For every business to thrive in this competitive race, there is a need for them to make sound and appropriate decisions. Today every business has an analytics team that mines out data from available data and data not readily available.
What does Business analytics mean?
There’s a technical definition of Business analytics given by my Gartner. He says, “Business analytics is comprised of solutions used to build analysis models and simulations to create scenarios, understand realities and predict future sales”.
Business analytics is a combination of skills and technologies used to examine an organization’s data and performance to gain insights.
It is a mixture of fields of management, business, and computer science. The business part involves a high-level understanding and practical limitations in business, while the analytical aspect involves understanding data, statistics, and computer science. This mixture of three fields helps businesses fill the hollow between management and technology.
Benefits of using Business analytics:
Business analytics is the process of assessing the company’s data to make data-driven decisions. It can help businesses in everything from marketing to predicting and reducing business hazards.
a. Informed decision-making.
Not sure how and where to apply a marketing pitch, how to allocate and use the budget, or which product or service needs improvement? This is when business analytics comes into the picture. Business analytics provides qualified and relevant data, which helps and fosters making data-driven and effective decisions. It allows organizations to mitigate profits and losses.
b. Tracking of a mission statement.
A mission statement is a set of values presented to the consumers either as a marketing plan or as the basis of checking in on their development. These values need to be quantified in a tangible way which helps in generating more profit for the company. These values can also help businesses improve their analytical process as it is a common goal that needs to be followed by everyone included in the business. The quantified values are informed to employees, and it gives them a clear view of what is the value to be achieved and what is expected from them. The better they are informed, the more they will become effective and productive.
c. Keeps updated.
Business analysts and business owners can use business analytics tools to study and learn about the recent trends in the market and learn about customer behaviour. The gained data insight helps businesses to be on top of the market and make necessary changes in the industry.
d. Improved customer satisfaction and experience.
Businesses gather data from various sources, including both physical as well as through social media. Business analytics tools will help create extensive customer profiles from this data, which helps study and gain insight into customer behaviour. This helps in providing more effective and improved customer satisfaction and tailored experience according to their needs.
Top 7 Business Analytical Tools:
QlikView is created by Qlik, a business analyst and a software developer company. It is one of the most popular among analysts because of its unique features, such as patented technology and in-memory processing. It allows users to visualize the data in different colours for related and non-related data. It does not require any prior programming experience; just basic knowledge of SQL and VB scripts is enough for analysts to understand this tool. It is best for startups and individual learners, as QlikView offers a free version for personal use.
Tableau is among free and easy-to-learn business analytical tools. It performs an effective job of connecting any data source and creating great data visualizations, maps, and dashboards with real-time updates for the web. All data and maps then can be shared with the client. It comes with a free version of Tableau Visualization software. Like QlikView, Tableau can also be used by non-technical users. It can work on big data as it can handle more data than Excel, and it allows one to download data and files in different formats.
Surprise to many, Excel is one of the most of the least costly and effective business analysis tools used by businesses. No matter which tool you are an expert in using, whether it’s SAS, Tableau, or QlikView, you will need Excel to do grunt work. And sometimes, many users may not have access to other tools mentioned; everyone has access to Excel, making it more approachable. It does the complex task of summarizing data by using pivot tables that also helps in filtering the data of the client. Excel has pre-built options like time grouping and automatic relationship detection.
SAS is a software suite developed by the SAS institute for data management in North Carolina for data management, advanced analytics, and predictive analysis. SAS is one of the widely used analytical tools because of its flexibility in pricing. It simplifies a vast amount of data sets in real-time. It allows users to convert raw data into meaningful information, which helps draw compelling insights. SAS also has added many new and tons of new modules, viz., SAS for IoT, SAS anti-money laundering, SAS analytics PRO for midsize business, and more.
Trello is yet another effective collaborative business analysis tool that uses a Kanban-style approach for managing tasks and data. It helps in collaborating and communicating tasks and data securely among team members. Trello allows viewing team activity across the board. It also provides including of team members from Google Apps accounts. It assigns admin to analyze business data and assigns admin for privacy settings management. With the help of Trello, a business analyst can easily track the status of the project.
Prototyping is the initial and essential stage in gathering information as it helps in confirming the customer requirements. The prototyping tool helps this task to get easier. The pencil is a prototyping tool that is free to use and an open-source tool for creating mockups. The pencil can be downloaded and used locally. It comes with a simple interface that allows analysts to drag and drop elements to create a screen. Any inputs and changes based on customer feedback can be incorporated into this tool, ensuring the best product outcome tailored according to customer needs.
Splunk technology is a San-Francisco-based company that is well-known for creating machine-generated data. It started as ‘Google for log files, which means its primary use was to process machine log files data. But now, Splunk has great visualization options and a web interface. It captures, indexes, and finds a co-relation between real-time data. There is also Splunk free available, which includes all its enterprise features for two months, and it also allows users to index 500 megabytes of data per day.
Edited by Prakriti Arora