Data-Visualization is not just a word. Let me tell you why.
A huge amount of data is being generated every single moment, even while you’re reading these words, at unbelievably rapid speeds across the globe. According to an estimate, the global annual rate of data production in the year 2015 was 5.6 Zettabytes. That was almost double the rate of growth just three years back in the year 2012.
But for all the data that’s being created by people, machines, Internet-enabled devices, and other sources, data doesn’t provide executives and other decision makers with valuable insights on its own. The data must be gathered, organized, made interpretable, and then analyzed and acted on to provide any meaningful value. This is where data-visualization steps in, and allows the organizational leaders to access and interpret data in real-time so that they can make highly informed decisions quickly.
Data-Visualization tools and techniques offer executives and other knowledge workers new approaches to dramatically improve their ability to grasp information hiding in their data. The primary ten advantages offered by data-visualization to decision makers and their organizations are as follows:
1. Enhanced Assimilation of Business Information
Human eyes are able to absorb and grasp information more easily through visuals and images than texts and numerical figures. Still, most business intelligence reports that are compiled for senior management are typically populated with static tables and charts that fail to make information vivid for those who view it. In contrast, data visualization enables users to receive vast amounts of information regarding operational and business conditions. Data visualization allows decision makers to see connections between multi-dimensional data sets and provides new ways to interpret data through the use of heat maps, fever charts, and other rich graphical representations.
2. Quick Access to Relevant Business Insights
Adopting visual data discovery, business organizations improve their ability to find the information they need when they need it and do so more productively than other companies. According to a study conducted recently, business managers in organizations that use visual data discovery tools are 28 percent more likely to find timely information than those who rely solely on managed reporting and dashboards. Moreover, 48 percent of business intelligence users at companies that use visual data discovery are able to find the information they need without the help of IT staff all or most of the time.
3. Better Understanding of Operational & Business Activities
An important advantage of data visualization is how it enables users to more effectively see connections as they are occurring between operating conditions and business performance. In today’s highly competitive business environment, finding these correlations among the data has never been more important. For example, by providing a multi-faceted view of business and operating dynamics, data visualization permits the senior leadership teams to see how the first-contact resolution rates in remotely located customer call center have performed recently, dramatically impacting customer satisfaction.
4. Rapid Identification of Latest Trends
In this age, the volume of data that companies are able to gather about customers and market conditions can provide business leaders with insights into new revenue and business opportunities, presuming they can spot the opportunities in the mountain of data. Using data visualization, decision makers are able to grasp shifts in customer behaviors and market conditions across multiple data sets much more quickly.
5. Accurate Customer Sentiment Analysis
Using data visualization, companies can attain a deeper dive into customer sentiment and other data, which reveals emerging opportunities for them to launch new services to their customers. These useful insights enable the enterprises to act on new business opportunities for staying ahead of their rivals.
6. Direct Interaction with Data
Data Visualization also helps the companies to manipulate and interact with their data in a direct manner. One of the greatest strengths of data visualization is how it brings actionable insights to the surface. Unlike one-dimensional tables and charts that can only be viewed, data visualization tools enable users to interact with data.
7. Predictive Sales Analysis
With the help of real-time data-visualization, sales executives can carry out advanced predictive analytics for their sales figures, viewing up-to-date sales figures and see why certain products are underperforming and the reasons that sales are lagging. For example, discounts offered by competitors may be one of those reasons.
8. Drill-Down Sales Analysis
Using heat map data-visualization, business executives can illustrate which product groups are performing well or underperforming, and drill down into the data to determine the factors that are shaping sales. The data might reveal that pet-care products are underperforming, but that higher-income customers represent the majority of sales. These insights could be used to target promotions to this customer segment to increase conversion rates and revenue growth for this category.
9. Easy Comprehension of Data
Utilizing data-visualization, companies may approach huge data and makes it easily comprehensible, be it the field of entertainment, current affairs, financial issues or political affairs. It also builds in them a deep insight, prompting them to take a good decision and an immediate business action if needed.
10. Customized Data-Visualization
A yet another vital advantage of Data-visualization is that it not only provides graphical representation of data but also allows changing the form, omitting what is not required, and browsing deeper to get further details. This is a great eye catcher and attracts business executives’ attention better and provides better communication. Additionally, it provides a great advantage over traditional methods of presenting data.
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