Why is it that some Australian companies, like Woolworths, for example, might struggle with leveraging the power of data analytics? After all, data analysis has been a growing sector for some time, and there have been plenty of businesses overseas and within Australian that have managed to leverage it successfully.
There have been studies that look into the reasons why Australian companies might be among some of those that are strangely lagging behind when it comes to taking advantage of data analysis. Some of the chief findings of these studies cite that Australia has a lack of skilled analysis experts and a lack of strong leadership making the area appealing for investment by top brands which are (in their minds) doing fine already.
It’s hard to sell the idea that the grass is greener with data analytics when a company is already in a lush pasture. With companies like Woolworths dominating market share and going from strength to strength, it’s easy to see why investing in a robust data analytics solution might not be a priority.
However, getting ahead of the pack is always key in business. Complacency is the death of all established businesses, as a competitor is going to smell the weakness and capitalise on it. When they start offering a better service because they have leveraged data analytics, it will already be too late to catch up to them.
Many companies are only using analytics (if at all) to look back at a past performance or reaffirm things they already know. The true key to using data analytics is to predict behaviour and capitalise on it, both internally and externally.
Hopefully, major firms in Australia are going to wake up to the possibilities of leveraging a robust data analysis strategy.