Lectura 04 Competing On Analytics
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Some companies have built their very businesses on their ability to collect, analyze, and act on data. Every company can learn from what these firms do.
Competing on
Analytics
by Thomas H. Davenport
Included with this full-text Harvard Business Review article:
1 Article Summary
The Idea in Brief—the core idea
The Idea in Practice—putting the idea to work
2 Competing on Analytics
11 Further Reading
A list of related materials, with annotations to guide further exploration of the article’s ideas and applications
Reprint R0601H
Competing on Analytics
The Idea in Brief
The Idea in Practice
It’s virtually impossible to differentiate yourself from competitors based on products alone. Your rivals sell offerings similar to yours. And thanks to cheap offshore labor, you’re hard-pressed to beat overseas competitors on product cost.
To become an analytics competitor:
COPYRIGHT © 2005 HARVARD BUSINESS SCHOOL PUBLISHING CORPORATION. ALL RIGHTS RESERVED.
How to pull ahead of the pack? Become an analytics competitor: Use sophisticated data-collection technology and analysis to wring every last drop of value from all your business processes. With analytics, you discern not only what your customers want but also how much they’re willing to pay and what keeps them loyal. You look beyond compensation costs to calculate your workforce’s exact contribution to your bottom line. And you don’t just track existing inventories; you also predict and prevent future inventory problems.
Analytics competitors seize the lead in their fields. Capital One’s analytics initiative, for example, has spurred at least 20% growth in earnings per share every year since the company went public.
Make analytics part of your overarching competitive strategy, and push it down to decision makers at every level. You’ll arm your employees with the best evidence and quantitative tools for making the best decisions—big and small, every day.
Champion Analytics from the Top
Acknowledge
Some companies have built their very businesses on their ability to collect, analyze, and act on data. Every company can learn from what these firms do.
Competing on
Analytics
by Thomas H. Davenport
Included with this full-text Harvard Business Review article:
1 Article Summary
The Idea in Brief—the core idea
The Idea in Practice—putting the idea to work
2 Competing on Analytics
11 Further Reading
A list of related materials, with annotations to guide further exploration of the article’s ideas and applications
Reprint R0601H
Competing on Analytics
The Idea in Brief
The Idea in Practice
It’s virtually impossible to differentiate yourself from competitors based on products alone. Your rivals sell offerings similar to yours. And thanks to cheap offshore labor, you’re hard-pressed to beat overseas competitors on product cost.
To become an analytics competitor:
COPYRIGHT © 2005 HARVARD BUSINESS SCHOOL PUBLISHING CORPORATION. ALL RIGHTS RESERVED.
How to pull ahead of the pack? Become an analytics competitor: Use sophisticated data-collection technology and analysis to wring every last drop of value from all your business processes. With analytics, you discern not only what your customers want but also how much they’re willing to pay and what keeps them loyal. You look beyond compensation costs to calculate your workforce’s exact contribution to your bottom line. And you don’t just track existing inventories; you also predict and prevent future inventory problems.
Analytics competitors seize the lead in their fields. Capital One’s analytics initiative, for example, has spurred at least 20% growth in earnings per share every year since the company went public.
Make analytics part of your overarching competitive strategy, and push it down to decision makers at every level. You’ll arm your employees with the best evidence and quantitative tools for making the best decisions—big and small, every day.
Champion Analytics from the Top
Acknowledge