How to transition from data that meets a need, to data that brings to light a fact and an action?
In a short and incisive forum on the excellent Decideo, Abed Ajraou, Data & Insights Director at First Utility, does not mince his words. Many decision-makers only understand Business Intelligence to be intelligence derived from dashboards and reporting. Now, Big Data must allow a revival of business economics. Big Data is a question of survival. Reporting a photo of a bygone present. Dashboards are to Big Data what Minitel is to the internet.
How could we think anything could disrupt the dashboard, this modest, regular report except for reality? Do these pie charts, these histograms and these stereotyped and limited KPIs not allow managers to find their way in stormy weather? In the digital era, only a data driven company drawing its conclusions from data, will find levers for growth and optimization through analysis of this data.
Think, analyse and share data!
In leaving the comfort zone of the dashboard, managers are facing a mass influx of data generating a theory of questions with varying degrees of relevance. The guiding principle: the company’s economic interest. Always remember that it would be completely counter-productive to want to explain everything if these explanations bring no economic interest to the company.
Abed Ajraou sets out elements that allow data to be proactive and bring value to the company. Here are three examples:
- Test things out by surrounding yourself with adventurous people. Like the Lean Start-Up method, you need to iterate with versions that are simple and variable, but which allow you to validate the analysis at a lower cost.
- Analysing data allows you to transition from theory to explanation. But you must also give the analysis a business power. In fact, if this analysis is well-founded and there is no way of putting it into practice, why would you have devoted time and money to it?
- Avoid post-hoc fallacy. While there may be a correlation between the number of stork nests and human births, this does not mean there is a causal link.
You can find the complete list by reading the article on Decideo: click here
* Today, it is essential to understand how to leverage “Big Data” as part of a procurement analytics strategy. Watch this webcast with experts from Ardent Partners and Endo Pharmaceuticals about how the rise of analytics is impacting procurement organizations. Like what you see? Tweet us @determine or contact us and let us know!