3. Empowerment of sustainable decision making
Environmental, social and governance (ESG) issues force companies to rethink the way they do business. ESG affects almost every aspect of business operations, whether it is planning around building locations, future supply chain routes or the sum insured to be purchased. Artificial intelligence tools, which can swallow and analyze all kinds of information – such as climate patterns, optimal distribution routes and population growth trends – are helping companies make better ESG decisions.
Many companies, for example, are using data to see if they should build a warehouse in a particular area or if climate change will ultimately affect those operations. Others are using the data to reduce their carbon footprints. For example, a large detergent company wanted to reduce its emissions by reducing the size of its packaging, but at the same time increasing the concentration of detergent so that consumers could wash an equal number of loads. Its retailer said that even with the same functionality, smaller sizes cannot be sold, as consumers feel that larger packages are a better deal. Instead of sticking to larger sizes, the retailer showed each detergent manufacturer how to reduce their packaging to show that they can maintain the same number of loads in smaller sized containers, while becoming more durable. This proved the power of analytics – one company influencing the entire sector to reduce their carbon emissions due to timely data-based decisions.
4, Increasing productivity
The digital age is all about hyper-precision. By integrating, analyzing, and leveraging the right quality data at the right time to evaluate, predict, and suggest decisions, companies can significantly increase productivity and the value of their resources.
For example, the global automotive supplier ZF wanted to compare efficiency between its various plants. He created a digital manufacturing program, built on Azure Cloud with PwC’s Factory Intelligence, to analyze performance data between each location. Using state-of-the-art analytics, visualization, and automated workflows, the company has reduced conversion costs at its more than 200 plants, improved overall performance, and increased employee efficiency and effectiveness.
5. Promoting product or service innovation
Data is a game changer when it comes to creating new products and services. The more you know about the customer, the better you will understand the types of products they want. However, companies just need to move beyond big data and start looking at what is known as “thick data” to effectively influence product and service use through human-centered design.
While big data is about capturing what people spent their money on, when they bought an item and how much they paid, thick data focuses on human behavior and explores the motivation of people to buy something and how they use the product. Is. For example, a credit company usually identifies fraud by looking at unusual transaction patterns. But collecting thick data around customers affected by the behavior of fraudsters and fraudsters can bring sophistication to a new level. By interviewing fraudsters and identifying their motivations and behavior patterns, that insight can be incorporated into a more traditional fraud-tracking analysis, the combination of which allows companies to track when fraud can occur before it occurs. This ultimately leads to better fraud solutions.
Bring together data skills and tech
Will take a different approach to new solutions and data to achieve high-value results. Now you have to think about what actions your data can report.
Working together, PwC and Microsoft have seen for themselves how challenging it is for businesses to really understand what “data management” looks like. Many businesses believe that simply collecting data and running numbers through a data visualization tool is enough. While basic analysis can help you get information about something that has already happened, this type of information, when combined with actual actions and results, helps you evaluate what might happen in the future and what you should know about it before a problem arises. Can help tell. .
Explore how PwC and Microsoft are using data and the latest Azure cloud, AI and mixed reality technology to transform experiences, From the football field to your industry,
This content was created by PwC. It was not written by the editorial staff of MIT Technology Review.