It was 2006, and I was about to learn a big lesson about the power of analytics. The organization I was working for had a profitability issue. They had tried everything, ‘upgrading’ leadership, reorganizations, cost reduction initiatives, you name it. But not matter what they tried, every time they acquired a new firm or grew their top line, their costs grew too.
The CFO and I had teamed up to start a new analytics initiative. He had a retail banking background and felt strongly that understanding profitability at the customer level would help the organization. So we set about proving it. We built an activity-based analysis of every customer. I thought it would be a great way to showcase what analytics could do and drum up support for the initiative. But something unexpected happened.
The analysis from the prototype was stunning. It challenged the entire organization’s mindset about the business. Once the CEO understood he now had something factual to work with, he immediately set about changing the way the organization worked. He changed their business models, pricing practices, resource allocations, leadership compensation, and even fired a few customers. At that time the organization was losing money and the stock price was around $25 a share. Today that organization’s top and bottom line is growing. And the stock price?…. $145 per share.
VP Analytics - Midwest Blues Plan
Phil’s contributions to the early momentum of our analytics program was invaluable. Without the business conversations, focus, and direction he brought, we would have been rudderless.
Looking back on this now, I realize that prototype was a pivotal moment. That was when the organization decided to be data driven about their decision making and their business. I'm calling it a ‘10X moment’. That point in time when an insight is so powerful it drives you to take data driven actions that net you a 10X result.
But I learned another import thing. That moment happened without a big technology investment. The prototype was built with the right talent, creativity, and nothing more than a PC. Success with analytics doesn't always require a big technology investment.
Today I help leaders at mid-sized healthcare organizations navigate the complexities of Informatics. Unfortunately, today’s digital world has made it all too easy to fall into the ‘black box’ trap. Thinking that Informatics success is just a matter of implementing a ‘system’. Action is what really matters, so I help my clients bring a results focus to their Informatics. That focus, along with the right talent, structure, and process helps organization’s experience their own 10X moments.
If you’d like to be more data driven and improve the growth and sustainability of your organization, please give me a call at 630.219.0047 or schedule a time with the link below. We’ll simply have a conversation about you and what you want to accomplish to see if working together is a fit.