The connected nature of modern businesses has had a profound impact on how the top management tiers think. Before the advances of Cloud computing and Big Data, CIOs generally tended to view their businesses as a one-dimensional structure instead of multiple complex systems being at play.
The age of information has changed the way businesses are run. The modern CIO is enlightened on all fronts of technological advances and emphasises BI and analytics. In case this enlightenment is absent, the company’s chances of falling behind the competition are high.
Hence, most CIOs are catching up on these 2 buzzwords- BI and analytics. Here are 5 principal reasons why.
Why are BI and analytics so important?
There is a deluge of data which are fuelling modern businesses. Without the helping hand of BI and analytics, it would be overwhelming. Mercifully, these technologies exist for a reason- to sift through the noise and find the right chord. This musical metaphor is also true for business analytics.
- Data remains big business, needs better analytics
Data is the new oil. Industry leaders have latched on to this issue as they have realised that customer data could yield unforeseen information into what drives them, how they reach decisions, how they intend enterprises to view them and so on. The privacy concerns about the end-use of data have made the collection process a tad tougher but it is still on-going. Once collection is complete, collation is required. Enter BI.
- A connected world needs more analytical insights
When you reach your workplace, you log on to the Internet. During the day, you are mostly online. When you head home, you are still looking at your smartphone. This love for all things digital has yielded a ripe minefield of data for corporations. We leave a trail behind us, and Business Intelligence and analytics can help make sense of it.
- The omnipotent Cloud and its impact on BI
With Cloud technologies entering the mainstream, there is no dearth of storage space. The Cloud will drive rapid development of analytics, will drive down the escalating budgets of data analytics and BI, and will also provide a new range of tools to the CIO. Once these new toys are in the right hands, it is expected that we will solve old problems with new methods. And there is no doubt that analytics is the most potent of this new arsenal.
- Analytics has grown rapidly
Recently, BI and analytics have witnessed significant strides in terms of efficiency and reliability. They can spot trends on time, and can make business predictions a lot easier. This means a lot of competitive advantage, something that every firm desires but few attain. Business Intelligence also means learning from rivals, and then using certain ideas depending on specific needs. Analytics can help expose any secret methods which such rival companies might be using.
- Users need information 24*7, and BI is key
This can partially be attributed to the consumerist culture. However, to stay relevant, businesses must also remain online all the time. This ‘always open’ approach is not possible without involving data and intelligence gathered from analytical tools. People look at YouTube videos, engage in social networking and check out sporting statistics- thereby remaining online most of the time. The proper usage of analytics can grab their attention. This is also when Business Analytics come into proper play.
It is thoroughly unremarkable that CIOs are engaged so often in the newest BI and analytics trends. Their job is to keep the company ahead, and these techniques are useful in this aspect.