Valuing Analytics: Return on Investment (ROI) and Returned Business Value (RBV)

Introduction

Analytics professionals collectively are not great at assessing the value of technology efforts. And the process of assessing value gets more complicated with advanced analytics efforts because we’re dealing with a domain in which many of the parties in the conversation have an incomplete understanding.

If you think about the parties involved in assigning value to analytics, these conversations generally have (a) a financial party or some kind of an oversight or governance party, (b) a technology supplier, and (c) a business beneficiary. All three of those parties where advanced analytics

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