Insight-Driven Transformation—using analytics to deliver insights at the point of action

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Nearly every organization has been subject to business transformation initiatives to drive operational improvement.

Whether the underlying strategic vision is cheaper products or services; increased market share; improved customer satisfaction; or reduced costs; one common grist for the transformational mill is optimising business process—and here’s where the problem lies.

If we examine common approaches and change models in general—process re-engineering is often regarded as the foundation to organizational transition; its absence a hindrance to success and performance capability. Associated dogma largely associates transformational outcomes with improvements in process, organizational design and structure. In turn, favoured process improvement methods focus on process steps to deliver incremental improvements. In practice, iterative process re-engineering delivers rapidly diminishing returns as “process salami” is sliced ever-thinner.

Insight-Driven Transformation (IDT) takes a different approach.

  What is Insight-Driven Transformation (IDT)?

IDT enables truly transformational outcomes by placing insight at the point of action through application of intelligent analytics to enable improved operational and strategic decision-making.

  How does IDT work?

IDT provides decision makers with the insight they need to aid decision making; predictive analytics to know when to intervene; and prescriptive analytics to optimise the course of action. This involves leveraging the latest technologies in scalable big data and data science underpinned by a sustainable operating model to win hearts and minds and drive adoption, ensuring benefits are fully realized.

By looking through the other end of the process telescope, IDT identifies nascent insights in organisational data that—until now—have been locked in data-sets too big to cost effectively assemble, analyse or query. The ability to store and process previously unwieldy volumes of data at relatively low cost, combined with the latest advances in data science and analytics, has resulted in the ability to target and reveal insights buried in organisational data that would have remained inaccessible only a few years-ago. This is particularly relevant in the utilities sector with the proliferation of smart meters and other IoT devices generating vast amounts of data. Effectively harnessing that data can provide real value for organisations to accelerate business improvement.

However this challenge is not unique; analytics and insights are now a readily accessible commodity service yet often fail to focus on the twin elements that make the insight transformational:

  1. Insight to action—ensuring insights are wired into execution to achieve transformational results and focussing on building confidence to drive adoption throughout the user community safeguards the realisation of benefits in full.

  1. Focus on business value”typically in business-driven areas that have significant cashable value; where do you make, and lose money? If you can’t shift the share price, it’s not transformational.

Capgemini has brought these elements together with a significant measure of innovation to create Insight Driven Transformation.

IDT is Capgemini’s framework to enable a step change in operational efficiency by transforming capability, technology and process to deliver truly transformative outcomes and sustainable benefits. IDT is being used to address key challenges, including:

  • Detecting water leakage using telemetry data rather than visible or audible leaks is changing the way water companies tackle waste, environmental and maintenance challenges
  • Predicting parts failure using connected car data is transforming the way automotive manufacturers manage warranty, supply chain, supplier and customer relationships
  • Understanding brand attitudes and predicting product purchasing decisions using weather, social and other open data is enabling manufacturers and retailers to outpace digital marketing providers, boost sales and optimise their supply chain.

Of course, these insights will ultimately change operational processes but in significant and previously intangible ways and not by simply “leaning” one or more process steps.

To read more about how Insight-Driven Transformation has unlocked a 50-year-old problem for the UK Water Industry, see January’s Water Active Magazine (p11).

To find out more about Insight-Driven Transformation contact the author.

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