Six realistic business cases for big data utilization

Six realistic business cases for big data utilization_Data Analyst Examination

Big data is changing the competitive landscape of the market. And those companies that can make full use of big data analytics are often able to deliver products and services to the market faster and better maintain consistency with customer needs and desires. In 2014, a survey by the research company Gartner found that 73% of the companies surveyed had invested in big data or planned to invest in big data projects in the next 24 months; in 2013, this proportion was 64% %. Improving customer experience and process efficiency was ranked as the highest priority by respondents.

Improving customer experience is happening both online and offline, with data collected from smartphones, mobile apps, POS systems and e-commerce websites. With companies able to collect and analyze more and more types of data than ever before, what companies are doing today and why they are doing it needs to be quantified. Moreover, it is the most flexible means of adjusting one's business strategy to increase or maintain market share. In the execution process, improvements in customer experience help increase customer loyalty and business revenue growth. On the other hand, if companies choose to ignore relevant data, they are likely to lose customers and transactions to competitors who are more agile and savvy with data analysis.

Enterprise process improvement continues to focus on improving efficiency, cost savings, and improving the quality of products or services. Big data can provide deeper insights than traditional systems because it is supported by analysis of more data points and data sources.

Whether the goal is to drive revenue growth, speed time to market, optimize workforce, or achieve other operational improvements, at its core is becoming more proactive and Being less reactive means using predictive analytics to shorten the learning curve.

There are many ways to use big data to enhance and improve business operations. The following will introduce you to six typical cases.

Reducing time to market

Launching a new product or service involves multiple life cycle stages, some of which are easier to accelerate than others. Over the past few decades, drug manufacturers have used clinical trial simulations to speed learning, reduce costs, and reduce unnecessary burden on patients participating in trials. With the help of cloud computing and big data, clinical trial simulations can become more beneficial for manufacturers and patients.

Bristol-Myers Squibb reduced clinical trial simulation time by 98% by extending its on-premises hosted grid environment to the AWS Cloud. The company has also further optimized dosage levels to make the drug product safer and require fewer blood samples from clinical trial patients.

Because clinical trials are highly sensitive to data, Bristol-Myers Squibb established a dedicated, encrypted VPN tunnel to Amazon Gateway and configured a virtual private cloud to enable its operating environment to be compatible with Public customers are quarantined.

Before moving to the cloud, the scientists used a shared internal environment, so it took about 60 hours to run hundreds of projects. Now, each scientist has a dedicated environment, and 2,000 projects can be processed in approximately 1.2 hours without disrupting other members of the team.

After migrating to the AWS cloud, Bristol-Myers Squibb was able to reduce the number of subjects in its pediatric research clinical trials from 60 to 40, while also shortening the study study time by more than a year.

Optimizing the workforce

The human resources departments of some companies are using talent analytics and big data to reduce costs and effectively manage human resources-related issues. Big data helps them effectively select new employees who can better adapt to the company, reduce employee turnover rates, understand the output of skills and labor in the existing market, and determine the talents the company needs for forward development.

Xerox used big data to reduce attrition rates in its call centers by 20%. To do this, you must understand what causes employee turnover and determine how to improve employee engagement.

Improving financial performance

The financial departments of enterprises are no longer just conducting regular reporting and BI work. They are already beginning to use big data to reduce risks and costs and look for opportunities to improve Prediction accuracy. Specifically, they use data to identify high-risk customers and vendors to thwart fraud, pinpoint revenue leaks, and uncover new or more efficient business models.

Recently, the cooperation between The Weather Company and IBM will enable business users to better manage the impact of weather conditions on business performance. According to The Weather Company, weather factors have an economic impact worth $500 billion every year in the United States alone.

This weather data comes from more than 100,000 weather sensors and aircraft, as well as millions of smartphones, buildings and vehicles running on the road.

This data is combined with other data sources from 2.2 billion unique forecast points to produce an average of more than 10 billion real-time weather forecasts every day. For example, retailers can use this data to adjust staffing and supply chain strategies. Energy companies will be able to use this weather data information to improve supply and forecast demand. Insurers will be able to warn their policyholders of severe weather conditions so they can reduce the likelihood of car damage during hail storms.

Intelligent sales

Slightly modifying your company's sales and marketing strategies may have a profound impact on your company's sales performance, especially when analyzed through big data planned modifications.

Imagine a six-week direct mail marketing campaign with a coupon rate of over 70%. According to the Direct Selling Association, the average direct mail return rate is only 3.7%. So how does grocery chain Kroger do it? For one thing, it uses personalized direct mail based on a customer's personal shopping history.

Kroger's customer loyalty card program is rated No. 1 in the food industry. More than 90% of customers use membership cards to purchase products. While there are a combination of other factors that make Kroger's financial performance so impressive, its 45 consecutive quarters of consistent growth can be attributed at least in part to its customer loyalty program.

Minimize equipment and asset failures

Businesses want to avoid unnecessary business disruption and customer anxiety. Sensors are now embedded in everything, and companies can use this data to determine when repairs are needed on planes, trains, cars, and other electrical equipment. Ideally, when a problem has occurred, the company should understand what caused the problem and how it can be solved. It is best to have a professional maintenance team.

Pratt & Whitney, a unit of United Technologies Corp., is trying to reduce unplanned aircraft engine repairs. According to Airinsight.com, today's engines are capable of collecting approximately 100 parameters from multiple snapshots while the aircraft is in flight. By comparison, the new generation of engines is able to collect 5,000 parameters on continuous flights. This process generates approximately 2 gigabytes of data. Using this data, Pratt & Whitney and its partner IBM are able to conduct proactive repairs.

Leveraging Customer Lifetime Value

Today’s empowered customers are more demanding and fickle than ever before. In order to maintain or increase market share, companies need to know as much as possible about their customers, continuously improve their products and services, and be willing to adjust their business models to reflect the actual needs of their customers.

The American car rental company AvisBudget has been committed to this aspect. They increased market share and generated hundreds of millions of dollars in additional revenue by implementing a consolidation strategy. Actively participate in determining customer value segments, provide tiered incentives, and increase customer loyalty. The company's IT partner, CSC, used a model to predict the lifetime value of the AvisBudget customer database and validated its use of multi-channel marketing campaigns and corresponding analytics.

Customer assessment data now combines other data, including the customer’s rental history, service issues, service area demographics, business affiliations, customer feedback and more. Avis Budget also collects and analyzes social media data. The company has a team of social media experts dedicated to brand marketing. The company also recently updated its website to further improve the customer experience, and they are using big data to predict regional demand for fleet placement and pricing services.

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