Agile Analytics: The Key to Hitting the Bullseye Every Time

'Analytics Last' is a Blindfolded Dart Throw in Business

Think about this: You're playing darts blindfolded. You throw your dart, then you take off your blindfold to see where the dart landed. This is what it's like to leave analytics to the end of your process - shooting in the dark and checking to see if you hit the target afterward.

That's obviously wrong. That's "Ready, Fire, Aim." That's "Analytics Last".

Contrast this with "Agile Analytics", which represents the modern approach in today's data-driven business landscape. It's about strategic planning before taking action. It involves continual assessment of the environment as it unfolds, akin to tracking the trajectory of a dart mid-flight.

It's imperative to adopt agile analytics ASAP and take advantage of this recently emerged opportunity. With the proliferation of generative AI, we have started the advanced analytics revolution. Organizations now realize that analytics are not just something to be tacked onto the end of a project. Instead, they're the essential ingredients that make your business a well-oiled machine.

Within this article, I am hoping you will take steps to remove the blindfold, strategize with your data, continually analyze, and course-correct as needed until you hit your business objectives. Now, that's a bullseye move!

Trying to Build a Business With Analytics Last: A Blueprint for Disaster

Allow me to give you another example. Imagine you're building your dream house. You've spent time visualizing the perfect layout, choosing the right materials, and hiring the best team to bring your vision to life. But what if your team waits until the end of construction to take measurements?

You have already sunk loads of money and then you discover that the living room is too small for your furniture, the kitchen cabinets are higher than you can reach, and the master bedroom doesn't fit your king-sized bed because no one measured anything until the end. Not only does the house not meet your needs, but correcting these mistakes will cost much more time, money, and resources.

It is obviously the wrong approach, but this mirrors what happens when a business waits until the end of a process to apply analytics. Just as measurements guide every step of building a house, data analytics should inform every stage of your business process. If you don't measure and analyze until the end, you risk making costly errors that could have been avoided.

So, remember to take out your 'measuring tape' - your data analytics - throughout your business process, not just at the end. This way, you'll ensure your 'business' dream house' is built right from the ground up.

The Benefits of Moving to Agile Analytics

Traditionally it makes sense that analytics were relegated to the end of the process. There was limited data, measurement processes were immature, and technology capabilities were limited. Nowadays there are no longer any excuses for this. The benefits of promoting analytics are becoming more evident by the minute:

Accelerated decision-making - Agile analytics pave the way for businesses to make faster, informed decisions. By constantly updating and interpreting data, businesses can react quickly to evolving market trends or customer needs. For example, Amazon utilizes agile analytics to offer real-time recommendations to its customers, boosting sales and improving customer satisfaction through personalized experiences. They are incorporating these learnings through an internal network of knowledge-sharing every step of the way.

Improved efficiency - By providing a continuous flow of insights, agile analytics allows businesses to identify and address inefficiencies in real-time. Companies can dynamically adjust their processes, enhancing operational effectiveness. For instance, UPS uses a variety of analytics to adjust driver's routes in real-time.

These include:

• GPS data: UPS uses GPS data to track the location of its drivers in real-time. This data are used to identify drivers who are running behind schedule or who are taking inefficient routes.
• Weather data: UPS uses weather data to predict traffic conditions and weather events that could impact drivers' routes. This data can be used to adjust routes in real-time to avoid traffic congestion or hazardous weather conditions.
• Customer demand: UPS uses customer demand data to predict the number of packages that will need to be delivered on a given day. This data can be used to adjust routes in real-time to ensure that drivers are not overloaded with packages.
• Driver feedback: UPS collects feedback from its drivers about their routes. This feedback can be used to identify areas where routes can be improved.

Through agile analytics, UPS saves millions of dollars in fuel costs by identifying and adapting to the opportunity promptly.

Enhanced customer experience - Implementing Agile Analytics can significantly enhance the customer experience. The agility it provides enables businesses to promptly comprehend and respond to their customers' ever-changing needs and preferences. This results in more targeted, personalized service offerings, and the ability to adapt strategies quickly. Depending on the organization and the nature of the initiative, the application of analytics can occur at various frequencies:

• Real-Time: Top-tier companies employ real-time analytics to track customer behavior and offer immediate responses or solutions based on predictive and prescriptive models. They also monitor performance in real-time to ensure high-quality service and quickly troubleshoot any issues.
• Daily: The most successful businesses often analyze customers' micro journeys on a daily basis to understand shifts in behaviors. This allows them to adjust their campaigns to meet customer needs in a timely manner.
• Per Campaign: Analyzing each campaign enables companies to diagnose what is working and what can be even more effective for future campaigns.
• Weekly/Monthly: On a longer-term basis, organizations analyze performance metrics over weeks and months to understand major trends and measure the holistic success of their customer experiences.
• Quarterly/Yearly: For strategic planning, companies apply analytics on an even longer-term to guide their investment strategies. They assess macro trends over the course of years to decide what direction to take for future growth and where to allocate their time and capital.

