Implementation of Big Data Analytics - Big Data Analytics: Disruptive Technologies for Changing the Game - page 67

the level of solution sophistication and the relative impact on KPIs. We can use
the maturity model to represent the target state, current state, gaps, and relative
maturity of the industry and competition.
Drivers are either internal or external forces that drive senior management
priorities. For a commercial enterprise, factors such as revenue, cost, and custom-
er acquisition and retention are typical drivers for its management to drive the
organization's market valuation. For a government entity, the welfare and protec-
tion of citizens are typical drivers for analytics. For inancial institutions, risk
management is a key driver.
Capabilities represent a collection of business processes, people, and
technology for a speciic purpose. For example, a inancial institution may
have a risk management function for loan approval. The risk management
would require technology components for statistical analysis and modeling,
a set of trained people who can assemble risk management information from a
variety of sources, and a risk management process that starts with risk data and
ends with a score for a customer. Analytics supports a number of key capabil-
ities in response to drivers. In the past ive years, these capabilities have become
increasingly sophisticated, as well as automated. Some of these capabilities
are inter-organizational. For example, we discussed a set of business scenarios
where retailers would collaborate with CSPs. As the amount of data has grown,
so have the tools for faster data collection and real-time analytics. These tools
have enabled a whole set of new capabilities. Let us examine a set of analytics-
supported capabilities to support typical drivers.
Measurements are used to quantify the progress of a capability and its
impact. With the increasing automation in products and processes, we now
have many more ways to measure the effective functioning of a capability.
These measurements can be visualized using a business value tree.
As we evaluate an analytics program, measurements help us visualize the
capabilities required and their impact, thereby allowing management to priori-
tize program spending based on the capabilities that have the biggest impact to
the organization. Measurements are used to link business capabilities to drivers.
Value trees can also be used to identify common capabilities that impact multiple
measurements and can be used to track beneits by program phases, identifying
capabilities enabled by a particular phase. We can also maintain best practices for
each capability to estimate the impact of a capability using past case studies.