Machine learning model by valantic
Empirical values are crucial for the B2B sector. But can they also lead to customer dissatisfaction when predictions and deadlines are not met? valantic developed a machine learning model for a company to more accurately define the completion dates of infrastructure projects.
Challenge
Firm Completion Dates (FCD) of infrastructure projects in the B2B sector are often based on personal experience, which can lead to errors. As a result, deadlines are frequently missed.
Consulting approach:
valantic developed a machine learning model to optimize the prediction accuracy of infrastructure project completion dates.
Client benefits and solution:
With the machine learning model, completion dates can now be calculated up to 35 % more accurately. This enables companies to plan more effectively, improving customer satisfaction.
The Challenge in Detail:
Infrastructure projects in the B2B sector (process “transmission pathways”) are often subject to what is known as a “firm completion date”(FCD). In most cases, this is based on personal experience. While these experiences are valuable, they cannot account for unforeseen events and tend to be inaccurate. The result: Deadlines are missed, and customer satisfaction declines.
Consulting Approach:
Developing a machine learning model
Based on data, a machine learning model calculates a more accurate completion time for infrastructure projects in the B2B sector. valantic collected and analyzed relevant process and project data, providing near-real-time forecasts. The deadline prediction was approached as a regression problem, with the selected algorithm being xgboost, a gradient-boosting approach based on decision trees.
Solution and Client Benefits:
The prediction accuracy for infrastructure projects has improved with the machine learning model developed by valantic. On average, runtime forecasts can now be calculated 35 % more accurately. This not only increases customer satisfaction but also enables the company to plan projects more effectively.
David B. Hofmann
Partner & Managing Director
valantic Division Digital Strategy & Analytics