The Current State of Business Analytics: Where do we go from here?
Since the 2007 publication of Tom Davenport’s book, “Competing on Analytics: The New Science of Winning”, businesses have become sold on the notion that they must make use of their data to derive insight. Many organizations have jumped on the analytics bandwagon in recent years. In fact, according to a recent survey by Bloomberg Businessweek Research Services, 97% of companies with revenues of more than $100 million are using some form of business analytics, up from 90% just two years ago.
But while businesses have warmed to the idea of fact-based decision-making, a steep learning curve remains. Only one in four organizations believes its use of business analytics has been “very effective” in helping to make decisions. This is a far cry from the competitive edge promised in all the hype around analytics, clearly raising the question: Is business analytics overrated?
A Bloomberg Businessweek Research Services study, conducted among 930 businesses across the globe in various industries, provides insight into the current state of business analytics in today’s organizations. It also examines the challenges companies face when using analytics, and explores tactics favored by companies who have succeeded in using analytics more effectively than their peers.