What could big data do your business? Like all other hot topics, it is promised to deliver more revenue, decrease your costs and create more profit. Sounds great, but how to deliver those benefits?
You make a lot of decisions, right? Have you ever stopped to think on what facts those decisions are based on? Quite often the decisions seem to be corrective actions on what has happened in the past. Something went wrong and you just change the direction to get it right. But what is the new target? Using data to model your new approach will enable you to foresee speed bumpers ahead, hopefully before hitting them. With deep dive into your data you could even come to conclusion that it is easier to fly than drive in your neighborhood. Discovering new opportunities is something enhancing the quality of decision making.
When you decide to launch new product or service, is the market analysis based on the historical performance of your sales team with the old products? New innovative initiatives often suffer from this approach. Wouldn’t it be good to be able to understand the customer needs in advance, fine tune your sales channels to fit with new product? Solution here would be modelling the business environment and test driving the model with sales trials. Compared to old way “use your instincts”, this new way could create opportunity react faster and test drive your approach before moving to higher gear.
As you see where you are aiming and also see potential other paths, you are able to reduce risks. You also give yourself an opportunity to quickly find optional routes to your goal, if you continuously analyze your data through predictive modeling. Some companies can also create analyzed data into competitive advantage. If you are able to model your own business, would it be possible use this also to analyze your competition. Plenty of data is available also from other companies, if you know how to utilize it.
Understanding your processes would easily create an understanding of your cost drivers in those too. With modelling you could test how planned changes would potentially impact into process costs.
So analyzed big data with predictive modeling, will provide your business with visibility to future. It will also equip you to make more future proof, fact based, decisions as well as see early warnings of potential future challenges.