steve burnstone - data analytics: building a competitive culture
TRANSCRIPT
Steve Burnstone
Data Analytics – Building a Competitive Culture
EMERGENCE Speaker 7 of 17
Followed by
Tristan Bergh
There are huge advantages to using data in your organisation
ONLY 4% OF GLOBAL COMPANIES ARE
EXCELLENT AT ANALYTICS
THESE COMPANIES ARE
Twice as likely to be in the top quartile of financial performance
within their industries
Three times more likely to execute decisions as intended
Five times more likely to make decisions faster
There are major challenges to implement data analytics consistently
What’s the point if you are not turning data into value?
DATA INSIGHTS
ACTION RESULT
ANALYTICAL FUNCTION
OPERATIONAL FUNCTION
Data Value Cycle
What’s the point if you are not turning data into value?
§ Start with low hanging fruit § Are you asking the right questions § Expensive technologies, though
helpful, are not always the solution
§ Creativity is key
DATA INSIGHTS
ACTION RESULT
ANALYTICAL FUNCTION
OPERATIONAL FUNCTION
Data Value Cycle
Get the basics right - The right reports; the right interpretation
Source: Adobe-Analytics
Using data to increase your competitive advantage can mean many things
Are we asking the right questions?
Initially the focus was on retaining the tens of
thousands of low spending people
Found that:
7% of customers
GENERATE 50% of revenue
INFORMATION INSIGHTS
The problem changed from how to retain many low-value clients to how to retain these high-value customers and finding similar profiled customers
An good insight can lead to more questions.
The best solutions solve real problems
Example: Airtime Reseller
Discovery uses interesting metrics to manage its insurance profitability and credit exposure
Women tend to be better drivers BMW drivers are worst/ drive the most aggressively
How are you determining your insights? How creative are you?
What’s the point if you are not turning data into value?
§ Culture of innovation and entrepreneurship
§ Test and learn: Room for failure § Business process agility
DATA INSIGHTS
ACTION RESULT
ANALYTICAL FUNCTION
OPERATIONAL FUNCTION
Data Value Cycle
What’s the point if you are not turning data into value?
§ Team needs to be grounded on bottom line
§ Analytics can be distracting (interesting but not useful)
§ Remember actions need to lead to value
§ Build measurement into tracking of actions
DATA INSIGHTS
ACTION RESULT
ANALYTICAL FUNCTION
OPERATIONAL FUNCTION
Data Value Cycle
Large education provider’s enrolment data wasn’t matching its revenue
Insurance company wanted a single customer view, but the structure of their
database made this difficult
Don’t assume expensive tools will improve your analytics competitiveness…
You need good analysts
Celebrate our geeky-ness
Efficiency of Analysts – Coin flip
Efficiency of Analysts – Coin flip
Steve Burnstone [email protected] 021 460 0440