Pega Customer Decision Hub basics

Next-Best-Action (NBA) Designer guides you through the creation of a Next-Best-Action strategy for your business. NBA designer uses proven best practices and its sophisticated underlying decisioning technology to automatically deliver personalized customer experiences across inbound, outbound, and paid channels. These decision strategies are a combination of the business rules and AI models that form the core of CDH, which determines personalized sets of next best actions for each customer.

The following components help in the creation of Next-Best-Action strategies:

• The Taxonomy component defines the business structure for your organization.
• The Constraints component implements channel limits and constraints.
• The Engagement policy component defines the rules that control which Actions are offered to which customers.
• The Arbitration component configures the prioritization of actions.
• The Channels component configures when and where the next best actions are initiated.

Actions represent offers that are based on customers' specific needs and the potential value to business, for example, a premium subscription or a retention offer. An Action holds various details about a particular offering, such as Start Date, End Date, and Expected Revenue.

In CDH, each Action that you prepare for your customers is associated with an issue and a group. The business issue is the purpose of the Actions that you offer to your customers. A Business Issue represents the business area for which a customer Action is applicable (for example, Grow, Retention, Collections, and Service); a Group organizes Actions into logical categories (for example, Credit Cards or Mortgages) and offers, which are referred to as Actions (for example, a Reward card or 30-year fixed rate).

Treatments define how customers receive and experience Actions in a specific communication channel, such as email or web. You can define treatments for several built-in and custom channels, such as email, web, and others. Once created, treatments are associated to a specific Action on the Treatments tab of the Action Rule. Treatments added to the Treatments tab of the Action will be prioritized by the next-best-action strategy, which uses adaptive models to determine the best channel and treatment.

Treatments can be defined at the top level or can be categorized into issues and groups. The system automatically selects the issue and group on the Create form using the corresponding values from the Action Rule. Users can change these selections to store the new treatment at a different hierarchical level.

Engagement policies are a set of business rules and practices used by the organization to determine which customers are eligible for which next best actions. These policies allow you to specify the conditions under which an action or group of actions are eligible for a customer.

As part of an engagement policy, three types of conditions are defined – Eligibility, Applicability, and Suitability.

• Eligibility determines whether a customer qualifies for an action or group of actions. For example, an action may only be available for customers over a specific age or living in a specific geographic location.
• Applicability determines if an action or group of actions is relevant for a customer at a particular point in time. For example, a discount on a specific credit card may not be relevant for a customer who already owns a card.
• Suitability determines whether an action or group of actions is appropriate for a customer for ethical or empathetic reasons. For example, a new loan offer might not be appropriate for a customer whose credit score is low, even though it might be profitable for the bank.

You have reached the end of this topic. You learned about:

• Pega Customer Decision Hub
• Actions and treatments
• Engagement policies