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Data Analysis Lifecycle Model

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Data Analysis Lifecycle Model

In the current digital world, data is of great importance as far as technology is concerned.

Data goes through different processes throughout its life spans, such as creation, processing,

testing, reuse, and consumption. The data analysis lifecycle model maps out the procedures for

experts or those working on data analytics projects. The said stages are arranged in a circular

configuration that forms a data analytic model or lifecycle. Every step or design has its

characteristics and importance. The data lifecycle is critical in many business entities,

companies, and other entities. It assists in defining a roadmap of how data can be processed,

generated, used, collected, and analyzed to attain the objectives of that entity. It also provides a

systematic manner of managing data and changing it into information that can be used in

fulfilling the project goals of any organization.

The process offers the methods of obtaining information from the data and continues in

the right way to accomplish organizational objectives. Data experts use this lifecycle to continue

with data analysis in either a backward or forward way (Arndt & Ewe, 2017). Considering the

newly obtained insights, the professionals can choose whether to continue with the existing study

or research or if they can scrap and redo the entire analysis. Therefore, the analytic data life cycle

is critical in guiding the professionals throughout the whole process.

Phases of Data Analytics Lifecycle Phases

Usually, there is no clear structure of the stages in the data analysis lifecycle, and

therefore there may not be uniformity in the phases. Some data experts can follow extra steps,

while others may choose to skip some stages or work on different processes simultaneously.

There are four different types of data analysis used across every industry. Even though they are

separated into categories, they are all connected and built upon each other. As one moves from
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the simplest to the more complex analytics type, the degree of resources and complexity needed

increases. Simultaneously, the rate of added value and insight also rise. These four kinds of data

analytic methods include descriptive method, predictive analysis, prescriptive method, and

diagnostic analysis (Arndt & Ewe, 2017). Descriptive analysis is the cornerstone of all the

insights into data. It is also the most common and most straightforward use of data in

organizations today. Descriptive method attempts to answer “what happened” by briefing the

previous data. It is mainly in dashboards forms. Descriptive data is primarily used in

organizations to track leading performance indicators. It describes how an organization is

performing by basing on the selected benchmarks.

Figure 1

Graph Showing Data Analytics Lifecycle Phase (Arndt & Ewe, 2017)

The second type is diagnostic method. After posing the problem of "what happened," the

other stage is diving deeper and asking why it happened. The diagnostic method comes in at this

point. It takes the discernments established from descriptive analytics and tries to find the

outcome causes. Organizations use this analytic method because it creates different connections

between data and identifies behavior patterns (Arndt & Ewe, 2017). A crucial feature of the

diagnostic analysis is establishing comprehensive information. When new problems occur, one
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may have already collected different data regarding that issue. Having the data already at hand

ends the point of having to repeat work and makes all cases interconnected.

The next type is the predictive method. In predictive method, one attempts to respond to

the question, "What is likely to happen." This method utilizes previous data in forecasting

solutions regarding future results. This analysis is the next step from the diagnostic and

descriptive studies (Arndt & Ewe, 2017). The predictive method employs former data to come up

with viable solutions for future use. This analysis depends on statistical modeling that requires

additional technology or manpower to predict. Additionally, it is crucial to understand that

predicting is only an approximation, but prediction accuracy relies entirely on detailed and

worthy data.

Even though diagnostic and descriptive analysis is standard practice in many

organizations, predictive analysis, on the other hand, is a situation in which companies begin to

show difficult signs. Most organizations lack enough manpower to develop or implement

predictive techniques in each place they desire (Arndt & Ewe, 2017). Other organizations are not

yet prepared to invest in analysis teams in their departments and are also not ready to educate

their teams. Predictive analysis is helpful in sales prediction and risk assessment, among others.

The last type is called prescriptive analysis. This is the most sought-after analysis in

many companies, even though few organizations are equipped to perform it. This assessment is

the cutting edge of data examination (Arndt & Ewe, 2017). It puts together the insights from all

the earlier assessments to establish the best mode of action that can be taken to fix current

decisions or problems. The method uses the state of the art technology and other data practices.

This analysis is a massive organizational commitment. Organizations must ensure that they are

willing and ready to establish or put forth the resources and effort. An example of prescriptive
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analysis in an organization is the use of Artificial Intelligence (AI). These systems use a lot of

data to use and make proper choices consistently.

Well-established AI systems can relay these decisions and put these decisions into

practice. Organization processes can be optimized and performed daily without a person doing

anything with AI. Currently, many data-driven firms such as Apple, Netflix, and Facebook are

using prescriptive analytics to improve decision-making. The move to predictive and prescriptive

analytics can be challenging for other companies. As technology advances and more experts are

educated about data, more organizations entering the information or data-driven realm will be

seen.

