Time to time we have been saying this over several articles and of course, it’s no secret that the amount of data in the world is growing at a tremendous rate, we human create 2.5 quintillion bytes of data every day. It’s anticipated that by 2020, the accumulated volume of big data will increase from 4.4 zettabytes to roughly 44 zettabytes or 44 trillion GB. Now think about your own business: how much data did you have ten years ago? Ok five years ago? Even just two years ago? I’m certain, it’s much less than the current amount of data.
1. Self-service time investment
Most business organizations talk about a data-driven culture that empowers better leadership at each level. Unfortunately, most mid or low-level leaders still don’t approach insights since IT doesn’t have enough transmission capacity to benefit all the company’s data needs.
A genuine data-driven culture permits all leaders to rapidly and effectively pick up insights for themselves. While making reports they require within minutes, your analytics venture can truly begin to conduct great outcomes.
A data analytics tool enables a self-service approach that allows ordinary users to access and work with business data regardless of their knowledge and experience in data analysis, business intelligence (BI) or data mining. I recommend you to read our article on ‘Why Self-Service Data Analytics Important For You!’ for you to get a better understanding.
Every business faces fierce competition. Similar competition poses a threat, as each business aims to improve their practices and processes to outshine the other. Thus the majority of the organizations worldwide are planning or have already invested in the Data analytics. As your contenders are as of now applying this capable tools and ending up to be more information-driven, this pattern will soon turn into a need instead of an alternative for businesses to slice through the competition in their field.
The data gained from looking closely at the sales funnel, customer buying habits and more can highlight where other organizations may have a leg up. As a result, organizations can change up how they operate down to nitty-gritty details. Even the smallest alteration could mean an improvement in profits and consumer loyalty. In fact, a new report from the Massachusetts Institute of Technology Sloan Management Review shows 67 percent of companies report gaining a competitive edge by using analytics.
3. Bad Data Quality costs businesses in millions
Having tons of data is good but how good is it, is a BIG question. Are their inaccuracies? Discrepancies? Confusing definitions? Whether we like it or not most of the companies have their business data in spreadsheets and it’s also evident that most of us use Excel to analyze and visualize data but the sad truth is that even excel has its fair share when it comes to errors. Don’t trust me just read this article you will be convinced. A successful data and analytics practice ensures that data is accurate and key definitions are well-defined.
To learn how important data quality was to a business, a study indicates that the cost of bad data was equal to between 10% and 25% of the organization’s revenue.
4. New technologies
With technologies like AI, Machine learning, NLQ integrated tools, users are able to spot trends and patterns in the data collected from various resources, helping them respond to them and identify new opportunities. Both structured and unstructured data are could be used with such technologies.
AI and Machine Learning in analytics is the new mantra for businesses because it gives them a decisive advantage while striving to achieve a varied range of business outcomes, higher customer satisfaction, productive applications, and efficient operations. It is now widely being used by marketing, sales, and finance teams to achieve the desired business performance.
It is true that these technologies have been in the background for several decades. However, now it has become mainstream and turned decisive, enabling companies to predict trends and achieve better business performance.
Thus, such technologies complement both data discovery and business intelligence, and it definitely goes beyond all the nuances of online analytic data processing. If this technology was initially used by elite firms, it has now become one of the most common techniques in various industries. Keeping this in mind, let us now look at the various advantages it offers to businesses.
5. Analytics Helps Quantify Company Values
With business analytics, companies can measure how these values translate into numbers. By using quantifiable numbers, broad value and mission statements can be quantified too, rather than just left to interpretation. Companies can use data to focus on operating with processes that keep in line with company values.
Let’s say, a business might identify what its measures of return look like, both tangible returns (such as profits) and intangible returns (such as giving back to the community). These can then be quantified to clearly define expectations for employees. This should improve processes because everyone will be working toward the same clear goal.
In today’s business environment, it’s no longer good enough to make good guesses and hope for the best. Creating a company culture based on using business analytics throughout every department helps companies stay agile. It also helps them make smarter choices on where to take the business – and how to get there.