READINESS OF LATVIA’S ORGANIZATIONS FOR ADVANCED ANALYTICS

Abstract

The advanced analytics is one of the core tools to provide competitive advantage, sustainable development and foster productivity of the organization. Digital transformation and advanced analytics are two key trends in the emerging age of data, analytics, and automation. Digital transformation is the process of transforming how businesses operate when faced with digital disruption. Advanced analytics is the application of predictive and prescriptive models to analyse large, complex datasets in order to make critical business decisions. The focus of the paper is to assess the maturity level of advanced analytics in the organizations of Latvia by region, size and industry. Assessment was done by several domains like Organization, People, Data, Analytics, Technologies. The quantitative online survey was performed to assess the readiness of Latvia’s organizations for advanced analytics. The questionnaire was developed based on an academic literature review, reports and publications by researchers, analytical sector, industry experts and Author’s professionals experience in advanced analytics industry. The overall readiness level of Latvia’s organizations is 2.4 in 5 points scale. It differs by region, size of the organization and industry. Most of organizations do not have Analytics strategy, majority use spreadsheets based analytical tools, half of organizations use mostly only internal data, more than third part of organizations do not have any analytical resources. It leads to conclusion that majority of Latvia’s organizations are far from ability to improve productivity, be able to maximize the potential of the digital environment, to exploit data to make data-driven and automated decisions and are far from 21st century digital opportunities. Thus, puts under danger the sustainability of the organizations itself.