What is the key component of a Next-Best-Action strategy?
The key component of a Next-Best-Action strategy is a strategy, which is a graphical representation of the business logic that determines which actions to offer to each customer and in what order. A strategy can use various components, such as business rules, predictive models, filters, prioritizers, etc., to achieve this goal. Reference: https://academy.pega.com/module/one-one-customer-engagement/topic/next-best-action-designer
To enable an assessment of its reliability, the Adaptive Model produces three outputs: Propensity, Performance and Evidence. The performance of an Adaptive Model that has not collected any evidence is_________.
When an adaptive model has not collected any evidence, its performance is 0.5, which means that it has no predictive power and is equivalent to a random guess. As more evidence is collected, the performance can increase or decrease depending on how well the model predicts customer behavior. Reference: https://academy.pega.com/module/predicting-customer-behavior-using-real-time-data-archived/topic/adaptive-models-overview
A very important aspect of each model is how good a model or a given predictor is in predicting the required behavior. When building a predictive model, the use of testing and validation samples___________________
A predictive model is a mathematical function that estimates the probability of an outcome based on input data.When building a predictive model, the use of testing and validation samplesincreases the accuracy of models123. Testing and validation samples are subsets of data that are used to evaluate how well a model performs on new data that was not used to train the model. Testing and validation samples help prevent overfitting, which is when a model learns too much from the training data and fails to generalize to new data.
What happens when you increase the performance threshold setting of an adaptive model rule?
When you increase the performance threshold setting of an adaptive model rule, the number of active predictors may decrease. The performance threshold is the minimum performance that a predictor must have to be included in the model. If you increase this value, some predictors may not meet the criteria and be excluded from the model. Reference: https://community.pega.com/sites/default/files/help_v82/procomhelpmain.htm#rule-/rule-decision-/rule-decision-adaptivemodel/main.htm
Which adaptive model output is automatically mapped to a strategy property?
Propensity is the adaptive model output that is automatically mapped to a strategy property. Propensity is the likelihood of a positive response for a given action and predictor profile. It ranges from 0 to 100. Reference: https://community.pega.com/sites/default/files/help_v82/procomhelpmain.htm#rule-/rule-decision-/rule-decision-adaptivemodel/main.htm
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