Nizam Mohammed (Nizam)
Tech Mahindra

Tech Mahindra
Nizam Member since 2019 86 posts
Tech Mahindra
Posted: May 6, 2021
Last activity: May 11, 2021
Posted: 6 May 2021 7:40 EDT
Last activity: 11 May 2021 4:29 EDT

Business priority vs ADM propensity

Hi Team,


We have a requirement to create a match between ADM propensity and business value of a proposition. In some of the cases, business value is high for few products but ADM recommendation is less. Based on some analysis, I found four different approaches. I am trying to choose the best one out of four.

Different approaches:

Approach 1: Multiply the propensity * Business value before sending the offer/action to the channel.

Approach 2: Use a classification matrix and derive a value for business classification like High/Medium/Low and pass this value to ADM model as predictor.

Approach 3: Only pass the high business value propositions to ADM. Filter our the ones which are below the threshold. 

Approach 4: Reduce the final propensity(.FinalPropensity = .pyPropensity/n times) if the business value is high and increase the final propensity(.FinalPropensity = .pyPropensity * n times)  if business value is low. If both are matching each other medium business value with medium propensity, please use the same propensity (.FinalPropensity = .pyPropensity) as final propensity.

What could be best approach to create a match between ADM propensity and business value? Any suggestions. Thanks in advance.

Note: This should not impact ADM learning/performance.




***Edited by Moderator Marissa to update Platform Capability tags****
Pega Customer Decision Hub Decision Management