July 2014
Beginner to intermediate
208 pages
4h 2m
English
book
Applied Insurance Analytics: A Framework for Driving More Value from Data Assets, Technologies, and Tools
by Patricia L. Saporito
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5. Analytics Value and Return on Investment
The business value of analytics, and how to determine value, has been a key element of strategic BI programs and analytics champions. According to a study by Nucleus Research, if the median Fortune 1,000 businesses increased their usability of data by just 10%, there would be an annual revenue increase of $2.0 billion. In the same study the firm stated that there is a 1,000% ROI for organizations that do make analytic investments. This projection is a bit aggressive for the insurance industry in which analytics are widely used; yet analytics are often stove-piped creating additional opportunities if integrated. Even one-half of this projection is a significant opportunity in the industry.
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