10 Tips to Harness the Power of Data Analytics
10 Tips to Harness the Power of Data Analytics
Embrace analytics to ensure your company is relevant in the future.
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The explosive growth of business data has created a need for companies to adopt data analytics platforms that can make sense of so much information. By the year 2020, about 1.7 megabytes of new information will be created every second for every human being on the planet, according to a citation in Forbes. By then, our accumulated digital universe will grow tenfold from 4.4 zettabytes of data today to 44 zettabytes, or 44 trillion gigabytes.
Carey Moretti, Vice President of Data Intelligence Consulting for Trace3, offers 10 reasons why companies should incorporate data analytics into their core business strategies. “You can’t fix what you can’t measure, and you can’t measure what you don’t understand,” Moretti said. “Data analytics can help by providing valuable capabilities for companies to address their current strategic needs while preparing for new innovations that are coming on the horizon.”
Businesses in every industry should aspire to be top performers. To be one of the best, a company needs to make decisions based on all available data, rather than relying on “gut instincts.” Data analytics software can ensure that the right information gets analyzed to generate predictions that will put the decision-making process on the right track.
The ability to create a true competitive advantage for a business. Deep analysis of both private and public data can enable innovations that improve customer intimacy, leading to greater customer satisfaction and loyalty. The ability to leverage advanced analytics and act on this intelligence can produce disruptive new products and services that differentiate a business and drive its market value over competitors.
Data is growing exponentially, but most companies lack the technology to harness that data for informed strategic business decisions. The technical learning curve is steep to implement advanced analytics systems and dashboards. The longer companies wait to get started, the further behind most will fall, potentially jeopardizing their market share position.
Rededicate staff time and resources to higher value efforts. With the introduction of advanced analytics, companies can empower their people to drive more value into the organization through increased automation and efficiency. This enables the team to reduce their manual tasks associated with data preparation and management, and thus focus on higher value activities.
Cascade the power of analysis throughout the organization. The adoption of advanced analytics tools and methodologies enable a business to extend the value of analytics dashboards to executives such as line-of-business owners, marketing managers, developers and others, in addition to traditional data analysts.
Organize the intelligence that’s available from disparate data. Most organizations today are not interpreting the full breadth of relevant data sources from outside their companies, which should be organized and analyzed in addition to a company’s internal data. This approach can help managers make real-time decisions that have a material impact on business outcomes.
Root out unneeded inefficiencies across the company. Data analysis can drive greater productivity across product manufacturing, operations, distribution, sales, and marketing functions. In addition, in-depth analysis of service engagements can help streamline new services to make them less costly and more customer-friendly.
Harness the power of analytics to develop your precious human capital. Hiring and retaining the best people is a critical element for any business success. Applying the latest tools and technologies can provide a real lift for the HR team for the onboarding, training, and development of human resources.
Gain a better understanding of customer issues and concerns. Double-digit annual growth is expected to continue for e-commerce sites through 2020, when eMarketer forecasts that e-commerce sales will reach $4 trillion, up from $1.6 trillion in 2015. Customer service can be greatly improved by analyzing customer sentiments across consumer review sites, for instance, or by measuring customer satisfaction surveys after transactions are compiled.
Analyze your company’s standing with customers and partners on social media platforms. Social networks such as Facebook, Pinterest, Twitter, LinkedIn and Instagram have a powerful ability to influence a company’s public reputation, both positively and negatively. Advanced analytics capabilities allow organizations to stay in front of the content posted on social media sites, and to respond appropriately in a time-sensitive manner.
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