February 7, 2012: Analytics services have been offered to clients by service providers mostly in outsourcing mode for the past 15 years. It helps clients to derive meaningful insights from large quantity of data.
The following are the trends that will impact analytics in the days to come:
- Shift from Business to Business to Business to CustomerIn the present day, business is centered on customers. A huge shift is observed in the businesses, increasingly in areas such as financial services, and retail. The use of mobile phones in the areas such as banking, healthcare etc have increased, where mobile phones are used in performing transactions, and healthcare status. Here analytic will help in determining the business opportunities among the customers. The use of mobile phones in these areas is expected to increase, which will make analytics more important.
- Creating competitive advantageAnalytics and BI creates competitive advantage for the businesses. In the present day market, it is difficult to drive growth. For instance in the case of Pharma industry, many of the patents for block buster drugs will expire within a few years or even few months. So the companies need to reduce cost in areas such as marketing and to drive growth. So the companies need to determine the best possible channels to market their goods and services. This again signifies the importance of analytics in business.An important trend that is observed in the United States is the increase in the savings rate. It has increased to 6.9 per cent and so the companies need to understand the change in the customer behavior to predict the future behavior and to drive growth in the future.
- The organizations need predictive and prescriptive modelsThe organizations now make use of analytics as decision support system, where historical data will be used to take decisions and to plan resources.Predictive and prescriptive analysis will help companies to find solutions to problems faced by the organization.
- Analytics turns processes more strategicAnalytics make various business processes more strategic to the business. For instance, in the case of any business, Human Resource is very essential for business outcomes. Here analytics can be used to optimize the flow of information in process and thus enhance the results.
- Analytics can integrate data from different sources to enhance business resultsAnalyzing data from different stake holders will help the organizations to customize business solutions to different customer segments. For instance, the data from insurance companies and data from hospitals will help in providing customized services to the customers.
- Real time data availabilityThe availability of data across all times is essential to take timely actions and thus generate positive outcome.
- Organizations look for consolidated dataData from just one source is of no use and will not be complete. So data from various sources needs to be collected and consolidated to get a complete picture. This is what the organizations demand from various service providers.
- Lack of talents in analytics might become a problemThe lack of talents in the area of analytics will become an issue. The shortage of talents in the areas such as mathematics and statistics will affect the process of deriving meaningful information from the data available.
- Analytics to improve performance of teamsWith analytics organizations will be able to make most out of their HR department and thus improve the performance of the various teams in the organization.
- Analytics will drive onshoringIn the field of analytics, the offshore service providers will perform their operations more onshore as it is easy to integrate data sources.
- Outsourcing service providers to get more opportunitiesAnalytics will open up more opportunities for the service providers who better performers in the field of analytics. With huge amount of data, organizations find it difficult to process such data. So they entrust analytics with service provider with good history in analytics.