The ideals and practices of trade and business have transformed profoundly over centuries. Humans have the distinctive character of adaptability. The world has made its transformation to internet connectivity in the 1900s. By 2014 nearly three billion people had internet connectivity. Today the world is more connected than ever before because of social media platforms. It provides an opportunity for businesses to transform their mode of production and access to society. Companies have now information from hundreds of sources about consumers, competitors, suppliers, and markets. Business analytics can use this data to design marketing strategies, increase productivity, manage human resources, and protect against any possible threats with a reduced cost.
Protect from cybercrime
Cybercrime is growing exponentially and has negative effects on the global economy and individual businesses. Cybercriminals are adopting more advanced and sophisticated methods to attack their targets. Research data shows that traditional methods to counter cybercrimes are costly and ineffective. Business analytics has proven to be an effective mechanism in countering cybercrimes. Through analytics, businesses can process and sort out data and identify sources that can cause cyber threads. Companies have access to data about consumers personal information, which is not used in normal operations. This data is normally termed as dark data. With the help of analytics, businesses can identify dark data and use it to prevent their operations from potential cyber frauds.
Logistics
Logistics is the core of the business. A well-managed, planned, and strategic logistics determine the success of a business. The movement of goods, inventories, and supply chain is a cost-intensive process. Analytics, however, provides businesses with a facility to reduce the cost. With analytics, the industry can track machinery, products and services in real-time. Through updated information, businesses are in a position to improve their shipments and delivery mechanisms. In addition to that, with analytics companies are in a much better place to have predictive analysis. Companies can utilise not only analytics for better monitoring of their products but also the external environment. Analytics can be used to get update information regarding markets, weather forecasts, security conditions, and many more factors, so that a business can plan smart delivery mechanisms suitable for each situation. Thus, analytics enables a company to design and implement efficient and effective distribution strategies.
Marketing costs
In an era of expanding global markets and advancement in human interconnectivity, most significant challenge for companies is increased competition. There are millions of new technologies, products, and services designed every day. Securing markets in such conditions is not an easy task; thanks to big data and analytics, there are more solutions to attract customers. Organisations has data in multiple folds about consumer’s culture and behaviours. They can use analytics to design marketing strategies that appeal to consumers. Most of the business investments are made into marketing. But if a business learns to utilise the available information effectively, it can do marketing with a much-reduced cost. Analytics helps catch the words customer use in search engines, what gets the most clicks and views, and where the most significant market lie. Thus, analytics can help design marketing strategies based on the already available data instead of spending tons of money on new market researchs.
HR Management
Human capital is the marker of the success or failure of a business. At the end of the day AI only needs to be monitored and utilised by humans. Therefore, proper human resources management is the backbone of a business. Analytics can come in handy in identifying the appropriate HR required for an organisation. Multi fold information is available to companies regarding demographics, educational institutions and talent markets. By analysing that data, a suitable talent pool can be targeted, hence preventing any additional research costs for recruitments.
Furthermore, employee turnover has a massive implication for business. With access to accurate information, HR policies can be formed for employees wellbeing, thus reducing employees turnover rate. Business analytics, therefore, is very crucial for the recruitment and retention of HR.
Productivity
Better productivity is an amalgamation of good logistics, better human resources, the right marketing strategies and the prevention of any possible threat. Analytics, when utilised to improve all the above factors, will automatically increase productivity. Also, analytics can be utilised to get information about low-cost supply chains and raw materials. Once information about different channels of supplies is accessible, businesses can make informed decisions. Furthermore, by providing real-time data on the production and services, analytics adds value for the output and reduces monitoring costs.
Reduce energy usage
The ideals of businesses are changing rapidly. More and more companies are ensuring their digital presence because it reduces the cost of physical presence, and in a way, adds positively to the environment. Analytic can help reduce energy consumption in several ways.
First, traditional records keeping, which piles up bundles of files in companies, is now replaced with digital records keeping. Decision making for different segments of the business while analysing those digital records is much convenient and cost effective.
Secondly, a company based on the data can decide to implement efficient machinery and services that reduce energy cost.
Analytics helps improve efficiency and productivity in fast time with reduced costs, which adds to a massive energy reduction.
