Q: How does an organization get started with data analysis? Should it reach a certain maturity level to implement it?
A: Most of the organizations have tons of data and reports. Organizations confuse reports (tactical, operational, performance) with data analysis. Data analysis intends to answer known business questions through data models and to explore unknown business scenarios.
For option one, that is, to answer known business questions, business folks can provide the model or work flow using which data can be mined and get more insights about business. For option two, that is, to explore unknown business scenarios, the business folks, sciences, and analysts together explore data and bring out interesting observations, which when further vetted with industry data, can lead to deeper insights.
Many organizations believe that data analysis is the aftermath of ‘Go-live’. Data analysis products and their features gain high priority and analysis takes the backseat. This will be the case if the company does not have detailed data structures and models to base the data analysis on.
Data analysisis an essential tool given the explosive growth of data happening today. Without data analysis, business may not know what’s working and what’s not: What is fetching them the return for their rupees invested (ROI) and what efforts are just going down the drain.
Data analysis provides guidance needed to sense business opportunities and to ensure growth. It should be treated with equal priority with the other business intelligence system because if you can’t measure what part of the information system is getting the biggest ROI, deploying it is a waste.
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