DATA4000: Introduction to Business Analytics

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Table of Contents

Part A: Case Study Analysis......................................................................................................2

Spotify........................................................................................................................................2

Business problem.......................................................................................................................2

Type of analytics........................................................................................................................2

Challenge of using analytics......................................................................................................3

Recommendations......................................................................................................................3

Part B: The Role of Analytics in Solving Business Problems...................................................3

Part C: Developing and Sourcing Analytics Capabilities..........................................................4

Ingrain analytics into the decision-making processes................................................................4

Organize and coordinate analytics capabilities..........................................................................5

Source, train and deploy analytics talent....................................................................................6

References..................................................................................................................................8

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Part A: Case Study Analysis

Spotify

Spotify is a well-known data-driven company the data is utilized in pretty much amount in
the organization. More than 600 data gigabytes are being created by the users of Spotify that
the company utilizes for making their machines and algorithms perfect for bringing
improvement in customer experiences and Generalizing the insights. Additionally, the Web is
crawled in Spotify continuously for seeking blog posts and text regarding the music for the
comprehension of feedback regarding the specific song and artists. Data-driven decisions are
being made by Spotify and as a result, there is a requirement for data as well as data
infrastructure. Users are generating the data and the data is generated for the users at Spotify

Business problem

Different authorizing issues are being experienced by Spotify with specific names and
craftsmen. However, great music is being given to the endorser impressively as Adele, Pink
Floyd, The Beatles, and Led Zeppelin, anyway, the issues are discovered with particular
records and collections. A specialist such as Taylor Swift couldn't assist in contradiction of
the terms of Spotify and Music is ended from the Revealing administration (Kristinsdottir et.
al., 2016). Coldplay is another case that prorogued the current Spotify collection for 4
months before its accessibility for administration.

Songza is the comparative administration that is providing free services when Spotify has
expected the creation of income via promotions. Spotify is making efforts in developing its
premium base of clients. With the huge payoffs per month, it is considered sensible. They
are not agreeing with the decrease and end of the advertisements and plugs from the
administration as no advantages are there. The Spotify application is required to fix the
location-specific utilization as they are not permitting the utilization for a longer time; if the
individual has created their account on Spotify outside of the country or a subscription is
being purchased by them then no permission is being given to them more than 10 days.

Type of analytics

Descriptive analytics is being used for addressing meaningful and potential business
problems. Descriptive analytics is historical data analysis that is utilizing two major methods

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that are data mining and data aggregation which can be utilized for uncovering patterns and
trends. Descriptive analytics cannot be taken into use for drawing inferences or making some
predictions regarding the future by studying the findings instead, this analysis is concerned
with the representation of previous happenings.

Descriptive analytics are shown with the utilization of visual representation of the data such
as pie charts, bars, and lines and however useful insights are being given by this analytics and
are a future analysis basis. As simple analysis techniques are being utilized by descriptive
analytics then any findings could be easier for the wide audience for comprehending.

Descriptive analytics is helpful in addressing the issues that Spotify is confronting.

Descriptive analysis is being utilized by businesses for taking a look at the traffic to their
website throughout the previous year. They can analyze the traffic of the previous year as
when it fell and when it picked up back, in which month they got a higher amount of traffic
and the average traffic per month.

Prescriptive analytics is helpful for companies to draw conclusions based on the data they
have analyzed. This analytics is helpful in providing meaningful data and insights so that
businesses can decide on future plans.

Challenge of using analytics

If the utilisation of descriptive Analytics has advantages then it also has cosmic challenges
being faced by the companies. The predictive Analytics approach needs massive data for
producing useful outcomes that are not easily available. The algorithms of machine learning
upon which prescriptive analytics is dependent do not account for all the external factors
always (Shuradze & Wagner, 2016). The utilisation of machine learning will result in the
reduction of human error possibility dramatically.

Recommendations

The data is pulled in by the business from each part of a location which could be utilised for
manipulating the users. The activity of the consumer on the Spotify website and their pages
of social media is evident for pulling out the information. Several ways have been provided
by the companies to collect and manipulate the data of the consumer which include
improving customer experience, refines the policies of marketing as well as changing data

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into the cash flow. Sentiment tracking is helpful in capturing the perceptions of the market of
the offered services on the basis of consumer social media analysis. This technique can be
utilised by the service for recognising in what manner the customer perception of the offered
services is accumulated against competitors. Set service can comprehend the clicks series that
has brought the customer to the official website as well as guided to conversion through
advanced character and click tracking. 3 approaches are required to be combined by Spotify
for tuning up their models for getting a personalised experience which involves collaborative
filtering of which song is listened to by other listeners and what they are listening to.

