Business analytics has been effective in decision making for three of four enterprises, according to a Bloomberg Businessweek Research Services survey sponsored by SAS, the leader in business analytics. These organisations have benefited from increased profitability, reduced cost, improved risk management, process optimisation, faster decision making or critical performance improvements.
Contrasted with a similar study two years ago, analytics deployment is now nearly pervasive in enterprises around the globe. Nearly 97% of respondents say their organisations have adopted business analytics, compared to 90% in 2009.
“This research reflects the growing interest of organisations around the world in greater insight and better, faster decisions through business analytics,” says Jim Davis, SAS senior VP and chief marketing officer.
“Some leading companies have already embraced business analytics and experienced the benefits of lower cost, improved profitability and reduced risk. Other organisations are just starting this journey of discovery.”
According to survey results, companies gaining the most value from business analytics share several characteristics, including: a top-down embrace of analytics by senior leaders; putting the right analytic talent in place; improving data management and governance; deploying the right analytic tools; and operationalise the results.
“Buying a hammer means you can drive a nail, but to build a house you need plans, skills and commitment. It’s the same for advanced analytics – tools alone will only take you part of the way,” says Davis. “Analytic-centred organisations have gained the most value from the technology.”
The research also found:
* 88% of respondents believe they either have the right analytic talent in place, or recognise they need to augment their analytics resources.
* Cost reduction, increased profitability and better risk management are the three most important outcomes possible with business analytics.
* Strategy/planning, finance and marketing are the top three functional areas for business analytics.
The Bloomberg Businessweek Research Services report resulted from 930 responses to a global survey conducted across all industries in May. Approximately 30% of the respondents held a C-level title spread across a range of functional areas. The survey report is available here (registration required).
SAS hosts an online community, the Business Analytics Knowledge Exchange, to foster independent discussion on the latest business analytics trends and best practices. Industry experts frequently contribute their research and philosophies for solving real-world problems through business analytics technologies to the site.