Bringing Operational Analytics Online  5 Easy Pieces

Here are five simple steps that enterprises should take as they bring new operational analytics solutions online

There is an increasing emphasis on leveraging operational analytics throughout the enterprise, but some businesses can end up less than happy with this strategic investment if they don't approach it properly. Supply chain professionals can easily avoid some common errors as they implement the business intelligence (BI) and enterprise performance management (EPM) solutions that provide those analytics.

Whether it is an entire suite of analytic applications, an inventory management solution or customer relationship management (CRM) analytics, here are five simple steps that every enterprise should take as it brings new operational analytics solutions online:

1. Set Measurable Objectives Make sure you set metrics for your BI initiative that take into account your supply chain's processes, prioritized objectives, and the possible challenges or constraints within your enterprise.

There are usually two types of business objectives that should be addressed in this stage: monetary gains and process gains across the enterprise. In the case of a food manufacturer, the most common monetary gains may come from having better visibility into data on pricing, promotions or expired inventory in order to better manage these areas. For process gains, it may be as simple as being able to distribute information deeper throughout the business to employees who can more quickly take action on what the data is telling them.

Whether companies focus on process or monetary gains or both, it is important to prioritize them first before taking the next step, so the enterprise remains focused on the key objectives throughout the implementation. It is simple to set an objective of reducing inventory by 3 percent in order to realize $5 million in savings on the bottom line. However, it may be better to take a tighter focus by trying to reduce out-of-stocks on