The proper utilization of analytics within an organization can lead to tremendous benefits.
As mentioned in prior blog posts, these can include faster innovation cycles, improved business efficiencies, higher productivities, more effective research and development, and even product/ service differentiation within fiercely competitive markets. And these are just a handful of the overarching examples of potential analytics benefits. There are many, many more. These benefits are also custom to, and dependent upon a lot of factors concerning the organization itself, so that the benefits may fundamentally differ from firm to firm, even if they are competing in the same industries and markets.
In order to create and capture value from the multitude of potential analytics benefits that exist, an organization must be willing, able, and have a compelling reason (s) to adopt analytics as not just a jumping off point for more meaningful communication; but a catalyst for optimized efficiency and increased achievement of goals throughout the entire business cycle.
So, we know that the successful implementation and utilization of analytics can be a real difference maker within an organization; but how do we increase the successful adoption of analytics, so that it can be implemented and utilized in the first place?
The answer to this question - in its simplest, most standardized form - is to support the successful fulfillment of real business needs which allow an organization to become more successful via analytics. That is why each of these primary drivers of analytics adoption are tied in with real organizational needs that the majority of business leaders have stated are critical to their own firm's success.
Having studied, researched, and now compiled the results from a previous questionnaire surveying business leaders on this topic, please enjoy the summarized results detailing the primary drivers of analytics adoption (please see the data visualizations both above and below for further detail and context).
Please note that only the top ten drivers of analytics adoption are shown, and are then categorized into their own views as shown above and below. Feel free to share this with anyone who would receive benefit from it. Enjoy!
In the first category view, we have the primary drivers of analytics adoption which fall into the category of "Customer, Product, & Service Insight." These include the need to better understand customers (73% of business leaders believe this is a top driver), the need to improve products & services (72%), and the need to utilize new data sources to drive more insight and perspective in complicated scenarios (34%).
In the second category view, we have the primary drivers of analytics adoption which fall into the category of "Data Management/ Process Efficiency." These include the need to improve data management (47% of business leaders believe this is a top driver), the need to become a leaner firm (35%), the need to improve data governance (29%), and the need to improve fraud prevention (20%).
In the third category view, we have the primary drivers of analytics adoption which fall into the category of "Organizational Competitiveness/ Profitability." These include the need to create new revenue streams (41% of business leaders believe this is a top driver), the need to support the current business model (40%) and the need to monetize data solutions (35%).
It is important to note these are only the top ten primary drivers of analytics adoption, and are summarized and categorized from secondary research that was performed for a differing purpose other than the one at hand. This is why there was such a ready and inexpensive access to the data which populated these data visualizations.
However, having said that, there is still a lot of significant learning that comes as a result of this secondary research. Knowing the primary drivers of analytics adoption is absolutely essential in that it can: act as a tool for many different change agents within an organization whose goal it is to successfully implement and utilize analytics; which will ultimately allow those organizations to capture and leverage the multitude of potential benefits that fully equipped analytics can provide.
I hope you enjoyed this blog. Please feel free to share it with any members of your network which may get value from it.
All the best,
The Chicago Analytics Group
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