Data analytics has quickly become a lucrative investment for businesses, particularly those wanting to make more accurate forecasts and much-needed changes.
"However, there are still many businesses who are not investing in data analytics today. Perhaps this is a result of a lack of understanding around the significant business value, which data analytics offers," says Yolanda Smit, regional director at PBT Group.
A competitive edge
According to her, having an abundance of data available doesn't mean much if it is not leveraged. However, if an organisation invests in analytics, the possibilities can be endless. "In fact, analysing data can produce insights the business did not have before. This is huge - as it enables the organisation to review their current offerings and change or tweak their products and services based on their customers' real needs and wants."
It is this type of insight that not only assists a business to adapt to market changes in a more timely manner, but also helps them achieve a competitive advantage in an economically challenging environment, says Smit.
Moreover, she says data analytics can help generate revenue, which is the obvious end goal for most businesses, but to do this, companies will need to invest in a data analytics team.
"This team must not only understand the organisation's objectives when it comes to data, but how to use data effectively to achieve these goals. Furthermore, before analytical tools can be leveraged on data, this team must take responsibility for making sure that the quality of the data being analysed is good. Placing a focus on these areas will allow organisations to use data analytics to generate more revenue (and increased revenue means increased value)."
Smit cites a saying, by Jim Bergeson: "Data will talk to you if you are willing to listen".
"And it's true - as the real business value of data analytics can only be seen if organisations are willing to listen and truly take data on board as a key business resource.
"Any business, irrespective of size or industry, can benefit from data analytics. However, focus should be on understanding what data analytics can do for the business, based on its goals, and investing in the right team of people to ensure that the right data is analysed, to achieve the best possible results," she concludes.
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