This is How Big Data Can Help Your Business Work Smarter
Analysing all the data you collect within your business can help you to optimise every department and improve relationships with your vendors.
As a business leader in today’s market, there’s no doubt your company manages Big Data. The real question is whether you’re using the data to leverage new customers and optimise your business. With numerous information streams coming from online sources and social media, you need to use and understand Big Data to benefit your business.
The business world is being transformed by Big Data. While the idea has been around for years, businesses have only recently realised its full potential. There are several reasons you should integrate Big Data into your business:
Make informed decisions
Before the existence of Big Data, critical decisions were made using emotions, on how someone’s “gut” felt about it. This created challenges for up-and-coming managers as they couldn’t quantify the decision and so couldn’t repeat the success or avoid the losses. Today, you can clearly see the link to data and financials collected with each choice, which allows your junior managers to follow your reasoning and understand why the company is moving in that direction.
Experts can now use predictive analysis to calculate demand and forecast what resources your business will need. These business insights reduce lost time and assets, and ensure you’re optimising your purchases.
Thoroughly analyse your expenses
Your business, like any other, will have “spend data” accumulated from all your business costs within various operational functions. The challenge comes in when you have a large, even global business –these transactions can run into millions of line items. Efficiently analysing your spend data can help your procurement managers to recognise spend patterns within categories. This analysis can reveal opportunities to improve your bottom line or add value from procurement spend.
However, many businesses require a multitude of systems and processes to run their sourcing and procurement departments, resulting in multiple sources of data. These business need to incorporate unified procurement technology, to integrate all sourcing and procurement systems. This technology and these processes can help you understand how your business is spending, while offering real-time insights into saving opportunities. All team members in your business should think of return-on-investment as the priority when making every purchase. To keep your enterprise in the black, monitor expenses for every single list item.
Optimise your relationship with your vendors
When incorporating Big Data you can address customer expectations by seamlessly meeting every need. Both suppliers and procurement clients can profit from your use of Big Data. For example, suppliers can gather usable, data-derived insights which they can use to assign resources accurately and to better formulate logistical strategies.
Current inventory management programmes could order supplies in optimal amounts, when you required, without the negotiating and following up with vendors.
Using data-driven results will make the processes of supply and demand run smoother and save you capital in the long-term. Use the technology to work smarter instead of harder.