Operational Analytics

Why Operational Analytics Would Be a Big Deal for Businesses in 2019

As more technologies are introduced for businesses to leverage for growth and improved performance, the importance of using

As more technologies are introduced for businesses to leverage for growth and improved performance, the importance of using data wisely comes into focus. Modern businesses generate tremendous amounts of data that hide many insights that could be of great benefit to the business’ progress. Therefore, businesses today have to figure out not only how to protect and secure this data but also to use them for benefits.

Before big data gained a foothold, businesses simply focused on customer experience & satisfaction as the best approach to grow faster. Now they realized the secret to accelerated growth lies in the data they generate. There has also been a shift in focus from customer-focused processes to operational performance improvements. The data from operational processes can be analyzed to help businesses tweak their approach to faster growth from the inside out, instead of investing lots of resources in how they appear fine to their customers.

The principle is rather simple really.

If you are good inside, you will be great outside.

In this blog, we will explore why operational analytics would be all the buzz in the coming years and how operational analytics can benefit modern businesses.

The Many Merits of Operational Analytics

More profit

Identifying and reducing unnecessary expenses is a good approach to increasing the profit margin. This is one of the primary goals of any business today. They can do this better if they look into their data. Operational data analytics helps businesses identify areas that need improvements and processes that need to be streamlined. This contributes to reducing expenses while improving efficiency, subsequently resulting in higher profits.

In 2017, Capgemini Consulting published a Whitepaper with their research on operational improvements and their benefits to organizations. The research had found that over 70% of the surveyed companies were more focused on operations than consumer experience. The research also found that operational improvements can lead to a raise in profits to exceed $115 billion globally every year. Customer analytics can drive only about $38 billion yearly in profits according to the report.

Better decision-making

Many companies often rely on reputed consultancy firms to make big decisions. If the business is willing to pool the resources they invest in consultancy companies to operational analytics, they can make decisions themselves; a more cost-effective approach indeed. Proper data analytics helps businesses make decisions quickly and even proactively.

Competitive edge

The advancements in Artificial Intelligence and Machine Learning opened up new possibilities for analytics and improved data analytics accuracy significantly. Big data analytics is known to grant competitive advantages for businesses provided it’s fed operational data instead of customer data. The results would help them save money and make better, more profitable investment decisions.

More satisfied customers

This may sound counterintuitive when this blog is all about shifting focus from consumer-centric processes to operational analytics. Investing in operational analytics does come with benefits for the business’ consumers as well. Without operational analytics, it may take a while for businesses to identify customer experience pain points or the factors that are causing the drop in customer satisfaction.

Data can speak faster with operational analytics enabling businesses to identify performance issues and fix them right away leading to improved customer satisfaction and more satisfied customers.

Holistic view of data for easier data management

Operational analytics grants a business’ stakeholders a holistic view of the business data facilitating more efficient data management in the process. It’d be easier to identify system issues in real-time and to devise an appropriate data security strategy as well. One other great advantage is that the stakeholders will be able to discover the interrelationships between certain networks which means root-cause analyses (when necessary) would be more efficient and faster.

More employee engagement

With all the data stored in a central repository, it can be shared with the employees as well to gain insights from them. This way the employees will also be empowered to contribute more to the company’s growth and success. The approach essentially encourages collaboration wherein all the teams in the entire organization will work synchronously for the company’s success.


Operational analytics is still seen as a new concept by many organizations that are still focused on customer-centric improvements. There evidently is a shift in trend but organizations need to keep in mind that operational analytics isn’t something that delivers great results overnight. It takes time as there are many factors involved including the issues associated with data silos, accessibility issues when it comes to third-party data, and the lack of mandate from stakeholders. Nevertheless, this is the right time to see what your company’s operational data is hiding and how you can leverage those insights to soar higher with changing times.

AOT can help you analyze your operational data with robust, bespoke analytics solutions with cognitive capabilities. Let us know if you are ready to give operational analytics a go this year.

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