Agile analytics inject speed, precision, and adaptability into your business strategy. Instead of analyzing after the fact, you're gaining insights and making adjustments that will benefit your business. This approach also ensures your business creates value for the customer and is ready for anything the market may throw at it.

Navigating the Challenges of an 'Agile Analytics' Strategy

While the merits of an 'Agile Analytics' strategy are undeniable, implementing it can present a unique set of challenges. Let's discuss some of the common obstacles and how to overcome them.

1. Data Overload: With an abundance of data, it can be daunting to determine what is important and what isn't. To overcome this, align your data with your company's strategic objectives. Use your goals as a guidepost to determine what data is relevant and should be tracked and identify Key Performance Indicators (KPIs) to serve as the backbone of your measurement strategy.

2. Skills Gap: Not everyone within your organization may be comfortable or experienced in dealing with data. This can be mitigated through training, education, and hiring. Build a data-literate culture, provide learning opportunities, and consider bringing in new talent equipped with the necessary analytical skills.

3. Siloed Data: Data silos can occur when different departments within an organization collect their own data but don't share it. This can be solved by creating an integrated data platform accessible to all relevant stakeholders. Promoting open, cross-departmental communication is also crucial in overcoming this issue.

4. Resistance to Change: This is often the biggest obstacle in any transformation. To manage this, ensure clear communication of the benefits of an 'Agile Analytics' approach. Involve all stakeholders in the process and celebrate wins, however small, to continue to build momentum.

Remember, challenges are an inevitable part of any change. What matters is how you respond to them. By understanding these common pitfalls and planning ahead to counteract them, you can successfully embed an 'Agile Analytics' strategy into your organization.

Step by Step: Leading Your Org From Analytics Last to Agile Analytics

Embracing an agile approach to analytics is more than just a mindset shift; it's a full-blown transformation that requires planning and change management. In this section, we'll provide a practical, step-by-step guide on pivoting your organization from being analytics-last to "agile analytics". By following these steps, you'll be well on your way to harnessing the power of data from the start and steering your business toward greater success.

1. Leadership Buy-In: Change starts at the top. Your executive team must understand the value of being an analytics-agile organization and commit to this transformation. They should be ready to invest in the necessary resources, like hiring data analysts or purchasing analytical software. How to achieve this? Consider the leaders' goals and present your case for change including the testimony of your internal stakeholders. During your pitch, bring along a trusted partner who will advocate for you and support your case.
2. Define Your Goals: What do you hope to achieve by becoming an analytics-first company? Better return on marketing investments? More efficient operations? Clearer goals will guide your strategy and help you measure your progress.
3. Develop a Data Strategy: Determine what kind of data you need to collect to support your goals. Where will it come from? How will you process and store it? Answering these questions will help you develop an effective data strategy .
4. Invest in Infrastructure and Tools: Depending on your strategy, you may need to invest in new technologies like analytics platforms, data pipelines, project management tools, and business intelligence systems.
5. Educate and Train Your Team: An analytics-first company needs an analytics-savvy team. Invest in training your team in data literacy and analytics tools.
6. Create a Data-Driven Culture: Encourage all departments, not just the technical ones, to use data to drive their decisions . This could mean showing marketing how to use analytics to measure campaign success, or teaching product teams to use data to inform design decisions. A+ if you allocate capital with integrity based on your hypothesis, expected returns, and confidence levels.
7. Embrace Program Management: Move from individual, often isolated projects to coordinating a collection of related projects. This includes coordinating and prioritizing resources across projects, managing dependencies among project teams, and working toward outcomes rather than activities.
8. Celebrate Success: When your new agile analytics approach leads to a win, celebrate it! This will show your team the power of this approach and reinforce their actions. Communicate these wins broadly and continue to build momentum.

Conclusion

Just as an expert dart player hones their aim, a successful business captures the potential of agile analytics to hit its target. Doing so can help you achieve a bullseye every time, just like Mark Rober's dartboard .

When you use analytics throughout the project lifecycle, it's like having your very own auto-bullseye dartboard. Analytics senses your trajectory at every step of the way and helps you adjust in real-time, aligning your tactics with the 'bullseye' – your business goals.

By leveraging data analytics at the start and throughout your business process, you can almost guarantee you will hit your goals while adapting your strategies based on real insights. You'll use resources more effectively, make better strategic decisions, and have precise command over your targets.

So, don't play darts blindfolded. Promote analytics in your business, take careful aim, and win the hearts and minds of your business to take this modern approach to decision-making. It's time to transform your organization into an agile analytics powerhouse and enjoy your success with increased precision and efficiency. Here's to scoring more bullseyes in your business!