What is the main goal of diagnostic analytics?

The main goal of diagnostic analytics is to explain the reasons behind certain outcomes. This type of analytics goes beyond merely detailing what has happened in the past (which is typically the focus of descriptive analytics) and seeks to understand the "why" behind those events. For instance, if a company saw a drop in sales, diagnostic analytics would investigate the factors contributing to that decline, such as changes in consumer behavior, market trends, or operational issues.

By utilizing various techniques like data mining, statistical analysis, and correlation analysis, diagnostic analytics provides insights that are critical for decision-making. Organizations leverage these insights to identify trends, patterns, and potential causes for specific results, which is a key aspect of understanding business performance. This understanding helps stakeholders address issues effectively and refine strategies moving forward.