Getting Started: Benefits of Analytics

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“What are the benefits of Analytics?”bluebarvert

To decide if embracing Analytics is right for your organization, it’s important to not only have a basic understanding of “What is Analytics?”, but also a handle on the benefits of Analytics at the organizational level. In other words, why bother?

In my experience with Analytics, the “big four” benefits are:

  1. Improved competitive advantage
  2. Better business outcomes more often from better, data driven decisions
  3. Increased return on (data) assets
  4. A culture transformed into one of “Test and Learn”

To get these benefits, you must be willing to change the way you and everyone around you makes decisions, manages your data as an asset, and constantly challenges status quo with questions, questions, and more questions.

The problem(s) you may have without using Analytics to capture those big four benefits are:

  1. You have lost, or are unable to regain, competitive advantage over firms competing for customers in your markets by using more traditional or conventional methods.
  2. Spending more than you need to, and getting less of what you want, by choosing actions that don’t produce desired results enough of the time. Without data driven guidance, you expect people in your organization to make difficult decisions based on gut feel, intuition or personal experience.
  3. Spending on a lot of systems that create data to complete transactions today, but then continuing to spend money to keep that data around (and secured!) without generating any further value for your business.
  4. Making investments with insufficient due diligence, hoping that by placing a variety of bets on different ideas that enough of them will pay off for a positive return at the portfolio level, and it isn’t happening.

If you see yourself and your organization in any of these problems, it might be worth your while to learn more about how Analytics may be a solution for you. You can read books and magazines, search the web, or reach out to an Analytics Consultant for help… but choose wisely :)

Getting started with Analytics doesn’t have to be a big, scary, risky and expensive proposition. By focusing on both the technical and non-technical factors that matter, and scoping your first foray correctly in the context of an initial vision, you can “Test and Learn” how to become an analytical competitor in your markets.

 


 

questionstopQuestions? Happy to answer them. Please contact Gene Connolly at gene@connollyconsultants.com to setup a call.