A Comparative Analysis of Business Machine Learning in Making Effective Financial Decisions Using Structural Equation Model (SEM)

Abstract

Globally, organisations are focused on deriving more value from the data which has been collected from various sources. The purpose of this research is to examine the key components of machine learning in making efficient financial decisions. The business leaders are now faced with huge volume of data, which needs to be stored, analysed, and retrieved so as to make effective decisions for achieving competitive advantage. Machine learning is considered to be the subset of artificial intelligence which is mainly focused on optimizing the business process with lesser or no human interventions. The ML techniques enable analysing the pattern and recognizing from large data set and provide the necessary information to the management for effective decision making in different areas covering finance, marketing, supply chain, human resources, etc. Machine learning enables extracting the quality patterns and forecasting the data from the data base and fosters growth; the machine learning enables transition from the physical data to electronically stored data, enables enhancing the memory, and supports with financial decision making and other aspects. This study is focused on addressing the application of machine learning in making the effective financial decision making among the companies; the application of ML has emerged as a critical technology which is being applied in the current competitive market, and it has offered more opportunities to the business leaders in leveraging the large volume of data. The study is intended to collect the data from employees, managers, and business leaders in various industries to understand the influence of machine learning in financial decision making .