In the contemporary era of digital transformation and data proliferation, businesses are increasingly welcoming the potential of informed decision-making and strategic moves. Central to unlocking this potential is Business Analytics (BA) – the art and science of using methodologies and software to transform data into actionable insights. Yet, many companies struggle to capitalize on BA due to a scarcity of in-house resources or expertise. But worry not. The solution is simple – Outsourcing Business Analytics.
Unpacking Outsourced Business Analytics
Outsourcing Business Analytics involves entrusting third-party vendors with data analysis tasks for your business. Many companies today lack the resources – time, expertise, and budget – to manage and analyze the vast amount of data they generate. With outsourced BA, you can unlock deep insights into your business performance, optimization potential, and market trends without dedicating in-house resources.
Think of tech giants such as IBM, for instance. IBM now houses an entire division dedicated to Business Analytics, offering clients a broad spectrum of solutions ranging from forecasting and optimization to predictive modeling and reporting. IBM’s expansive analytics solutions exemplify the depth and breadth of possibilities when outsourcing BA.
Concerns and Addressing Them
Naturally, associating with third-party providers might raise concerns about data security, continuity, and flexibility. However, top-tier outsourcing partners adopt stringent security practices to protect client data and ensure confidentiality. They also offer customizable solutions, flexible contracts, remote services, and continuity plans to guarantee uncompromised service.
Justin Richie, Data Analyst at Software Path states, “Companies can reduce the risk of data breaches by ensuring they outsource to providers with proven security track records and rigorous protocols”. Proactively seeking transparency and demanding contingency plans can mitigate potential risks linked to outsourcing.
The Power of Outsourcing: Statistics and Findings
Outsourced BA isn’t just a buzzword. Its benefits are supported by a wealth of research and substantial numbers. Here are a few statistics that encapsulate its growth and importance:
According to a report by MicroSourcing, 78% of businesses worldwide feel positive about their outsourcing partners. This sentiment is largely attributed to the success of outsourcing endeavors such as BA.
Research by Deloitte reports that 57% of businesses list focusing on core business functions as a key benefit of outsourcing.
Another research study by Gartner predicts that the IT outsourcing market, of which BA is a significant part, will reach $413.7 billion by 2021.
Why You Should Consider Outsourcing Business Analytics
1. Gaining Access to Experts
Outsourced BA players are specialists at their job. They stay abreast with the latest analytical tools, trends, and best practices, ensuring you receive top-notch service.
2. Focusing on Core Business Functions
Outsourcing BA allows you to focus on your core business functions. You no longer need to invest time and energy in tasks like data cleaning, number crunching, or predictive modeling.
3. Cost & Time Efficiency
Eliminating the cost of hiring, training, and maintaining an in-house analytics team can save up to 60% of your budget, as per Statista.
4. Improved Decision Making
Outsourcing BA can speed up decision-making and identification of market trends. This empowers businesses to respond swiftly to changes and maintain a competitive edge.
The Final Word
In conclusion, outsourcing business analytics can serve as a game-changer for many businesses. From tapping into expert knowledge to boosting financial efficiency, outsourcing provides multifarious benefits that can drive a company’s success. While initial apprehensions are natural, an informed evaluation of potential outsourcing partners can eliminate concerns and enable you to step confidently into the realm of outsourced BA.
As an executive, don’t just perceive BA outsourcing as a means to cut costs; instead, view it as a strategic decision, a means to provide your company with the best resources and expertise available worldwide. Build a smarter, more agile, and future-ready business with outsourced business analytics.
Read Also:
About The Author
