Advantages And Disadvantages Of Analytics

Considering this evolution, "in the past, analytics was reserved for back-room deliberations by data geeks generating monthly reports on how things are going. Today, analytics make a difference in how the company does business, day by day, and even minute by minute". (Hackathorn, R., 2013).

Just like in baseball there are large and small businesses. Businesses have to make decisions, decisions that will help the business in the long run. By using analytics business can measure their performance to know where they stand financially and economically. Numbers are very important in a

The analytics software is the useful tool and great supporter for organization to reduce workload, increase the productivity and create competitive advantages. The analytics software helps organization knows exactly what customers want and their purchasing power, which will assist the company makes best decisions whether big or small every day. What is more, the analytics software works like an effective predictor, which will help organization look forward to the future scenario and make the best plan. Also the software is the key business enabler

The concept of Business analytics is a component of business intelligence, it has evolved in recent years and now in the for front center of business. With the growth of technology and the continuing improvement

Data analytics is the science of examining raw data with the purpose of drawing conclusions about certain information that is drawn from the data. By gathering data, it must be captured and reviewed then it can be turned into information. There are different types of analytics such as descriptive, diagnostic, predictive, and prescriptive. Descriptive analytics will describe, what happened during the process. Diagnostic analytics describes, why did it happen. Predictive analytics describes, what will happen. Prescriptive analytics describes, how can the process happen with a different approach. By applying these different types of analytics, it will answer several questions during the auditing process. Involving analytics to a process it requires

Business analytics is done in real time so no wastage of time and results are generated for faster decision making.

Business analytics would offer efficiency to the firm whereby it would formulate decisions to help achieve its specified goals. Analytics would help TecWiz to gather data at a faster rate for presentation in a visually appealing way. Therefore, analytics would encourage a

Stage 4, Analytical Companies – Analytics have been applied at an enterprise-wide level and are being used to drive decision-making, performance, and innovation, but results may not yet have been realized

In the New Science of Winning book, (Davenport & Harris, 2007, p.7) analytics is defined as “the extensive use of data, statistical and quantitative analysis, explanatory and predictive models, and fact-based management to drive decisions and actions.” [1]. To be successful in today’s competition, my current employer, DLL Financial Solutions Partner (DLL), is competing on analytics and fully aligned its core strategies to be supported by extensive statistical and computer based decisions. DLL is a global financial services company with operation in 36 countries, and its main focus is in the commercial equipment finance sector. In the following paragraph, I will explain DLL’s position in the industry and its ability to successfully compete on analytics with regards to its core business functions.

Data Analysis is defined as "Procedures for analyzing data, techniques for interpreting the results of such procedures, ways of planning the gathering of data to make its analysis easier, more precise or more accurate, and all the machinery and results of (mathematical) statistics which apply to analyzing data. (Statistician John Tukey, 1961)” In general, Data Analysis is used to check the validation of the vaguely collected data in terms of variations and profitability. However, if Data Analysis is not used we cannot obtain the accurate, factual and optimum solution of the given challenge. Data Analysis tools helps us to understand the question and produces answer in a detailed space. It also helps to find the gaps between data such

There are many ways that organizations are able to leverage the power of predictive analytics. One of the more popular ways is through their current SAP software. SAP has been one of the premier enterprise software tools and now has made its way into the predictive analytics side. The ability of the software to work with the current data environment is able to save both time and money. The current software has the capability to perform five forms of analysis including: Time series analysis, classification analysis, cluster analysis, association analysis, and outlier analysis. In the time series, analysis of historical patterns are used in the known data to make predictions about future values (MacGregor). Classification analysis tries to predict a variable using the data of other variables that you believe affect the values of the variable that we are trying to predict. Cluster Analysis groups the data into clusters or segments that have similar attributes which is often useful when trying to understand subsets of larger data. Association analysis looks at the association of different things, with an example being if a customer purchases this product what other product are they likely to buy. Finally an

According to Competing on Analytics: The New Science of Winning, the critical value of analytics is important in today’s forward-looking enterprises, especially in a new data age. Every company and organization should strive to become an analytical competitor. Competing on Analytics reveals how companies think about their data and their exploitation of that data. Also, it highlights how companies such as the Boston Red Sox, Netflix, Amazon.com, CEMEX, Capital One, and Harrah’s Entertainment use analytics to build their competitive strategies and make better decisions in the severe competition. These companies and organizations use analytics to identify the most profitable customers, accelerate product innovation, optimize supply chains and pricing, and leverage the true drivers of financial performance.

In broad terms, data analytics is the process by which any company collects information about its targeted consumer-base, makes sense of the data collected, and based on the resulting assessment of that data, enables business management to determine if change is necessary to better reach the customer. While that description may seem simple enough, the means by which that data is collected has radically changed in the last twenty years and in which a new era in data analytics capabilities as emerged. Not long

Secondly, predictive analytics not only use statistical algorithms and forecasts on historical data but also anticipate likely situations to plan ahead. The means of these predictive models differs depending on their behaviour and future events but the aim is to go beyond reporting what has happened in providing the best assessment of what will happen. Data mining is an important component that tends to identify trends, patterns and relationship. They largely depend on statistical models and multivariate analysis techniques. Thereby decision making can be streamlined and new insights can be revealed leading to better decision making. Organisations are adapting to predictive analytics for competitive advantage. They are used in identifying trends, understanding customers, enhance business performance, predict behaviour and drive decision making. (SAS and Nyce)

Business analytics is different to Business intelligence which also uses statistical methods. Business analytics uses statistical methods and data to arrive at fresh understanding and illumination of a situation, whereas business intelligence uses statical data to serve as querying, reporting or alerts. Business analytics, therefore, is, one may say, the detective side of business using the statistics to develop and progress the business or direct it in new directions rather than revamping it with existent and supportive data. Business intelligence, in other words, uses the data to inform stakeholders and others what is occurring with the business, what the action is, and what steps are being taken.