{{ searchResult.published_at | date:'d MMMM yyyy' }}

Loading ...
Loading ...

Enter a search term such as “mobile analytics” or browse our content using the filters above.

No_results

That’s not only a poor Scrabble score but we also couldn’t find any results matching “”.
Check your spelling or try broadening your search.

Logo_distressed

Sorry about this, there is a problem with our search at the moment.
Please try again later.

You’ve set yourself the ambitious goal of being a best-in-class analytics-driven business.   One in which data is used not just to gain insights into the past, but to predict the future and to drive confident decision-making at every level. 

You’re familiar with the success stories - businesses like Expedia, Dell, eBay, Amazon to name a few – that have achieved staggering business growth and forged ahead of their competition by instilling culture of analytics from the top down. 

Your hope is to achieve the same level of sophistication and maturity in your own organization and outclass the competition.

The destination is elusive and the path is foggy…

How far along are you towards effectively leveraging analytics and developing analytics competitiveness?  Do you know what steps you need to take to reach an advanced level of analytics maturity throughout your organization?

If you lack discipline, explicitly defined analytics processes, accountabilities and scope, you simply can’t extract the value from your analytics investments. This lack of maturity is evident by an ad-hoc, silo’d approach in the use of analytics data that doesn’t integrate, process and refine the many digital streams that available to the organization (web, mobile, social, point of sale, email, CRM, etc.)..

If this situation sounds anything like yours, then this is precisely where the value of an analytics maturity model becomes evident. The Online Analytics Maturity Model (OAMM) self-assessment tool succinctly evaluates your analytics maturity, pinpoints areas of weakness and provides strategic direction on where to focus your efforts to generate a greater return from your digital analytics investments.  This elegantly simple model measures your organization across the six corporate attributes (the Six Key Attributes) that have the most influence on the adoption and use of analytics.  These Six Key Attributes are:

  • Management, Governance and current level of analytics Adoption;
  • Definition of Objectives;
  • Scope;
  • Analytics Team and Expertise;
  • Continuous Improvement Process and Methodology;
  • Tools, technology and Data Integration.

a

A Graph is Worth a Thousand Words
In this sample of a completed OAMM assessment visualization, we can see that the Scope and Objectives are far greater than the organization's internal Expertise, Methodology, Technology and Management.  In this example, the organization needs to augment its internal resources and processes in order to successfully achieve their Objectives.

The key to analytics maturity is ensuring that these six attributes are in alignment with each other.  In simple terms, the underlying concept is to create the digital age equivalent of the industrial ages’ assembly line: stand-up the infrastructure to smoothly, comprehensively and accurately collect data (the raw material), transform it into functional reports (the manufacturing), review and analyze it for insights (the quality control), and finally, turn it into action (the distribution/shipping).   

Additionally, this “assembly line” has a feedback loop to ensure that the organization learns from the actions taken, and either optimizes those that worked, or retools that didn’t.  Finally, it is comprehensive and looks at multiple data streams to ensure that whole of the organization is aware of, and making decisions based on, the complete picture. 

We’ve developed a top 5 list of benefits that we’ve discovered our clients derive from our work with them to grow their analytics maturity.  These are:

  • Clear visualization of the current state: If a picture is worth a 1000 words, a good graph has to be worth at least 500.  A clear, unambiguous image that visually captures strengths & weaknesses is very compelling;
  • Comparative benchmarks; As the original and leading model of its kind, the OAMM has been applied to hundreds and hundreds of organizations across virtually every major sector, at a global scale.  This yields a rich, robust and revealing dataset for benchmarking and comparative analysis;
  • A step-by-step guide: Nothing is as frustrating as a strategy with no clear plan on how to execute.  The OAMM provides a clear path to follow, with “turn-by-turn directions” on the specific improvements required to move you up the maturity scale towards becoming an analytics-driven business;
  • A powerful internal sales tool:  It’s an unfortunate reality that middle management sometimes must struggle to persuade senior management of the need to invest in analytics maturity.  The concept is fuzzy and the benefits seem intangible.  However, the OAMM creates an opportunity for dialogue and discussion that we find helps drive home the message for change; and
  • Prevents over/under investing: Spending too little is almost as bad as spending too much, and the OAMM ensures that investments are in line with the capacity/capability of the organization to execute.

thornThree thorns in the side of analytics

As important and useful as the top 5 benefits are, an understanding of why organizations fail at analytics is just as important.  Our research has revealed that there are three basic patterns to failure.  The good news is we believe that these can be easily avoided.  They are:

  • Aiming too high: Contrary to popular belief, don’t aim for top-level buy in – aim for the right level. If you try to engage senior people too early in the process it is unlikely that you will be able to deliver the type of insights that they value, and your opportunity to engage will be lost;
  • Ambitions exceed abilities: You will fail if objectives are too ambitious or the scope is too broad – realizing the value of analytics is more easily achieved from a narrower scope and clearly defined objectives;
  • Lack of systems: Regardless of industry vertical or geography, we note a serious lack of process and methodology around the way in which the analytics function is structured.   Very few organizations use proven problem solving and business process optimizations methodologies (such as Lean Six Sigma) to help them organize the operations of their analytics unit.

Editors note: Want to learn more? You can enroll in an upcoming full day workshop with Cardinal Path at eMetrics Boston for a deep dive into your analytics capabilities.

Stephane Hamel

Published 13 September, 2012 by Stephane Hamel

1 more post from this author

Comments (10)

Comment
No-profile-pic
Save or Cancel
James Hart

James Hart, Digital Account Manager at Key Multimedia

Not quite sure the purpose of this post.
It is a promising subject, but lacks depth in terms of guidance and insight.

