Business Analytics and importance of a plan to execute!
The importance of data today can never be overstated. More now than ever before with disruptive concepts like big data and all the great information it can yield, businesses are making a serious effort to adopt analytics services. And so is the surge of tools and applications with promises to make their job simple.
All businesses, ones producing the food we eat to those drafting insurance policies heavily depend on insights from analytics. Some run short term subcontracted project while others build an in-house teams of top class statisticians and BI experts to ensure a constant flow of insights.
And why not- these are scientifically derived tips into what to do and what not to do in business has borne sweet fruits too…
For McKessen , the model development necessitated the creation of a data analytics support structure of related business intelligence that did not exist before. The sheer magnitude of the number of transactions processed each day made the project challenging. McKesson Pharmaceutical Supply handles 60,000 active items in 30 distribution centers shipping two million pieces a day to 25,000 customer locations. The new data analytics has been the source for a multitude of business projects that would not have been possible before this model and is the basis for quantifying the financial impact of the changes made. Since the model was put in use in 2010, McKesson has reduced its working capital by over $1 billion from improvements in its supply chain while improving its service in critical product areas.
Build direct integrated Google Analytics with AdWords account applied testing data to website design improvements. It also deployed campaign tagging and advanced segmentation to identify customer demographics. It used site overlay and funnel report insights to simplify purchase flow.
As a result there was an increase search conversions by 37%, email marketing conversion rate doubled and achieved 100% increase in sample orders.
CordMatch faced a challenge in using and implementing technology. They work to match cancer patients to cord-blood donors to retrieve stem cells for treatment. So they wanted to create a modern, Internet-based matching system that is fast and easy to use. Integrate graph search and big data capabilities to rapidly compute data.
Solution was having CordMatch, an Internet-based donor matching system. Neo4j, a high-performance, enterprise-level graph database. A unique algorithm for a single and double cord searches.
The database enable blood banks, transplant centers and registries to communicate. Customizable search options simplify the matching of cord blood units. Uses a combination of innovative frameworks and a big data graph.
Why to analytics projects fail?
But that’s the story of less than half. Almost 55% of businesses implement big data analytics projects fails. They fail to arrive at the desired results. Many do not why they started or what they were looking for from the analysis.
An analytics project is essentially a data research project- and like any other it is driven by objectives, has (should have) a plan to put to effect and should be able to link expenditure to tangible business outcomes. But many miss a connection to objectives in the first place, let alone an execution plan to execute it. Following are some of the potential causes of failure as per our experience and research.
1. Failing to build the need for big data within the organization
2. Islands of analytics with “Excel culture”. Developing silo dashboards to answer a few questions rather than strategic, tactical and operational dashboards
3. Lack of vision and not having a strategy; not having a clear organizational communications plan
4. Lack of upfront planning; overlooking the development of governance and program oversight. Not establishing a formal training program
Which brings us to the conclusion, that alone analytics cannot lift the dilapidated state of affairs of a business or for that matter any business requirement however, strong the need be or however robust the analysis is. There has to be a full-fledged effort at an organization level built on a conviction that analytics can help and will help and it is absolutely necessary teams follow a well baked execution plan to make that happen
About Hedgehog Insights– We are data analytics service provider . We offer analysis of business data. Be it daily operations, cash flows, website data or ones from social media, we analyze all of them together, on one platform, draw, connections, correlations, causes and offer our clients set of easily actionable insights. Tools are really in abundance and we are not selling another expensive one, all that we are sellingis a promise that our analysts will offermodern and conventional analytics , work with you and help you see hidden opportunities from your business data.Schedule a free consultation