A recently concluded research shows that two out of three, or over 75 percent, of companies in the Philippines are more improved in terms of business outcomes because of the use of analytics.
Information technology-outsourcing firm Accenture said in its research titled “Analytics in action: Breakthroughs and barriers on the journey to business outcomes in Southeast Asia” that two-thirds, or 68 percent of Filipino companies who were respondents to the study have “satisfied business outcomes driven by their analytic investments.”
Also, the research noted that the use of analytics can lead to improved business outcomes.
“Majority of Filipino companies said they see tangible business outcomes with the use of analytics in the development of new products and services [78 percent] and customer retention and acquisitions [74 percent],” Accenture said.
The firm also said that majority of the Filipino senior executive-participants of the study said that data strategy in analytics established formal data collection and sharing protocols (82 percent) and return on investments (80 percent), which are beneficial for companies.
Though the study indicated positive results of analytics in business, 89 percent of Southeast Asian executives who use analytics in their businesses are still “not deeply ingrained” into using analytics on an integrated, enterprise-wide approach.
The Association of Southeast Asian Nations (Asean) had 96 percent of its businesses adapting analytics in their processes, while United Kingdom had 86 percent and United States with 85 percent.
The study implied that Asean countries, including the Philippines, still need to fully practice analytics in business to increase value and improve decision-making in companies.
“Effective analytics programs are built . . . to establish top management commitment and disciplined processes that ensure valuable insights and clear recommendations. [Also], companies should use a ‘build, buy and partner’ strategy to source skills, given the supply constraints. Finally, they must apply technology that ensures data integrity, quality and accessibility,” said Nils Michaelis, Accenture Analytics managing director for Asean.
He said that Asean organizations which integrated analytics into their decision-making process improved their evaluation of new market opportunities (89 percent) and development of new products and services (87 percent).
“As simple as it may sound, having the right people, focused on the right set of problems, is one of the most important components of an effective analytical capability,” Michaelis said.
“The biggest talent imperative for Asean companies is to establish a future-oriented sourcing strategy and structure for accessing scarce skills. Increasingly, this sourcing strategy will have to include the ability to scour the globe for the necessary talent and integrating them into the organization,” he added.
Though analytics is viewed as positive for businesses, Accenture said that 67 percent of Asean companies cited challenge of deriving outcomes from the overall quality data they obtain through analytics.
But the firm said that analytics is a way for companies to move from issues and insights to decisions, actions and an ultimate measurable outcome.
“Leading companies are creating a virtuous feedback loop that allows them to collect data, analyze the data, harvest insights, make decisions and then respond with agility,” Accenture said.