Last updated on July 25th, 2024 at 02:57 pm
Did you know that by 2025, the world will create and consume 180 zettabytes of data globally? That's 180 trillion gigabytes!
In the last two years, we’ve created more data than in all of history before that combined. That’s a lot of data! And while it’s full of potential, it’s also a challenge for businesses to make sense of it all. So let’s see what it holds for us in the future of business analytics.
Introducing Business Analytics
Business analytics is a broad discipline that uses data to extract insights for better decision-making across all parts of a business. It’s an ongoing process that includes:
Data Extraction
Business analytics starts with collecting data from various sources, internal (e.g. sales figures, customer records, inventory levels) and external (e.g. market research reports, social media data, industry trends).
Recent trends in business are using automated data collection methods to capture real-time data from sensors, internet-connected devices and customer interactions.
Data Analysis
The future of business analytics depends on extensive analysis of data. Once the data is collected, it needs to be cleaned, organised and transformed into a usable format.
This may involve data cleansing to remove errors and inconsistencies and data integration to combine data from different sources. Lastly, data transformation is used to prepare the data for analysis. Business analysts use various statistical and mathematical techniques to analyse the data, find patterns and trends and uncover hidden insights.
Data Communication
The final step towards the future of business analytics is to communicate the insights from the data analysis to stakeholders in a clear, concise and actionable way.
Business analysts use data visualisation tools to create charts, graphs and dashboards to communicate complex information. They use storytelling techniques to present their findings in a way that will resonate with the audience and get them to take action.
The Data Explosion
We’re generating more data than ever before. This is happening at an exponential rate. The future of business analytics is thanks to:
- The proliferation of sensors: Sensors are present in our smartphones, fitness trackers, cars, and manufacturing equipment. They collect data about us, our environment, and the machines we use.
- The rise of social media: The recent trends in business have ensured that social media is used to its fullest advantage. Social media generates a huge amount of data every day. This includes our posts and comments, our likes and shares. Businesses can use social media data to understand customer sentiment, brand perception and emerging trends.
- The growth of the Internet of Things (IoT): The IoT is the network of physical devices connected to the Internet that collect and share data. Tens of billions of IoT devices will be in use in the next few years. This massive network of devices will generate even more data for businesses to tap into in the future.
- Artificial Intelligence (AI) and Machine Learning (ML): AI algorithms will search through massive datasets, find hidden patterns and make data-driven recommendations in real-time. It’s closer than you think. AI and ML will be the foundation of advanced analytics, automating tasks and enabling predictive modelling like never before.
Scope of Business Analytics in India
This part looks at how the future of business analytics is impacting various industries through common characteristics.
Finance
Thanks to financial institutions, the scope of business analytics in India is stretched far and wide. Financial institutions have always relied on historical data and financial models for risk assessment, investment decisions, and fraud detection.
With advanced analytics, you’ll have real-time credit risk assessment, personalised investment recommendations and highly accurate fraud models.
For instance, JPMorgan Chase uses machine learning to analyse customer transactions and detect real-time fraud, reducing financial losses by millions.
Retail
Amazon uses complex algorithms based on customer purchase history and browsing behaviour to deliver highly personalised product recommendations that drive sales. The future of business analytics is all set due to industries like retail. Retailers rely on sales data and customer surveys to understand customer behaviour and optimise product offerings.
Analytics will unlock customer insights from purchase history, social media sentiment and loyalty programmes. Businesses can personalise marketing campaigns, optimise inventory management and predict future demand trends.
Manufacturing
Keeping the future of business analytics in mind, manufacturers use production line data and quality control checks to identify inefficiencies and maintain product quality.
Predictive analytics will allow for proactive maintenance of equipment, reducing downtime and optimising production processes. Real-time data from sensors will allow for more efficient resource allocation and better quality control.
Healthcare
Healthcare providers use patient medical records and clinical trials to diagnose diseases and develop treatment plans. Analytics will enable personalised medicine approaches. Doctors can use patient data and advanced analytics to tailor treatment plans to individual patient needs and genetic information.
Hospitals like the Mayo Clinic are using AI-powered analytics to analyse medical images and identify health risks earlier, resulting in better patient outcomes. All of these also lead to a unified outcome —the future of business analytics.
Education
Learning platforms use adaptive learning algorithms that adjust the difficulty of learning modules based on a student’s progress. Educational institutions use standardised tests and traditional teaching methods to assess student learning and personalise educational experiences.
A good business analytics course will introduce you to these programming languages and teach you how to use them.
Educational institutions can use student performance data and learning analytics platforms to identify where students struggle and personalise instruction accordingly.