Sorry

about 4 years ago

Stephane Hamel

Stephane Hamel, Director, Strategic Services at Cardinal Path

Over the past five years I have spent a significant amount of time looking at why most organizations fail at analytics while only a few achieve staggering results. This is why I developed the first Online Analytics Maturity Model and offered a short, free, no-fuss, no marketing lure self-assessment tool to the web analytics community (and have been presenting the topic at eMetrics, doing workshops and teaching to MBA students). This first post on eConsultancy is aimed at introducing the concept and inviting more people to complete a self-assessment. My next post will provide some benchmark results and gradually provide additional information. Basically, I intentionally wanted to keep this 1st post short and as you said "promising" :)

about 4 years ago

Avatar-blank-50x50

Penelope

Hi Stephen,

I like your online maturity visualisation a lot, thank you. It may seem straightforward but it's not. What are the chances of an organisation embracing all 6 attributes right now? (Apart from the organisations you are mentioning right at the beginning of your post.)
I think this also shows the hidden complexity of our world: you can't have 2 or 3 attributes ticked and hope to become king, all attributes play a key role.
In my experience, the methodology attribute is the most neglected one...

Penelope

about 4 years ago

Avatar-blank-50x50

Barry Mann

There has to be buy-in from top level management as this is necessary to make the investment decision in people and tools needed to extract the insight from the tools. Too often the vendor is blamed, one of the main problems is the poor quality of ill-thought out and abandoned installations.

about 4 years ago

Stephane Hamel

Stephane Hamel, Director, Strategic Services at Cardinal Path

@Penelope: indeed, Methodology is the weakest aspect - regardless of geographies, verticals, years of experience, management buy in and such. The benchmark results clearly confirm a need to embrace proven problem solving/systematic improvement methodologies (such as Lean SixSigma). Simply thinking in terms of DMAIC - Define/Measure/Analyze/Improve/Control - has huge impacts on the value brought by analysts. It doesn't mean everything has to be Six Sigma, but leveraging some aspects of it really shift analysis from ad hoc, anecdotal successes to a more rigorous, systematic and better aligned recommendations.

There are actually some organizations that are well balanced on all six key attributes. It doesn't have to be level 5. If you were balanced at level 2 or 3, it would mean you are reaping off the best possible ROI of analytics for the aspects of measurement and optimization you can control, influence and manage.

@Barry: First, vendors... oh vendors... they are to be blamed for overselling the simplicity of "put a tag on every page" and you will get magic reports telling you what to do. After switching tools several times... maybe one has to realize the problem isn't the tool! There must be something else - and that's where the other five key attributes of the OAMM come to play.

Secondly, when I say "the right level of management buy-in" I want to highlight the fact that if your CEO is really data-driven and push for it but the other key attributes are too low, you won't be able to deliver to expectations - you will need to manage expectations while you grow the other aspects. Conversely, if much lower then other attributes, it often means you don't have the budgets to get the right tools, expertise and work on the right things. The same goes for Objectives and Scope - if too high compared to others, you will fail.

about 4 years ago

Avatar-blank-50x50

Luis Panozzo

Concur ... what is the purpose?

about 4 years ago

Stephane Hamel

Stephane Hamel, Director, Strategic Services at Cardinal Path

@Luis: Have you ever heard of the Business Intelligence Maturity Model proposed by The Datawarehouse Institute? (http://tdwi.org/pages/maturity-model/maturity-model-home.aspx) or the Gartner Project Management Maturity Model (http://www.gartner.com/id=1422722) - the OAMM is basically a similar approach specialized for digital analytics.

By uncovering your strengths and weaknesses and sharing the results of a self assessment witch colleagues, managers and business stakeholders you can show leadership, spark the discussion and raise interest. You can develop a clearer roadmap about what should be done next. While the fingers are often pointed at the tools and technology, the reality is other aspects are much more critical if you want to succeed at analytics. This first post was intended to do just that - spark the discussion.

about 4 years ago

Ashley Friedlein

Ashley Friedlein, Founder, Econsultancy & President, Centaur Marketing at Econsultancy, Centaur MarketingStaff

I need to look through the actual model in more detail but there is absolutely a lot of value in having a model in the first place. We work with a lot of HR/Learning & Development departments who want to upskill their digital teams, or measure/benchmark their digital capabilities, but it is very hard to do unless you have some kind of maturity model like this. So great to see these coming out for various digital marketing disciplines.

about 4 years ago

Avatar-blank-50x50

Chris Dowsett

Stephane - really interesting model. Nice work. I've been working on my Doctorate on how business leaders use data and analytics and market intelligence more broadly.
What are your thoughts on analytics teams/functions being a bit isolated or in a silo because of the assembly line idea?

about 4 years ago

Stephane Hamel

Stephane Hamel, Director, Strategic Services at Cardinal Path

@Chris: in a manufacturing environment, the assembly line becomes very efficient at processing raw material (the data) and turning it into a finished product (business insight). If we have an efficient analytics approach, we are able to efficiently transform the right data into ever more valuable insight - and thus, increase velocity and agility.

There are many ways to structure the team. While initially/frequently under marketing and servicing a specific business function, more mature organizations rely on a "center of excellence" or "hub and spoke" model where the specialized team can service all business units. As the business stakeholders become more comfortable at leveraging analytics (educated & empowered), the core team can tackle ever more challenging issues.

Of course, an analogy is never perfect, but I think it offers a good starting point.

about 4 years ago

Comment
No-profile-pic
Save or Cancel
Daily_pulse_signup_wide

Enjoying this article?

Get more just like this, delivered to your inbox.

Keep up to date with the latest analysis, inspiration and learning from the Econsultancy blog with our free Daily Pulse newsletter. Each weekday, you ll receive a hand-picked digest of the latest and greatest articles, as well as snippets of new market data, best practice guides and trends research.