Question

Please explain the ARIMA Model as well as how it would affect some of your organization's process improvement initiatives. Further, provide an example as to which ARIMA Model you would utilize and...

Please explain the ARIMA Model as well as how it would affect some of your organization's process improvement initiatives. Further, provide an example as to which ARIMA Model you would utilize and why.

0 0
Add a comment Improve this question Transcribed image text
Answer #1

ARIMA model also known as Autoregression Integrated moving average model used for forecasting time series data. Here the analysis is done based on following parameters :

  1. P- number of lag observations
  2. D- degree of differencing
  3. Q- Order of moving average

A linear regression model gets constructed first using above parameters and then analysing takes place to generate insights. Helps in organisations process improvement by forecasting fraudulent activities using different transactions taking place in different orders and the algorithm raises red flags if any unscrupulous deals can lead to fraud. Rhis helps organisations reveiew such deals and improve processes of deal negotiations.

Multi step method of ARIMa model is highly useful since accuracy is high and error rate is low and analysis is spread acrossevenly giving refined insights.

Add a comment
Know the answer?
Add Answer to:
Please explain the ARIMA Model as well as how it would affect some of your organization's process improvement initiatives. Further, provide an example as to which ARIMA Model you would utilize and...
Your Answer:

Post as a guest

Your Name:

What's your source?

Earn Coins

Coins can be redeemed for fabulous gifts.

Not the answer you're looking for? Ask your own homework help question. Our experts will answer your question WITHIN MINUTES for Free.
Similar Homework Help Questions
ADVERTISEMENT
Free Homework Help App
Download From Google Play
Scan Your Homework
to Get Instant Free Answers
Need Online Homework Help?
Ask a Question
Get Answers For Free
Most questions answered within 3 hours.
ADVERTISEMENT
ADVERTISEMENT
ADVERTISEMENT