Companies that use Data Analysis Lifecycle Model

For this discussion, three companies have been chosen concerning their use of the Data

Analysis Lifecycle Model. The three companies include Apple, Facebook, and Google. All these

companies use data analysis models to improve or enhance their business practices so that they

can attract and retain customers and also improve their reputation in the market. Data analysis in

this organizations have transformed the way business practices are done.

Data Analysis Lifecycle Model at Apple Inc.

Because data analysis, Apple Inc. can adequately know the way clients use their apps in

their daily activities and make or create future designs appropriately. The company is often on

the cutting edge of technological developments through its extensive use of big data analysis.

Other companies, such as Netflix, were involved heavily in significant data analysis years before

this company took the big leap (Wang et al., 2018). Apple has tirelessly worked to catch up with

technological advances so that it can stay abreast of technological advances and competition.

Apple has now become caught up in data analysis, with this advances driving most of its critical
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conclusions. Even though the company remains secretive regarding how they use data on many

occasions, it has not prevented different insights from being disclosed. By learning how the

company uses data analysis models, other firms can obtain a better standpoint of using the

exceptionally versatile technology.

Figure 2

Graph Showing Product Lifecycle of Apple iPhone (Wang et al., 2018)

Apple is in a pole position when compared to other organizations. For example, their

products are top-rated while the company is still destined to capture important data. That is how

Apple can collect information concerning customers in a relatively easy way. The use of data

analysis tools helps this company to determine the best way to approach new services or

products. One specific area that has obtained a big improvement regarding data analysis is the

use of application design in its devices (Wang et al., 2018). These are important tools that a lot of

people have on their phones and other gadgets. These devices can gather data concerning how

customers use them. It is a critical point to make because, traditionally, designs were developed

to make individuals to use their technology advances in a particular way.

Currently, the company can establish how the apps are being used in real life and suggest

latest or fashionable designs that can fit the clients' trends. Similar ideas used to improve
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application designs can also be used to produce Apple devices. The company currently has

enormous loads of data on how clients use their devices. This offers the company unparalleled

information it can use when developing trendy styles of existing gadgets (Wang et al., 2018).

The whole reason of using data analysis models is to enhance the experiences of the customers.

It allows the company to test new features and establish what clients prefer before the products

are released into the market.

Predictive Analytics between Apple, Facebook, and Google

Even though many of the main elements of the new predictive features on Apple devices

have been available on Google for a long time now, Google needed the usage of its key services

in mining data. If a person’s behavior was not noticed in the Gmail inbox or the chrome

browsing activities, it was not baked into the predictive results of Google Now that were

received. This made sense since as they say when a product is free, the person is the product.

Google was already developing predictive analytics into its ads that targeted a person better and

more aggressively when that person was in the purchasing approach (Fumagalli et al., 2018).

Google Now made some of its data essential and this turned out to be a tool that keeps a person

using the core services. That said, Apple’s different model has allowed it to open up predictive

analytics to every app on its device every while and at the same time, keep data private.

On the other hand, Facebook develops its business by using predictive analysis methods

like those of Apple and Google. It does this by studying its customers and packaging its data for

targeted audience. The company then ploughs back the money into providing important and latest

functionalities that it uses to learn about the customer's practices. Deep learning tools play a huge

role in changing technological advances at Facebook (Fumagalli et al., 2018). The system enables
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machines to understand how to classify data on their own. An example of a deep learning analysis

device can recognize images without explicitly being told what that image is.

Figure 3

A Quantitative Analysis of Apples Present Value (Fumagalli et al., 2018)

Comparing Data Analysis in the Three Companies

The three companies Apple, Facebook, and Google possess the highest level of detailed

client data. The more customers that use Facebook, the more data that the company amasses.

Facebook has also invested heavily in its capability to gather, analyze, store, and collect

information. The company also has many different methods of determining the behaviors of its

users. For instance, the company can track cookies. This implies that it can track its users on the

web by use of tracking cookies. When a person is logged into his account and browses other

websites simultaneously, Facebook has the capacity to trace the sites the user is visiting.

Facebook also uses facial recognition features (Fumagalli et al., 2018). The company has

invested lately in the facial recognition system and the image processing capacity. It means that
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the company can trace its users across its profiles and the internet with image data offered

through user sharing. These are some of the ways that Facebook employs as far as data analysis

is concerned.

Facebook and Apple Company Compared

Through analysis of many items, it can discover through the perspective of those items. It

assists in giving structured to unstructured data. The method can quantify and represent the data in

a form where analytical devices can obtain insights. Just like Apple Company, Facebook

undertook the process of selecting which processes can be enhanced by Artificial Intelligence.

