Analytics: How do we measure our value to stakeholders?
According to research by McKinsey, analytics applied to retail organisations can drive margin improvements of 0.5 to 1.0% in four major areas. Other real-world businesses can expect to see similar uplift. Much of this is the result of optimisation through deep data dives which reveal inefficiencies and bottlenecks in processes that occur thousands of times or involve millions of items of stock.
While this is likely to be true of some processes in other sectors, the impact of analytics is not always as obvious. Even in the sectors above, process owners do not always want to acknowledge the gains they have made as a result of improved models.
So how do analysts demonstrate that their work is delivering to the bottom line, or claim their share of the improvements when these become visible in financial terms.
This breakfast briefing will provide an open forum for examples of benefit recognition and financial modelling that support the continued investment by companies into their analytics functions. It will address one of the most basic demands the financial director is likely to ask of this area of the business - show me the money!