Four ways to drive ROI from data-driven transformation
Every business is now attempting to become a digital business so they can stay relevant in fast changing market places. Underpinning their ongoing digital transformation is the need to leverage data to drive ROI from transformation investments.
The clearest returns are from the insights that foster innovation and create a competitive advantage. We’re also seeing many businesses realise their data itself can be monetisable as products. So, where should companies be looking for the biggest returns from their data-driven transformation?
1.Increased brand value through improved customer experiences
By bringing together previously siloed customer data across sales, marketing, and customer service operations, digital transformation enables businesses to create a holistic 360° view of their customers. They then use analysis tools to understand the interactions that make up their customer lifecycle, and design more efficient and effective campaigns, promotions and experiences that are personalised to each customer.
2. Lowered costs through optimised operational performance
By getting 360-degree visibility into manufacturing and supply chain processes, businesses are revolutionising their product performance and minimising errors that lead to a poor customer experience in logistics. By eliminating duplication and identifying procedural bottlenecks, they’re using analytics to minimise spending and eliminate waste. Managers are more empowered to make projections and improve cash flows.
3. Uncover new revenue streams and product ideas
By uncovering new insights about the data they collect, businesses are creating new revenue streams through data-as-a-service offerings. By tapping into new data streams from IoT and analytics, these businesses can look for creative ways to produce proprietary data streams for customers and partners. New revelations about customers also enables businesses to create entirely new product categories and services.
4. Spotting, mitigating, and eliminating risks in faster timeframes
By getting faster insights into the internal and external factors that lead to risks, managers can make smarter decisions about the best steps for mitigating and reducing those risks. Global KPIs allow manufacturers to monitor and eliminate the factors that cause production risks. By combining historical market and supplier data with geo-analytics, companies can reduce their exposure to large-scale investment risks.
To achieve any or all of the above, your business needs a well-governed way to bring all of your disparate data together for analysis by key personnel in every department. You will also need an end-to-end analytics platform that empowers every employee to explore your data to make discoveries that matter. But as the points above show, an investment in such a platform offers a dazzling array of avenues for discovering ROI.
About the author:
As the Founder and Director of Velocity Business Solutions, my team and I work as collaborative consultants to help our clients utilise world-leading data analytics and visualisation tools, while also offering a range of services including deployment, education and ongoing support. If you are currently working with or exploring data analytics, and would like to learn how you can begin transforming your business, please feel free to get in touch with me at [email protected].