When Data Science Led To Losses
August 8, 2017 Leave a comment
About 5 years ago, a telecommunications company wanted to be able to predict whether a customer would cancel their service or not. If the company could catch a customer right before they fall out and convince them to stay put, then the company keeps revenue.
So the analysts and data scientists were set off to races on developing a model that could help the company better predict when customers were planning to quit their service.
After about a year and a couple hundred thousand dollars worth of resource hours the team had developed a successful model. It was 85-90% accurate. They then worked with process managers, and customer service teams to develop playbooks and guides to help approach customers who may not be interested in the service. A few more hundred thousands of dollars dropped into the project. Once they felt like the algorithm was set and the team members were trained they went forward to implement the project. Read more of this post
If you have just bought your CIBIL credit report and need some help understanding it or if you are considering forking out for one and want to know what you will get,the following write up is for you:
Below is a favourite but somewhat dated Rakesh Jhunjhunwala interview.I frequently revisit the article to read about how he started out.Every time I wonder how I might be able to do what I want to do with so few resources,I find reading his story inspiring.Also I like his way of limiting risk,dealing with loss , having flexible targets and dealing with unfavourable opinions.The red ink is mine.It’s to highlight the parts I find interesting.As a side note,I also like reading the account of the 1993 blasts,if for no other reason than to remind myself about the spirit of Mumbai and the grit of all Mumbaikars. 
“If a girl is beautiful a suitor will come. If a stock is beautiful, a suitor will come. So I don’t search for suitors when I buy the stock.”
Mr. Rakesh Jhunjhunwala, combines diverse skills as a equity trader, visionary investor and incubator of new businesses through private equity.He is the first dollar billionaire from India to have made all his money by investing–primarily in stocks.Converting Rs 5000 to a billion dollars is no mean feat.Moreover since he deals exclusively in Indian stocks and often in publicly traded companies, whose shares we all have access to,it’s well worth spending time learning how to invest one’s way to wealth from him.
wealthymatters 