How data mining fuels business intelligence

Brought to you by the Villanova School of Business

Thanks to advanced software tools and cloud storage, organizations are gathering and analyzing unprecedented amounts of data on a daily basis. This information can bring businesses tremendous advantages in developing long-term strategies, streamlining operations and targeting marketing efforts. However, there are many steps along the way to turn raw data into actionable business intelligence.

That’s why companies rely on individuals who possess both expertise in analytics techniques and an understanding of the big picture in business. Earning a masters in business analytics offers professionals the knowledge and skills necessary to collect relevant quantitative information and recommend proactive steps that drive sustainable growth. Robust data mining brings companies the fuel they require to lead the way in a fast-paced, globalized marketplace.

Diving into data

IBM estimated that systems produce 2.5 quintillion bytes of data every day, and that volume is only continuing to increase at a rapid clip. The capabilities of logically structuring and efficiently sorting through all that data are essential if organizations are going to uncover any real insights. Data mining tools and methods are what make the huge stores of information that businesses collect an invaluable resource.

By bringing together advanced statistical analysis with machine learning algorithms, organizations are able to identify meaningful patterns and intriguing anomalies in their databases. Data architects work to design systems that effectively collect findings and distribute information throughout the organization. Data scientists manage all that information and create mathematical models for putting it to use.

Of course, not all of the information collected by an organization is of equal value. To put together a useful dataset, specialists must have processes in place for cleansing away the noise of errors, repetition and unrepresentative outliers. With reliable findings readily available, it’s possible to pick out what pieces of information offer the most importance for different areas of the business.

Revealing analytics insights

Data mining draws out a wide variety of discoveries that help business leaders understand market conditions and the way an organization is functioning. For example, analytics can be used to pick out consumer preferences and determine what marketing content is most effective at drawing their interest. By detecting clusters within a batch of information, data specialists may be able to determine what characteristics are shared among certain consumers.

Experts can also set up classifications for a range of different types of information that are relevant to the organization. When new pieces of information meet those criteria, such as when a message contains particular combinations of words, a system will then run them through an appropriate algorithm to determine next steps. Data mining techniques may also be used to look at established patterns and create predictive models or alert users of potential dangers.

The myriad applications have convinced business leaders in all industries of the need to invest in data mining. With a customized infrastructure and experienced personnel in place, organizations gain a new perspective on where they stand and where there is room to do better.

Putting business intelligence into action

Big data becomes business intelligence when it’s employed to spot opportunities and make well-informed decisions about the future of a company. To get the greatest possible benefit out of data mining, leaders need a clear understanding of why the information the organization has gathered matters and how they can respond with shifts in management and operational plans. That demand makes business analytics experts crucial assets when it comes to setting strategy.

Data specialists who can go beyond the numbers to visualize and explain the real-world implications of their findings are positioned to make a major impact within their organizations. Combining technical know-how with skills in clear, direct communication maximizes the role analytics plays in setting the course for a company. Data-driven organizations rely on experts who can convey to leaders what the quantitative findings have to say about making manufacturing facilities more reliable, speeding up fulfillment or extending the reach of marketing messages.

The education to make the most of data

Mastering data mining techniques and applying them to pressing business problems calls for studying the latest analytics tools and techniques. Graduates with a master’s in analytics are prepared to explore the implications of big data and offer timely insights. They know how to cultivate an array of quantitative information and apply their findings to pressing business problems.

Villanova University offers a masters in data analytics program that equips professionals with both the ability to work with the numbers and the strategic awareness to assemble truly powerful business intelligence. Visit the program page to learn more about connecting data mining with organizational action, and find out how you can apply.

Recommended Readings: Sources:  

https://www.theatlantic.com/technology/archive/2012/04/everything-you-wanted-to-know-about-data-mining-but-were-afraid-to-ask/255388/

https://www-01.ibm.com/common/ssi/cgi-bin/ssialias?htmlfid=WRL12345USEN

http://content.time.com/time/magazine/article/0,9171,2058205,00.html

https://www.sas.com/en_us/insights/analytics/data-mining.html#