Businesses are becoming more intelligent, efficient and successful thanks to the rapidly expanding and constantly evolving analytics market, which is also beginning to offer more accessible and intuitive solutions to help all types of entities get in on the action. Big data and reporting analytics entered the corporate equation several years ago, and at first were investments that more commonly helped larger enterprises with much higher budgets.
Not so long ago, these tools were certainly not considered required to do business, but rather highly effective and innovative solutions that were optional and only used by a small group of organizations and entities. Now, it has become clear that the analytics market is not going to begin slowing down any time soon, nor are the adoption rates among various industries going to level off or contract within the coming years.
Rather, deployments are accelerating and, thanks in large part to more complex marketplaces, increased competition and evolving consumer demand, analytics solutions appear to be a requirement to actually be successful in today's industries. Without these technologies in place and being used properly by employees and executives, companies will run the risk of losing ground on competitors, and potentially might even start to be less admired by customers and clientele.
The dangers of lacking analytics
CFO Innovation recently reported that a new study from consulting and research firm The Hackett Group revealed that financial executives are increasingly struggling to complete their responsibilities properly when they do not have access to modern reporting and analytics solutions. This is not even to mention the idea of progressing as a company and improving performance, but rather maintaining the status quo over time.
According to the news provider, the researchers believe that economic disruptions are intensifying and becoming far more complex as time goes on, which makes it increasingly difficult for CFOs to make the right decisions in a timely fashion. However, therein lies the greatest strength of reporting analytics tools, in that they streamline the backend processes involved in collecting and analyzing information, then delivering the insights to decision-makers more quickly to guide the leaders in the right direction.
"Like the recent oil price collapse that few companies saw coming, in 2015 the next disruptive event is always just over the horizon," The Hackett Group Principal and Global Finance Executive Advisory Practice Leader Jim O'Connor told CFO Innovation. "Economic and political volatility remain high, and the drive to improve enterprise agility and innovation is greater than ever before. Finance has to be able to play a key role in helping their companies identify opportunities and respond to unforeseen events."
Furthermore, the source noted that the authors of the report believe that reporting analytics tools and stronger business partnerships might represent the best options to help organizations become more agile.
Analytics and agility
This has been a common theme in boardroom discussions and government agencies for years – companies that do not have the right intelligence tools in place will struggle to maximize their agility. In a world as complex and rapidly evolving as this one, firms that do not maintain a high level of agility, flexibility and resilience to change will simply not be able to survive for long.
Reporting analytics can certainly benefit financial decision-makers in any business, but should be considered as supportive tools for other employees and leaders as well. By using these tools to at once eliminate data entry and drive the speed and accuracy of reporting across departments, organizations will be better positioned to navigate the highly complex markets of the modern era.