The Value of Business Analytics: Identifying the Path to Profitability

INTRODUCTION

We have covered a lot so far. Within the previous seven chapters, we have considered:

• How analytics fits into strategic planning and the creation of competitive advantage
• The various tactical challenges teams face, along with typical organizational and management structures
• Strategies and techniques to help define the value of analytics
• The importance of cultural patterns and thinking preferences in developing a communication strategy
• Techniques to break free from being overworked, types of initiatives, and how to plot tactical activities into a strategic road map
• How to build an effective measurement framework and use it to justify ongoing investment in analytics

Following the philosophies outlined in this book makes it easier to achieve success. However, it requires diligence and commitment. Unless the team can change its own approach, it is unlikely that it will be able to change the broader organization.

The reality is that teams rarely enact this change overnight; change is hard, and biting off more than one can chew is a recipe for disaster. Instead, many teams try to improve things incrementally, focusing on the areas that they feel are most lacking and that will have the greatest impact. In many ways, it is the same as eating an elephant—the trick is to do it one bite at a time.

As a closing example, we will consider how these elements can be applied together as a single framework. By necessity, this is a hypothetical example. Though the example draws from a wide ...