Business Analytics: Understanding the Need, Current State, Potential Applications, and Limitations

BUSINESS
ANALTICS

Business analytics is today’s business need.
Business analytics is defined as the process of iterative exploration of
business datasets with an intension of statistical analysis.
This can be considered as a information mine for data driven companies
( Evans & Lindner, 2012).
Business analytics provides with insights that help in informed and
optimized decision making for an organization.
 Data are considered as corporate asset for data based companies and are
gripped to gain competitive advantage.
 However the process needs skilled analysts with an idea about business
needs and has technology understandings, proper data quality and relevance
and commitment of the organization for data based decision makings.
 Again there is a subtle difference between business intelligence and
business analytics.
Business intelligence evaluate past data and may be present data as well
and provides an insight about present business conditions but business
analytics concentrates on evaluating past data and present one and provides
an idea or insight about future events.
INTRODUCTION

 Consumer data are increasing exponentially now a day.
 Estimates show that there is a growth rate of 2.5
quintillion bytes of data per day (Paradigm Technology,
2006).
 People have a flex toward social media at the moment.
Consumers are comfortable at connecting their smart
phones, vehicles, houses, smart watches to the
internet devices and also are used to at connecting
them with their friends, families and known peoples
(Holsapple, Lee-Post & Pakath, 2014).
 Social media translates into amazingly detailed data
set that contains information regarding daily activity or
even per minute activity of a person.
CURRENT STATE OF THE TECHNOLOGY

 Business firms are interested at turning data
sources into valuable information sources and
transformation is possible through business
analytics (Kohavi, Rothleder & Simoudis, 2002).
 Data in every case cover diversified field of
solutions. Each field fits to a particular source of
data and to a particular type of insight.
 Business firms which uses analyzed insight in
business decisions gains a competitive
advantage.
 Business analytics is the need and process of
today’s data landscape (LaValle et al., 2010).
CURRENT STATE OF THE TECHNOLOGY