Question

Business Analytics (BA) refers to the tools and techniques that make it possible to glean value from big data. These tools are used to turn data into actionable information for management, organization and decision making. Majority of organizations can benefit from BA, but here are some of the indicators that you should look into a BA strategy for an organization:

• The need to integrate data from multiple business applications or data sources

• Lack of visibility into the company's operations, finances, and other areas

• The need to access relevant business data quickly and efficiently

• Increasing volume of users requiring and accessing information and more end-users requiring analytical capabilities

• Rapid company growth or a recent or pending merger/acquisition

• Introduction of new products / services

• Upgrades within the IT environment

Your task Your task for this assignment is to select at least one industry such as telecommunication, healthcare, banking and finance or any other relevant industries. You need to investigate the utility and effects of a churn prediction model as a business analytics application in that industry. The report should be 3000 words that should address the following aspects of BA implementation:

1. Overview of the selected industry

2. Drivers to adopt churn prediction model as a BA model

3. Perceived benefits to achieve from that BA model

4. BA strategy employed by the industry

5. Challenges to BA strategy

6. Actual benefits achieved through the implementation of BA

7. Drawback of the selected BA strategy

8. Your recommendations to make more effective BA strategy

Answer 1

1. Overview of the selected industry

The Media and Entertainment industry is one of the fastest growing and Imagine Industry that adds a major part in boosting the GDP of a country. Industries such as television, radio,music, digital media,film, print, animation are subset of the Media and Entertainment Industry . The growing popularity of the media and entertainment industry is due to the growing demand of youth customers towards this sector. They found the media and entertainment industry as the major source of their entertainment. Web series,short movies and many other superfighters movies attract the youth population towards the Media and Entertainment Industry. The use of VFX,various kind of attractive graphics,prosthetics are always fascinating for the today's youth population

According to market survey the Indian media and entertainment industry is expected to reach around Rs 307,000 core crore (US$ 43.93 billion) by 2024. Introduction to new apps for entertaining the people are becoming very much popular such as Netflix, Amazon Prime,hotstar,Voot etc. attracts the youth customer towards itself. The unique content available on such platforms are always fascinating for the youth and make them want to watch those serials, web series ,movies or short movies with full zeal. The content of the serial order web series acts as a magnet which attracts the youth customers who are like iron towards itself. Also the emerging trend of music videos act as an add-on to the growth of the media and entertainment industry. The growth of the film industry across the world holds all levels of the customer segment.

2. Drivers to adopt churn prediction model as a BA model

Churn prediction model is the most widely and popular forecasting model to predict the customer churn and to make necessary decisions according to it. Customer churn is also known as customer attrition where customers decide to break their relationship with the company ending their subscription. It helps to determine the frequency with which customers are using the application and through this data company can find out who is near to end the subscription. Customers usually end their subscription without notifying the company results in the loss for the company. For this purpose the churn prediction model is a tool of the big data business analytical models which helps to identify and overlook the frequency with which customers are using the application and to determine who are near to the end of subscription. This saves the company from bearing the huge loss and also points that the company needs to rethink about their policies and their content and to find out why customers are moving out and likely to end the relationship with the company by ending their subscription.It is because of variety of reasons like- bad content, privacy issue, the virtual view of website, lack of ongoing customer success,difficulty in operating the application,so much advertisement,bad onboarding, lagging in application, bad customer service etc.

Drivers to adopt churn prediction model as a BA model:

• This model saves the company to bear the huge loss.
• It also helps the company to understand the behaviour of their customer.
• Churn prediction model helps to forecast the customer churn.
• Helps to identify and segregate the customer segments according to the use of data.
• Chand prediction model also helps the company to rethink about their policies and to review the content for the material they are providing to the customers.
• Helps to reduce the customer churn by providing the data or content according to their need.
• It helps to improve the subscription rate.

3. Perceived benefits to achieve from that BA model

Business Analytics (BA) refers to the tools and techniques that make it possible to glean value from big data. These tools are used to turn data into actionable information for management, organization and decision making. Business analytics is a statistical analytical model which is used to identify and evaluate the past data which helps to plan the future. It is an iterative model that is used by the firm to explore the organizations data.It is data driven technology used by organizations to process the stored data and to use it whenever a company needs it. Business analytical model is an automated process model used to drive and pick out meaningful customer data .

Perceived benefits to achieve from that BA model

• It helps to identify the areas where the company has to invest more.
• Helps to calculate the return on investment from the investment that company made.
• Business Analytical models also had to predict the customers choice overview in their frequency of using the application.
• It helps to manage and maintain the customer data efficiently and quickly.
• Business analytical model is used to sort and store the customer data.
• It is a tool and techniques that make it possible to glean value from big data.
• It helps to turn data into actionable information for management.
• Business analytical model helps to make decisions regarding the company by analysing the data.
• Business analytical model helps to bridge the gap between the current need and the future need and to develop the application according to the difference.
• The data driven from the business analytical models help for successful accomplishment of projects.
• It helps to identify the area where the cost can be cut and projects can be done by achieving economies of scale.

