Actionable Analytics Drive Improvement

We can help you create analytics and a delivery mechanism that are tailored specifically to your business. These analytics maximize your ability to make informed decisions quickly. They help you move from the traditional analytics model into a more effective and deployable actionable analytics model.

Traditional Analytics Model

Traditional models rely on you to gather and analyze the data resulting in a minimal amount of time to act and make decisions.

[Time Investment Mix] — [Time Investment Mix]

Many businesses rely on data from multiple systems and sources. As a result, it becomes difficult to compile actionable data in a simple and quick fashion. Even when data is being sourced from a single location, the canned system reports often lack the detail and clarity needed by all levels in the organization. The executive team will require a much different set of analytics than sales, production, managers or finance.

In an effort to overcome this, business spend far too much time collecting and analyzing data and far too little time reacting to it.

The long-term prognosis of this type of arrangement is less than desirable.

Data used to make decisions often becomes stale due to the work involved with updating it
Accuracy is compromised
Creating consistent practices where all stakeholders are using the same information is difficult at best

Actionable Analytics Model

The Actionable Analytics model leverages the use of automated processes and/or software to perform the bulk of the data gathering and data analysis.

The Outcome

You achieve a dramatic increase in the amount of time you can act decisively and proactively on the right activities.

Businesses that focus on Actionable Analytics gain greater value from their data. They also see greater results from their activities.

McKinsey & Company reports "extensive use of customer analytics has considerable impact on corporate performance. Companies that make extensive use of customer analytics are more likely to report outperforming their competitors on key performance metrics, whether profit, sales, sales growth, or return on investment".

The Shift

Focusing on gaining greater value from your data starts by understanding the need to shift from 'descriptive' analytics to Actionable Analytics. Descriptive analytics focus on describing something that has already happened. While this remains a critically important function in managing your business, the shift to action-based analytics will help you in ways simply not possible by descriptive data.

Alternatively, Actionable Analytics can help you anticipate business opportunities, areas of importance (positive or negative), and make decisions that affect profit, marketing, customer retention, and planning.

Actionable Analytics Example

Consumers have benefited in many ways from the rapid innovations in the automotive industry. In the scenario below, you can easily see how Actionable Analytics have impacted vehicle owners. As you review the way a simple alert has 'matured' in recent years, consider the impact of this same dynamic in your organization.

No Analytics

In the image above, one tire has 50% more air pressure than the other. A simple visual inspection simply won't help you identify an issue with tire pressure.

Originally, vehicle owners had to complete the following just to determine if they had an issue with their tire pressure.

Activity

Purchase a tire pressure gauge.
Check tire pressure “cold” – before you’ve driven or at least three hours after you’ve driven.
Insert tire pressure gauge into the valve stem on your tire.
Compare the measured psi to the psi found on the sticker inside the driver’s door of your vehicle or in owner’s manual.
If your psi is above the number, let air out until it matches. If below, add air until it reaches the proper number.

Outcome

You don't check your tire pressure regularly, if ever
Safety is compromised - tire grip is affected negatively
Tire wear becomes uneven reducing tire longevity, resulting in grater vehicle operation cost

Basic Analytics

With the introduction of Tire Pressure Monitoring Systems (TPMS), vehicle owners were alerted when there was a problem with the tire pressure,

Unfortunately, this technology did little to change the steps involved to fix the problem and the results were often the same.

Activity

Purchase a tire pressure gauge.
Check tire pressure “cold” – before you’ve driven or at least three hours after you’ve driven.
Insert tire pressure gauge into the valve stem on your tire.
Compare the measured psi to the psi found on the sticker inside the driver’s door of your vehicle or in owner’s manual.
If your psi is above the number, let air out until it matches. If below, add air until it reaches the proper number.

Outcome

You don't check your tire pressure regularly, if ever
Safety is compromised - tire grip is affected negatively
Tire wear becomes uneven reducing tire longevity, resulting in grater vehicle operation cost