all-in-one project management software that has predictive analysis built-in? It’s an easy choice that could pay dividends in the future...