4. BA strategy employed by the industry

The media and entertainment industry highly used the business analytical model as the tool to predict the future and to determine the customer churn. The media and entertainment strategy used the churn prediction model to determine the working or subscription frequency of the customer.

It also helps to identify the customer requirement by analysing their frequency of usage of applications. Media and entertainment industry focuses on a business analytical model to organise their data effectively and also to maintain the privacy of the data of their customers.

5. Challenges to BA strategy

There are various challenges that business analytical strategy has. These challenges are difficult to handle but if handled efficiently then will result in a success. Efficiently handling the challenge of the business analytical strategy gives the competitive advantage to the company. Various challenges to BA strategy are:

1. Integration of data : it is difficult to integrate data from multiple business applications or data sources. There are a large number of customers who are attracted towards the entertainment and media industry therefore it is necessary for the organisation to integrate their data efficiently and handle it properly.
2. Protection of privacy of data: another important challenge to be a strategy is to protect the privacy of customers data. It is necessary for the organisation to protect the privacy of customer data in order to safeguard them from the malware. It is the responsibility of the company to protect the customer data and if it fails to maintain ,manage and protect the customer data then it will result in the beachment of law.
3. Lack of visibility : the lack of visibility into the company's operations, finances, and other areas is also a key change to BA strategy.
4. Access relevant business data: the access of relevant business Tata quickly and efficiently is also a challenge because the software handles a large amount of data. Therefore the business analytical model should be used in such a way that it handles the bulk amount of data efficiently and quickly and provides the data over a call whenever the company needed.
5. Increasing volume of users:Increasing volume of users requiring and accessing information and more end-users requiring analytical capabilities. Therefore the business analyst should be hired in such a way that he should possess highly thinking and analytical skills that can sort and merge the data to produce a meaningful result.
6. Rapid company growth : Rapid company growth or a recent pending merger/acquisition is a challenge to a BA strategy. Today the media and entertainment industry is rapidly growing therefore maintaining the data in such an industry is a key challenge.
7. Introduction of new products / services: Introduction of new product and service is another challenge for BA industry because the media and entertainment industry is growing day by day and due to such growth it is a challenge for the industry to introduce new kinds of unique content to the youth customers to gain competitive advantage.
8. Upgrades within the IT environment: the technology has been upgrading day by day therefore the media and entertainment industry which depends upon the technology need to be upgraded day by day accordingly. If any company lags in upgrading themselves according to technology then it will result in the failure of the company.

6. Actual benefits achieved through the implementation of BA

• Benefit achieved through the implementation of BA industry is that the company is growing day by day.
• It is seen in the growth of market share of the media and entertainment Industry that the implementation of BA strategy helps beneficial to it.
• The more attraction of the youth population towards the media and entertainment strategy shows the successful implementation of BA strategy.
• The availability of unique content or material that catches the mind of the customer segment proves that BA strategies are beneficial in achieving the competitive advantage.
• The growing chunk of the popularity and enhancing the GDP of a country due to the contribution of the media and entertainment industry shows that this industry has successfully applied the Chunk BA strategy.
• Through the implementation of junk prediction model the company can eliminate the unuseful content from their system which helps to retain their customer.

7. Drawback of the selected BA strategy

• The drawback of the selected BA strategy or the drawback of Chunk prediction model is that it focuses on the frequency with which the customers are likely to end the subscription, not on the need of customers.
• Chunk prediction model derives data from business analytical stored data on the software therefore there may be a chance that data is incomplete or not sorted.
• The biases of data affects the strategy used by the firm and results in the drawback of the BA strategy.
• Data collected from the various sources and stored in the be a software or cloud can misguide the business analyst.
• The use of BA strategy requires a high level of critical thinking that the business analyst may lags in.

8. Your recommendations to make more effective BA strategy

The Chunk prediction model is one of the bestest models that has been ever used to predict the nature of customers but it only deals with the understanding and evaluating only those customers who are likely to end their subscription with the company. Chunk prediction model fails to identify the customers choice because it evaluate only those data frequency through which customer are focusing on ceasing their relationship with the company but it didn't focus on the question suggest why customers are breaking their relationship ,what are their choices, it only focuses with the usage frequency and didn't focus on the why question.It only deals to predict various variables like customer profile, customer account information & services that he has signed up for without focusing on why customers try to and their subscription . Therefore I recommend to upgrade the technology and to focus on why they are ending their subscription not on the frequency of usage of data and ending the subscription.