Impact Of Business Analysis in Becoming A Data-Driven Organization, Part 1 of 2
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Business data analytics is an emergent game changer 20 years in the making. Globally, $200B is being spent on data analytics projects, making it one of the hottest areas of technology as executives strive to become more data-driven. Research shows that business analysis professionals, working in concert with data science, business leadership, and technical teams, are the backbone of the cultural shift required to transform into a high performing data-driven organization.
In terms of capability, companies have treated data analytics as purely a data science or technology initiative, rather than seeing it as needing to be anchored in business value creation. This has created gaps in execution and false starts and has led to a significant waste of time and money. The results to date have been underwhelming – close to 90%1 of initiatives do not go beyond pilot. Of those that do, half of them fall short of expectations, and 22%2 are considered outright failures.
“The project fails or succeeds depending on what the question is being asked. You may have a great analytics tool but if you aren't asking the right question in the first place, it will provide no value at the end of the day.”
- Dr. Mark Griffin, chair of IIBA’s Business Analytics Special Interest Group (SIG) and Founding Director, Insight Research Services
IIBA® research shows that closely following a key set of Business Data Analytics (BDA) practices lowers failure rates and having business analysis professionals lead these steps further improves the overall quality of analytic activities.
See more in the infographic below created with important findings from Achieving More with Data, Business Data Analytics Survey, IIBA Global Research, 2021:
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There is a core strength of value creation in business analysis professionals, which stems from uniting the stakeholders, identifying business challenges, and matching these with solutions. And business analysis professionals are delivering results. High-performing organizations are using business analysis 190% more frequently to direct their analytic initiatives and indicate 65% ROI or higher than average. These businesses closely follow BDA practices, outperform their peers in turning insight into action and in building a data-driven culture.
BDA practices measured in the research are built in conjunction with IIBA’s Guide to Business Data Analytics, and are:
- Build a Data Culture and Trust in the Data
- Influence Decision Makers and Drive Action
- Ensuring Accurate, Quality, and Accessible Data
- Redesign Workflows to Integrate Analytics in Business Processes
- Properly Identifying the Business Problem and Opportunity to Address with Data Analytics Projects
- Understanding, Verifying, and Reporting Results
Organizations that understand what needs to be done for successful business data analytics initiatives commit to a high degree of integration between the business, technology, and data science; this integration works best when business analysis professionals lead key data analytics practices.
Having Business Analysis Professionals lead BDA practices lowers failure rates, increases ROI, and is central to transforming to a data-driven organization.
Download Achieving More with Data Summary Report to learn more about the critical role business analysis professionals play in the transformation to a data-driven organization.
IIBA’s Global Corporate Program provides the support and resources organizations need to build business analysis capabilities and drive professional development and growth in support of data analytics initiatives.
To learn more, fill out the form below to speak with a Corporate Program Manager.
- The Importance of the Business Data Analyst Role on a Project Team
- Building Your Business Data Analytics Team
- Why Research Is Essential in Tackling Challenging Business Problems
About The Author:
Keith Ellis brings to IIBA more than 20 years of leadership experience including roles as CEO, COO, board member, investor, and mentor to various companies. He has experience with IDC, CGI, IAG Consulting, EnFocus Solutions, and Anow, among others, and co-founded and sold Digital Mosaic, a business analysis company. A recognized voice in the business analysis community Keith has published and spoken extensively with the Enterprise Architecture Symposium, Business Analyst Times, Modern Analyst, and other outlets in the field in addition to his contributions to IIBA.