Data Analytics: Significance, Utilization and Predictive Analytics

Running head: DATA ANALYTICS 1
Data Analytics
Name
Institution

DATA ANALYTICS 2
Table of Contents
Executive Summary.........................................................................................................................2
Introduction......................................................................................................................................3
Significance of data to organization................................................................................................3
Utilizing data to make predictions...................................................................................................5
Unemployment Data analysis......................................................................................................8
Recommendation for future use of data...........................................................................................9
Conclusion.....................................................................................................................................11

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Executive Summary
This reports is structured to offer insight of the significant aspects that influence
information comprehension in business context. Businesses are required to make information
from time to time. Hence, business executives need to make informed decision which are backed
by substantial data. This structure of presentation makes it easy for leaders to follow a particular
trend which are crucial in making better decisions for their firms. Therefore, the report focuses
on presentation and organization of reports, significance of data in organizations, predictive
analytics as well as provided recommendations for businesses on how to maximize the use of
data analytics to improve the performance of their business.
Introduction
Data analytics is a significant area that has emerged in the recent years as a result of
advance in technology such as internet. The digital world has made it possible for technology to
capture vital data that can be used in various industries (Wamba et al, 2017). For instance big
data has made it possible for various industries to analyze data and be able to predict about future
events with precision.
As a result, the industry is growing and has immense potential for businesses. However,
the data is meaningless if there is no way to interpret the data. This has since led to a new field
that is referred to as data analytics. This field is significant because it helps businesses sift
through data to get information that can be used to make informed decision regarding
performance of a business. The following topical areas are significant in understanding the
significance of data analytics to businesses.

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Significance of data to organization
The modern environment of business is data-driven as a result of relying on systems that
are able to capture data from customers. Various types of data can be significant to business
people because they facilitate business leaders to make informed decisions. These decisions as
based on facts, trends and statistical inferences (Umar & Hassan, 2018). However, there is so
much information out there that businesses need to examine in order to evaluate which
information is significant and how it can be used to develop a strategy for growth of a firm.
Majority of businesses rely on data to make various decision regarding operation of their
businesses. The human resource departments often gather information from various online
sources in order to understand the people that they are hiring. Besides, the marketing department
also relies on data from the market in order to make decision regarding their target market and
market segmentation for different products (Bansal, Kim & Wood, 2018).
The data used by marketers can be significant in scaling the sales of a firm. In other
cases, the executives in business rely on large data sets in a given market such as changes in
prices, shipping and production in order to make strategic objectives. By ensuring that an
organization maximizes the use of data effectively, the organization can be in a position to
stream line its process by guaranteeing that the production will be efficient and the products will
be accepted by the target consumers.
This approach helps a company to reduce the cost of advertising unlike traditional
marketing which did not rely on data. In the past, companies ended up paying huge sums of
money which could not be quantified as a result of lack of data for making analysis. Therefore,
relying on data helps to increase a firm’s profitability position. Today, managers of various