The author argues that the PROFIT framework provides a comprehensive analysis of the ROI for DA projects, helping companies enhance their market presence and build customer trust. It also helps companies overcome data literacy challenges and skepticism, integrate DA, and win organizational support. The framework serves as a guide, demonstrating the tangible benefits of DA investments, augmented by AI, and helps businesses quantify the impact of their data-driven strategies.
Key takeaways:
- The PROFIT framework is a structured methodology for executives to navigate the complexities of data analytics (DA) investments and measure their return on investment (ROI).
- The framework identifies gains across six different dimensions: Position in the Market, Risk Management, Operational Excellence, Financial Performance, Innovation, and Trust Building.
- Each stage of a DA or AI program’s life cycle, from business case creation to post-program evaluation, requires a nuanced approach to comprehensively assess the ROI of DA investments.
- The PROFIT framework helps businesses quantify the impact of their data-driven strategies and demonstrate the tangible benefits of DA investments, augmented by AI.