Talk of big data and business analytics seems to be all the rage these days. Still, many companies are hesitant to use it because they have preconceived notions that it’s too complicated or doesn’t apply to them.
The reality is that many of these business analytics myths that stop companies from leveraging their many capabilities couldn’t be further from the truth.
This article will dispel some of the most common misconceptions about business analytics and show you how easy it can be to get started!
#1: Business analytics is only for big companies
Reality: Anyone can benefit from business analytics – it’s not just for big businesses! In fact, small and mid-sized companies can often see the most significant improvements because they have less data to work with and can more easily identify patterns and trends. Data collection and management can be tricky! Big companies don’t always employ best practices and keeping an eye on everyone involved in the process can be difficult across divisions.
By understanding and utilizing data, businesses of all sizes can make better decisions, improve operations, and find new opportunities for growth that can take them to the next level. Also, smaller businesses are agile and can make quick decisions to adapt to changes in the marketplace, which is why they can make the most of the data they have.
#2: Business analytics is all about the quantity of data
Reality: While business analytics does require some data to work with, you don’t need a huge amount. Actually, some of the most exciting and impactful projects require only a small amount of data.
For data-driven decision-making, the key is to focus on quality over quantity. The best business decisions are based on accurate and up-to-date information, not simply on the sheer volume of data available. Therefore, the focus should be on acquiring high-quality data and then using it to generate insights that can improve decision-making and lead to long-term success.
#3: You need data scientists on staff to be able to use business analytics
Reality: Contrary to popular belief, you don’t need to be a data scientist or an IT expert to use business analytics. Business analytics can be useful for people in a wide range of roles, from sales and marketing to product development and customer service.
Many businesses find that non-technical employees are often the best at using data to find new opportunities and solve problems. This is because they’re more familiar with the business’s day-to-day operations and can see things from a different perspective. Pairing technical analysis and practical intuition can be very powerful.
By training employees on how to use data effectively, you can tap into a whole new level of creativity and innovation within your organization and gain insights that would otherwise be hidden in piles of raw data. And with the help of intuitive business intelligence tools, you can easily turn those insights into actionable plans.
#4: Business analytics is expensive
Reality: One of the biggest myths about business analytics is that it’s too expensive and out of reach. This simply isn’t true. Sure, some business intelligence tools come with a hefty price tag, but nowadays, there are many more affordable options out there with the increased availability of data. Not to mention, the cost of storing data has plummeted in recent years thanks to the proliferation of cloud storage services, as has the cost of gathering data, with the widespread use of mobile devices and interconnected apps.
So there’s no need to break the bank to get started with business analytics. All you need is a willingness to dive into the data and explore what it can tell you about your business and customers. You’ll be surprised at how much you can learn without spending a fortune.
#5: Business analytics can replace the need for humans
One of the most common fears about the rise of business analytics is that it will result in the loss of jobs. As machines become better at analyzing data, many fear that certain jobs will no longer be needed. However, this is far from the truth. The truth is that business analytics can help create new employment opportunities.
Business analytics is a tool that can be used to support and supplement human judgment, not replace it. Analytics can provide insights that humans may not be able to see, but it still requires human judgment to interpret and act on those insights. By providing insights that would otherwise be unavailable, business analytics can help companies make better decisions and allocate resources more effectively. As a result, businesses can become more efficient and profitable. Far from being a threat to employment, business analytics can help create new opportunities for work and new growth.
What’s Next
Are you ready to start using business analytics in your business to gain a competitive edge easily? We’re here to help! We have a team of experts that have dedicated themselves to building the world’s largest healthcare business intelligence engine on the US Healthcare economy.
Chronicle Health can help you cleanse, unify, and act on your business’s data. If you’re interested in learning more, let’s schedule a demo!