This document discusses 5 myths that prevent mid-market companies from making smarter decisions using data analytics. The myths are that they are not big enough to benefit, they just need more data, it is IT's responsibility, they are not equipped for it, and it won't provide new insights. The realities are that analytics levels the playing field, visualization tools make existing data more useful, analytics requires business leadership partnering with IT, starting small using cloud solutions is possible, and having a vision and strategy is key to realizing value from analytics.

1. Five myths that keep mid-market companies
from making smarter decisions

2. It’s in there
Your organization is amassing a tremendous amount of data.
And that data is full of potential insights including:
• connections between data points previously unmade
• emerging trends that have remained invisible
• latent signals that have not made it out of spreadsheets
But unless you know how to access them, those insights may as well not exist.
That’s where data analytics comes in.

3. Start smart
Data analytics presents tremendous opportunities for mid-market companies
and yet many have not taken the first step. Why? Lack of comfort? Unclear
outcomes? Not sure where to start?
One of the toughest analytics challenges business leaders struggle with is
determining where to focus first.
Analytics can be applied anywhere an organization has data – but that doesn’t
mean it should be. You have to know which questions you should be
answering, not just the ones you could answer.
Answer the right questions.

4. BIG DATA IS FOR BIG BUSINESS
Myth 1
We’re not big enough yet
We’re just not at a scale where it would pay to invest in
data warehouses, data scientists and expensive software.

5. Level the playing field
Technology is the “great equalizer” for mid-market companies.
Once predominantly seen as an expense, technology is now viewed by
business leaders as a worthwhile investment and a source of strategic
advantage.
The same powerful insights that help big business compete are available and
affordable to mid-market companies.
REALITY

6. MORE DATA. MORE INSIGHT.
Myth 2
If we just had more data…
…we would be able to solve our business problems
and identify opportunities.

7. A picture is worth a thousand words
Analytics is about asking your existing data for answers to business questions.
Visualizing the data makes it possible to absorb large amounts of data quickly.
An idea can be conveyed with a single image. And you may uncover
a hidden insight.
This allows business managers to spend more time investigating why things are
happening and what to do about it – not what’s happening.
REALITY

8. ANALYTICS IS AN IT ISSUE
Myth 3
This is IT’s responsibility
IT is the champion of analytics for our company; after all,
it’s about technology, right?

9. Analytics is business led and
technology enabled
IT departments are often the initial analytics champions within companies.
But this approach can result in finger pointing when solutions take too long
to deliver and don’t meet user requirements.
The business must focus analytics on the most important and pressing
business issues and partner with IT to deliver solutions.
REALITY

10. Give LEANalytics a try
Change the interaction between the business and IT to be more collaborative
and co-creative by applying lean and agile principles to analytics.
Start with the smallest thing you can do that will deliver the most value and
build from there.

11. WAITING FOR SUPERMAN
Myth 4
We’re not equipped for this
We have too many foundational process and
infrastructure issues to address before we can
even start to think about analytics.

12. It’s a bird. It’s a plane.
It’s … a cloud!
The cloud is not just a place to store data.
Mid-market companies should consider different models to meet their needs,
including analytics-as-a-service. You can still gain insights quickly without a
major investment in infrastructure.
A simple, sprint-like project could help you better understand analytics and
the capabilities you might want to develop.
REALITY

13. YOU CAN’T GET BLOOD FROM A STONE
Myth 5
Analytics won’t tell me anything new
Analytics is more hype than value. We made
a minimal investment to test the waters and
at the end of the day, we were no further
ahead finding answers to our questions.

14. There’s gold in them thar’ data hills
An analytics vision and strategy help organizations understand where they are
today and their future target state. Shiny solutions alone won’t guarantee value
and could be an expensive distraction.
Does it make sense to start in a business domain where basic analytics
capabilities exist, such as finance or risk? Or start fresh in an area where
expectations are low and opportunities may be considerable? These are the
questions to ask in forming your analytics vision and strategy.
REALITY

15. What would you like to be doing better?
Our experience has shown that not all domains are created equal and
vary across industries – where do you see ROI for your organization?
Customer
Finance
Risk
Supply chain
Workforce
Customer segmentation; intelligent pricing;
marketing ROI; lifetime value
Financial performance management; planning,
budgeting and forecasting
Fraud; smart safety; predictive project risk;
reputational risk
Supplier and procurement analysis;
product profitability
Retirement risk;
new hire cost analysis
Part of the value chain Value drivers made better with analytics

16. Dispel the myths. Recognize the possibilities.
Get savvy with analytics.
Myth
We’re not big enough yet.
If we just had more data…
This is IT’s responsibility.
We’re not equipped for this.
Analytics won’t tell me
anything new.
Reality
Analytics levels the playing field, letting mid-market
companies compete with big business.
Visualization tools make it easier to absorb large amounts
of existing data quickly and convey ideas through a single image.
Analytics is business led and technology enabled. Focus analytics on
business issues and partner with IT to deliver solutions.
Using a cloud-based solution or lean implementation can help a
company get its feet wet.
Having an analytics vision and strategy are key to reaping the value of an
analytics journey. Without them, realizing ROI can prove difficult.
REALITY

17. Ready to squeeze more
insight from your data?
Learn to use analytics to address these business
challenges in our HIVE – Highly Immersive Visual
Environment – at the Deloitte Greenhouse or with
an in-person demonstration.

18. Lisa Allen
Partner
Deloitte Private
416-601-6441
liallen@deloitte.ca
For more information, please contact:
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