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Part B: The Role of Analytics in Solving Business Problems

Data analytics is the procedure to analyze the data sets for drawing out the new insights that
they contain. Business analysts are empowered by data analytics for taking raw data as well
as disclosing patterns for the extraction of significant knowledge. Data analytics techniques
are being utilized by business analysts in their work for making smart decisions for the
business.

1. Descriptive analytics- Descriptive analytics is simple analytics. The raw material is being
shuffled in this analytics form this analytics from numerous data sources for giving
purposeful insights into the previous that is it will be helpful in the comprehension of the past
actions' impact will stop although A sign is being given by such discoveries whether these
insights are correct or not with no clarification. Cause business analysts are not prescribing
the data-driven company for agreeable for well for descriptive analytics exceptionally (Lee
et. al., 2022). Descriptive analytics can be taken into use for making raw data or Information
justifiable to the leaders, investors, and stockholders.

2. Prescriptive analytics- The foundation of prescriptive analytics is utilized in business

analytics. Crypto analytics is recommending every favourable result according to a pre-
defined business game plan as well as a course of action proposed for getting a specific
outcome. Therefore a robust feedback system is utilized by this anarchist that constantly
updates and learns the connection among the outcome and the actions. Emerging tools and
technology such as deep learning algorithms of AI machine learning are utilized by
prescriptive analytics and are modern for executing and overseeing (Lepenioti et. al., 2020).
Moreover, revolutionary data analytics kind needs external and internal previous data for
providing users along with favourable results.

Real-world example: Netflix

Unarguably, Netflix is the largest online platform to stream TV shows and movies and
movies and due to its successful journey to big data has a deep comprehension of its users
and a 93% is their rate of retention in comparison with the main competitors. Rapid growth
has been seen in recent years 10 years due to their original TV shows and movies that are
showing reality and also launching the series as per the customer's expectations. Netflix is
engaged in gathering the data such as the time duration in which their subscription members

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are watching the show (Gandomi & Haider, 2015). They are constantly examining whether
their subscription members are binge-watching, Taking some specific time to complete a
particular show, is show paused or after pausing they are resuming that specific show or not.

The ultimate personalization is their objective as well as it is clearly revealed that with the
help of their future plans that involve the utilization of artificial intelligence for the creation
of the trailers why everyone gets similar trailers. They are planning on the creation of trailers
which is entirely personalized for their subscription members as example when a particular
user is he liking to watch romantic movies then It will be assumed that they will like to watch
fiction movie which contains romantic scenes.

This achievement is the result of the utilization of machine learning which has helped Netflix
to understand the human emotions that the machines are not able to understand. If discussing
about the bottom line then there is a great decline in the time and cause that is required for the
creation of the trailer and Netflix put on the correct journey for the achievement of ultimate
personalization goals.

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Part C: Developing and Sourcing Analytics Capabilities

Ingrain analytics into the decision-making processes

Nowadays businesses have a predefined game plan to be competitive in this dynamic

environment by ingraining Analytics into the decision-making processes. The whole scenario
of the decision-making process of businesses has been changed by analytics adoption.
Businesses in past and nowadays businesses are taking the biggest and most concerning
decisions on their gut feelings and intuitions. However, as Digital Technology has advanced
and Data Analytics instruments as well organisations are engaged in storing analysing and
transforming data terabytes into relevant and meaningful information in an easier way
(Jugulum, 2016).

The extracted information utilisation from massive data has become a crucial procedure for
the businesses and bringing improvement in their procedures strong techniques and tools that
are utilised including Big Data Analytics.

Nowadays companies increasingly believe that Data Analytics is permitting them for gaining
a competitive advantage and insights are being provided in the process of decision making.
Now it is businesses have recognised the significance of quality decision making that is relied
on the information availability quality for supporting the decisions being made therefore the
quality information provision is made which is a key to gaining a competitive advantage over
competitors in the dynamic environment.

