Data Analysis is the systematic process of using statistical and logical techniques to collect and evaluate data. In today’s internet and technology-driven era, data analysis and creating a sound data analytics strategy have become necessary. Many organizations are struggling with the large volume of data that they have collected and have absolutely no idea how to extract useful information from them. Therefore, organizations need to develop a good DA strategy to improve their business operation and stay ahead of their competition.
What is a Data Analytics Strategy?
A data analytics strategy of an organization is a long-term guideline or roadmap that defines the people, processes, and technology that it needs to establish to gain an advantage from data analysis. It assists the organization in solving its data collection and evaluation problems. A sound data analytics strategy helps the organization in achieving its primary objective which is to make the business successful.
Here are the objectives of a good data analytics strategy:
- To understand the need of the employees that use data analysis
- To ensure that the processes of data collection and evaluation are secure
- To provide technology for secure storage, sharing, and analysis of data
An organization’s data analytics strategy should be able to improve its business operations and become more mature with time. Also, they should be able to make the right decisions using the meaningful information provided through data analysis. According to the Gartner Analytics Ascendancy Model, an organization should aim to move from using descriptive analysis to a diagnostic analysis, then to predictive analysis and finally to a prescriptive analysis. In this way, the data analytics strategy will transition from making decisions based on hindsight to insight and then to foresight. Thus, developing a good strategy ensures that the information collected by organizations is optimized to produce good results.
Steps to Develop a Data Analytics Strategy
Data analysis and having a data analytics strategy are not restricted to a particular industry. Modern organizations in Healthcare, Education, Ecommerce, Marketing, Professional Services, and SaaS (Software as a Service) industries believe in using a well-planned DA strategy. These organizations either have their own analytics team to plan and implement the data analytics strategy or they outsource it to an agency.
There are two components of a data analytics strategy, the first is planning and the second is implementation. The planning component involves understanding the need of the organization and its nature as well as the frequency of information they want to collect. The implementation part includes secure collection, storage, and evaluation of the required information. Therefore, before creating a DA strategy, organizations need to evaluate their business need and understand their significance.
Listed below are some steps that organizations can take to develop a good Data Analytics Strategy:
- Define the business need and the problems associated with achieving it.
- Identify the key stakeholders and make them understand the need for creating a DA strategy.
- Research the current market trends including other organizations having similar objectives.
- Create a data acquisition plan and a strategy suited to the present needs.
- Prioritize metrics that are the most valuable and map out the strategy in reverse.
- Integrate the data analytics strategy and the roadmap in daily operations.
Data Analytics Strategy is an important component of any data-driven business enterprise. Our Data Analytics Consulting Services helps organizations in aligning their business needs with data analytics. With the help of our consultants and expert advisors, business enterprises can successfully implement the data analytics strategy that best suits their business needs. This will ensure organizations are able to make informed decisions about their business operations and successfully achieve their organizational objectives.