What are LLMs and how are they going to change analytics?

2 min read
Jul 9, 2024 6:39:00 AM

What are Large Language Models (LLM)?

A Large Language Model (LLM) is a type of artificial intelligence model that has been trained on vast amounts of textual data to understand and generate human-like text. These models, such as OpenAI's GPT-4, use deep learning techniques, specifically transformer architectures, to process and analyze language. LLMs can understand context, generate coherent text, answer questions, summarize information, and perform various other language-related tasks. Their ability to comprehend and generate text makes them highly versatile and useful for numerous applications across different fields, including analytics.

How are LLMs going to Change Analytics?

In the world of analytics, LLMs can be leveraged in several impactful ways. Firstly, they can assist in data interpretation and reporting. LLMs can analyze large volumes of unstructured data, such as customer reviews, social media posts, and news articles, to extract relevant insights and trends. They can generate summaries, highlight key findings, and provide narrative explanations, making it easier for analysts to understand complex datasets. This capability is particularly useful for sentiment analysis, market research, and competitive analysis, where understanding the nuances of human language is critical.

Secondly, LLMs can enhance the accessibility and usability of analytics tools by enabling natural language processing (NLP) interfaces. Users can interact with analytics platforms using conversational language, asking questions and receiving answers in plain English (or other languages). This makes it easier for non-technical users to access and interpret data, democratizing the use of analytics across an organization. For example, a business manager could ask an LLM-powered analytics tool to "show last quarter's sales trends" or "identify the main factors driving customer churn," and receive immediate, comprehensible responses. This natural language interaction simplifies the analytical process and encourages wider adoption of data-driven decision-making.

Lastly, LLMs can be used to automate and optimize data-driven decision processes. By integrating LLMs with business intelligence systems, organizations can set up automated workflows where the model continuously monitors data streams, identifies anomalies or opportunities, and generates actionable recommendations. For instance, an LLM could monitor sales data in real-time, detect a sudden drop in a particular product's sales, and suggest potential reasons and corrective actions. This proactive approach enables businesses to respond quickly to changes and make informed decisions without waiting for human intervention. Overall, LLMs enhance the capabilities of analytics by providing deeper insights, improving accessibility, and enabling real-time, automated decision-making.

Why are LLMs important to your Analytics Journey?

As more and more data sources are created and grow, the diversity and volumes of information become unwieldy for deep IT experts and the average business user to understand or wrap their minds around. Additional data sources offer new perspectives and insights on traditional reporting and analytics. With an LLM organizations can enrich models such as seller scorecards, churn indicators, supplier scorecards, late payment predictions, and more. With an LLM organizations can augment traditional reports with insights obtained by loading customer information such as news articles, financial reports, their customers' reviews, and more, thereby enriching the model to give you more insight into the health of your customers' businesses. These could be useful to increase the accuracy of churn and sales forecast or late payment management.

Learn more about how eyko is laying down the foundation to enable structured data enrichment with LLMs.

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