Using Data Analytics to Reduce Enterprise Costs

By CIOReview | Friday, March 8, 2019

Data has tremendous potential in transforming business intelligence because of today's digitized business ecosystem. The data flowing from multiple channels makes it challenging but essential to evaluate and draw productive conclusions from them. This insight can leverage business intelligence that can slash operational costs for enterprises. Reducing operational costs is a constant goal for every organization.

The rising trend of equipping vehicles from company fleets with IoT sensors gives details about the truck route to driver fatigue. This dependency on sensor data to inform maintenance requirements could cut cost associated with asset breakdowns. Also, sensor data could be used to assess drivers who engage in risky practices which are liabilities for the companies.

An extensive cost is associated with human resource operations. The total expenses could rise if employees are poor fits to the company. Using analytics before hiring candidates can reduce turnover. It can also track the journey of an employee in a particular company. This method of handling data analytics could avoid the expenses associated with training also.

Reducing indirect costs like rent, utilities, and office supplies could save companies. Data analytics helps here by providing baselines that inform organizations of their most substantial indirect costs. Investing in IoT utility products will let users know statistics about average energy consumption for cutting utility bills.

Companies go through tests associated with a product launch or website updates that help stay away from failures that could occur when businesses don’t connect with their audiences. Analytics platforms can make tests less time-consuming, and thereby minimizing expensive.

Unsolved grievances may make customers frustrated leading to a rise in avoidable expenses. Advanced analytics software can evaluate characteristics like the tone of voice and word choice to determine when customers start to get frustrated.

Cyber attacks can disrupt business functionality, damage customer trust and lead to decreased employee confidence. Data analytics platforms for cybersecurity can monitor network traffic continually and give an alert on suspicious activities that indicate breach attempts thereby reducing expense spend on disaster recovery.