Recent Trends in Business Analytics
Business analytics is experiencing a meteoric rise in India, fueled by a confluence of factors shaping the future of business analytics.
- Digital transformation: Indian businesses across all industries are going digital. This digital transformation generates a humongous amount of data, a treasure trove of insights waiting to be unearthed through business analytics.
- Data-driven decisions: Businesses are realising the power of data-driven decisions. By using business analytics, companies can get deeper insights into their customers, optimise operations, and identify new market opportunities. The ultimate goal is to reach the future of business analytics.
- Government initiatives for business analytics: The Indian government is big on data analytics and actively promotes it through initiatives like "Digital India" and "Skill India". These initiatives are creating a culture of data-driven decisions and a skilled workforce to pave the way to a strong and bright future of business analytics in the country.
- Skilled professionals in short supply: Demand for business analytics professionals in India is outpacing supply. This is a huge opportunity for those who pursue a business analytics certification and develop the required skills to succeed in the future of business analytics.
Business Analytics Tools and Software
Here are some of the business analytics tools and software you will come across in your journey:
Cloud-Based Analytics Platforms
Those clunky on-premise data storage solutions are a thing of the past. Cloud platforms like Microsoft Azure Synapse Analytics and Amazon Redshift offer scalable and cost-effective solutions for data storage, processing and analysis.
Businesses of all sizes can now leverage powerful analytics without the hassle of expensive hardware infrastructure, ultimately leading to the future of business analytics.
Data Visualisation Tools
Data is powerful, but it can also be overwhelming. Communicating insights is key to data-driven decision-making. Data visualisation tools like Tableau, Power BI, and Qlik are industry leaders in creating interactive dashboards and data visualisations that bring complex information to life.
These tools help you to convert raw data into clear and compelling stories that can be told to anyone, technical or non-technical.
Programming Languages
While some business analytics tasks can be done through user-friendly interfaces, a deeper understanding of programming languages opens up a whole new world of possibilities
Python, R and SQL are the fundamental tools for data analysis, manipulation and modelling. Python is a favourite among many due to its versatility and libraries specifically designed for data science tasks.
Don't be scared of the coding part —many courses are designed for beginners and focus on building practical data analysis skills.
Resources for Further Learning
To become a part of the future of business analytics, aspiring business analysts can access these resources to keep their knowledge base sharp and expand their skills:
- Books: Go deeper into the data with these great reads:
- "Naked Statistics": Stripping the Dread from the Data" by Charles Wheelan: A beginner’s guide to statistics so you can understand and interpret results without getting lost in the math.
- "Predictive Analytics": The Power of Data and Machine Learning" by Eric Siegel is all about predictive analytics and how businesses can use data to forecast the future and make data-driven decisions.
- Online courses: The internet is full of learning resources destined to fulfil the future of business analytics. Imarticus’s business analytics course is innovative and covers all four parts of analytics — Descriptive, Diagnostic, Predictive, and Prescriptive analytics.
It offers a flexible and convenient way to learn new skills at your own pace. Look for courses that match your interests and career goals, whether it’s data visualisation, machine learning or a specific industry application of business analytics.
- Professional organisations: Surround yourself with like-minded people. The Institute for Business Analytics (IBA), Imarticus, and the International Institute for Business Analysis (IIBA) offer resources, certifications, and networking opportunities for aspiring business analytics professionals.
These organisations can help you with career paths, keep you up-to-date on industry trends and connect you with the future of business analytics.
Key Takeaway
The future is for those who can wield the power of data. Get the right skills with a comprehensive business analytics course like the Postgraduate Certificate in Business Analytics from Imarticus and XLRI. You will be on your way to becoming a data-driven leader.
This programme leads you directly to the future of business analytics. It gives you a solid foundation in data analysis, visualisation and communication and lets you contribute to a better future across industries.
Remember, the journey to becoming a data analytics professional starts with a solid foundation. Invest in your future, explore the world of business analytics with a structured course and leverage the resources to become an essential asset in the data-driven world of tomorrow.
Frequently Asked Questions
- What is business analytics?
Business analytics uses data to uncover insights for better business decisions. It involves collecting, analysing, and communicating data to all areas of a company.
- Why is the future of business analytics important?
The massive amount of data we create can be a goldmine for the future of business analytics. It helps businesses understand this data and use it to outperform competitors.
- How will business analytics in India impact my industry?
No matter the industry, the future of business analytics will likely change it. Here are some examples —finance, manufacturing, retail, education, and healthcare.
- What skills do I need to get started?
Business analytics requires skills like data analysis, visualisation, communication, and critical thinking. Some employers may want programming skills in Python, R, or SQL.
