Companies are all asking themselves one question: what’s it going to take to be successful? It turns out that a lot of the techniques that worked in the past won’t work anymore – lowering prices, etc. Going forward, the only thing that a modern company can complete on is their business processes. It turns out that the CIO plays a very big role in making a company’s processes the best that they can be…
Say Hello To The New Killer App: Analytics
Dr. Thomas Davenport has spent time studying how firms compete. What he has discovered is that the most successful companies have started to use analytics to move ahead of the pack.
Unlike in the past, these successful firms are using analytics across the entire firm – not just in one area. In order to do this, their IT departments are being asked to play a role that they’ve never had to do before. CIOs that are going to be successful in the future have got to understand what is going to be asked of them so that they can provide the company with the analytics support that it’s going to need.
The new use of analytics requires that the IT department be able to support the modeling and optimization that the firm will be doing. This requires building very large warehouses of data and then using it to dive deeper than just calculating average order size or average revenue per employee. Instead, now firms are going to want to know things like who their most profitable customer is, who has the most long-term profit potential, and who is most likely to cancel their account.
4 Sources Of Analytics Success
So what does a CIO need to do in order to create an IT department that will be able to support the company’s growing need for the answers that only analytics can produce? Simple, there are four steps that every CIO must take:
What All Of This Means For You
CIOs will play a significant role in their company’s success going forward. Optimizing business process through the use of analytics is going to be required by every company and the IT department is going to be responsible for supporting these analytics staff and tools.
The company is going to have to change the way that they do business in order to take advantage of the new analytics. These changes are going to impact the company’s focus, its culture, its staff, and its technology.
The CIO will be required to restructure the IT department. The new focus will be on processing the large quantities of information that have been collected and creating results. CIOs who are able to understand the changes that will be required and implement them will be the ones that will lead their companies to success.
- Dr. Jim Anderson
Blue Elephant Consulting –
Your Source For Real World IT Department Leadership Skills™
Question For You: Do you think that the analytics experts should be part of the IT department or should they be somewhere else?
Click here to get automatic updates when The Accidental Successful CIO Blog is updated.
P.S.: Free subscriptions to The Accidental Successful CIO Newsletter are now available. Learn what you need to know to do the job. Subscribe now: Click Here!
What We’ll Be Talking About Next Time
It turns out that there are 3 different reasons why a CIO can end up making a bad decision. We’re going to take a look at each of these hidden decision making traps and show you how to identify them and, even more importantly, how to avoid them…
. It’s all about how companies can use analytics to become more successful.