Essentially, decision making and Data Analytics is a term that is termed as a procedure to
scrutinize the assets of the big data for observing trends as well as inside a derived for a
relative approach to make appropriate decisions. The information being collected and
acquired is not giving any advantage to the decision-making of the company; as it becomes
worthless without Data Analytics that is making the data or information meaning full and
useful. If the available quality information is required by the companies for contributing to
the company’s performance. such information can be taken into use for bringing
improvement in their decision-making process (Abdel et. al., 2019).

An analytics Diagnostics is required to be conducted for starting with the decisions re-
engineering for the identification of need of insights when and who needs that so that the

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relevancy is reflected in the delivery of inside and time, actions, as well as insights breadth
are correct.

A root can be discovered by the Analytics rapidly if analytics is tied to the outcomes of the
business and if the business case is clearly quantifying the analytics benefits. As a result, the
companies are required to perform experimentation with the development of the mechanism
that will be helpful in identifying tracking and realising the analytics effort's value. The
mechanism of value realisation will be helpful in moving the company from a mindset that is
based on a data mindset and a mindset that is based on outcomes as well as minimising the
unproductive and worthless request for the support of Analytics (Espinosa & Armour, 2016).
Analytics are embedded in the decision-making process and time analytics to entire outcomes
will be helpful in breaking down the barriers that take place in the organisation and that are
impacting the data sharing.

Organize and coordinate analytics capabilities

1. Decentralized- Analysts are deployed across the organization in specific departmental

functions such as sales marketing and so on and business lines in a decentralized model. The
roles of data management specifics such as data engineers and data architects might be
strange release for managing the data flow effectively over the company and applicable to
analytics initiatives over the teams (Ahmed et. al., 2017).

Two tasks are defined for the analysts that are- Analyzing and monitoring the various metrics
of the unit performance

New questions are answered that take place in the business regularly. Typically the previous
task is performed through structured projects in which a regimented data flow has deployed
the analytics that is required for exploring and discovering new analytics as well as
collaboration with the members for delivering analytic outcomes.

2. Mixed-analytics team members are centralized to perform the cross-departmental data

analytics in a mixed data analytics model. In comparison with the decentralized model, the
functions of data management are centralized for managing the data flow.

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3. COE (centre of excellence) - Centre of excellence is discovered by a successful
organisation that is playing a significant part in the creation of an effective analytics program.
The success factors are facilitated by COE-

COE is helpful for the creation of a broad analytics strategy for the organisation in the
centralise model a blueprint is also built, the creation of best practices series, and an integral
role is played to explain the analytics to the company.

COE is helpful in the facilitation of the entire strategy as the best practices are being created,
putting Technology standards in position, and the facilitation of communication and sharing
is needed in the decentralised model.

A similar task is being performed by the COE from the decentralized model however wider
standards are being set in and in what manner wide metrics for organisation are calculated as
well as the facilitation of the standards in the mixed model (Chawda & Thakur, 2016).

4. Centralized model- a central analytics team is responsible for serving diverse business
units and functional groups. Typically the team will have several roles such as data engineers,
data scientists, data architects, project managers, and data analysts along with different skill
sets.

There is a manner defined for operating the centralized model for diverse functions as well as
the business units for the submission of the project to the team. The projects are scoped by
the analytics team, requirements are built, allocated to the team members and then execute.

Source, train and deploy analytics talent

Growing analytics talent demand among companies has become a driving force. It has
become difficult for finding out the experienced and skilful analysts with business knowledge
full stop for Sourcing analytics talent in the organisation the companies are required to take
the following alternatives which will be the best match for them-

Outsourcing- analytics talent can be outsourced by the companies from third parties for a
certain project or problem. Otherwise, a group of analysts can be recruited by the company
from third-party providers for a specific time either ongoing, offshore, onshore, or hybrid.

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On-the-job training- on-the-job training is provided to source analytics skills in employees
as well as developing analytics talent in-house that is enabling the companies for
concentrating on Sourcing which can be the optimal analyst in the market for the position of
leadership (Akter et. al., 2016).

Partnership- a program is being developed by the Universities and companies with

cooperation in which the university are responsible for offering training and in exchange for
training the companies are responsible for hiring their graduated students after the
qualification from the given training.

Alongside, an efficient plan for talent management is required to be developed by the

companies for retaining valuable analysts through-

a. Offers competitive salary and improvement in the marketing

b. Long-term opportunities are required to be understood by the candidate

c. Promising and potential career opportunities should be developed for attracting quality
analysts

d. Inspiring analytics professionals with challenging and interesting projects which suit their
education, experience, skills

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