The company has been categorical that Deep Learning method can be undertaken by using

machines. They have established a structure known as Flow. The system employs Deep Learning

systems to run different models of thousands of machine learning systems each month. This

allows professionals to test and check opportunities for effectiveness. Facebook has also refined

its advertising strategies so that consumers will see the product and like them. The developments

in online marketing have made it possible for Facebook to interact when a lot of data is gathered

from the users (Fumagalli et al., 2018). This is different from the time when user data was stored

and offered nothing of value to the company. The company also deviated from using its Facebook

Analytic tool in 2021. The data analytic tool has been used in the company since 2018 and was a

critical component of different marketer’s toolboxes.

Whenever an organization gets rid of any data analytic tool, the loss of the tool attracts a

lot of attention from current users. Usually, the users are eager to know which platform or tool can

replace it. The tool was important for tracking the way posts performed and showed if the

engagement was declining or improving among a brand's company audience (Sharma et al.,

2014). The analytic tool never attained the same stature among marketing professionals as other
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tools used by Google Company. By deviating from this data analytical tool, Facebook shifted

analytics metrics to other interfaces later.

Figure 4

Facebook Analysis Report (Sharma et al., 2014)

All these three companies use data analysis models to increase the retention of customers. No

company can thrive in the current world without customers. This means that attracting customers

and retaining them is vital for any company that wants to have a competitive edge in the market.

Using a data analysis model can assist with that (Sharma et al., 2014). It allows the companies to

observe the trends of the users and then market their services or products by keeping their

customers in mind.

The more data a company has regarding its client base, the more accurate it can establish

or observe its patterns and trends. This will ensure that these companies can offer exactly what

their users require. This is the most attractive way to increase the customer base since happy

customers imply loyal customers. For instance, Apple uses these models to increase customer

retention. It collects data concerning its clients so that it can offer an actual personalized
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experience (Sharma et al., 2014). It implies that Apple understands the user as soon as he logs

into his device.

Even though many companies have Data Science and Engineering teams, Facebook has a

product experience analytic team to help the company offer a specialized offering to users. The

team in this company uses data analysis methods and tools in performing thorough analyses to

make sure that their users have the best experience linking with their target population through the

ads from the company (Sharma et al., 2014). Because the team emphasizes using data to create

actionable insights, the company can identify problems early. Also, the analyses help to influence

product growth so that bad product experiences can be avoided in the first place.

Google, on its part, is changing the Data Analytics industry by providing more affordable,

reachable, and usable products. Those products include Google Data Analytic tools. These tools

assist the company in gauging the attainment of their campaigns, establishing traffic sources of

the users, tracing the completion of different goals, and obtaining essential insights that can help

in intelligent decision-making.

The three companies use data analysis models and tools to gauge their campaign ads,

correctly understand their intended population, refine content approaches, create better products,

and personalize their content. Data analysis in the three companies, Apple, Facebook, and Google,

helps to boost their performance and enhance revenue (Sharma et al., 2014). Google also created

a data analytic tool that scans features such as code tracking and account configuration regularly.

After every scan, a person is given a notification regarding changes and other potential factors

that must be implemented so that the collected data and performance are ideal. The above insights

at this company are valuable since they assist in driving decision-making and also help in strategy

formulation. The diagnostic analysis in this company offers essential information regarding why a
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specific trend or relationship happened and is critical for those experts aiming to validate their

decisions with data.

Conclusions

Companies that use data analysis are at an advantage in pointing out bottlenecks in their

products and services. Data analysis models are essential in these companies because they assist

the company to optimize their growth performance levels and improve production. Implementing

this concept into the company can assist to decrease costs. It can be done by identifying various

effective means of performing business and also storing vast amounts of information. Companies

can also use data analysis in making good business decisions that can assist to analyze customer

satisfaction and trends. This will lead to better and new products and services such as the

companies mentioned in the discussion.


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References

Arndt, H. K., & Ewe, C. (2017). Analysis of Product Lifecycle Data to Determine the

Environmental Impact of the Apple iPhone. In Advances and new trends in

environmental informatics (pp. 3-13). Springer, Cham.

https://link.springer.com/chapter/10.1007/978-3-319-44711-7_1

Fumagalli, A., Lucarelli, S., Musolino, E., & Rocchi, G. (2018). Digital labor in the platform

economy: The case of Facebook. Sustainability, 10(6), 1757.

https://www.mdpi.com/2071-1050/10/6/1757

Sharma, S., Tim, U. S., Wong, J., Gadia, S., & Sharma, S. (2014). A brief review on leading big

data models. Data Science Journal, 14-041.

https://www.jstage.jst.go.jp/article/dsj/advpub/0/advpub_14-041/_article/-char/ja/

Wang, Y., Kung, L., & Byrd, T. A. (2018). Big data analytics: Understanding its capabilities and

potential benefits for healthcare organizations. Technological Forecasting and Social

Change, 126, 3-13.

https://www.sciencedirect.com/science/article/abs/pii/S0040162516000500

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