By Published On: October 15, 2024Categories: , , , ,

Introduction

I don’t know what “age” we are in at the moment, whether we have moved into the “AI age” or are we are still in the age of digital transformation, whatever, or wherever we are one of the buzzwords for many business leaders today is: self-service analytics (SSA). Most executives think that they can switch this on and they will instantly get faster decision-making, employee empowerment, and operational efficiency. But, it isn’t that easy and most organisations today live in the midst of what I term “Spaghetti Junctionitis”

Spaghetti Junctionitis: A condition affecting many organisations where their systems, integrations, and data are so tangled and interconnected that they resemble a plate of spaghetti — chaotic, complex, and difficult to unravel. This mess of disorganised architecture leads to inefficiencies, slowed decision-making, and increased costs, making it far from the “delicious” promise of streamlined operations. Organisations suffering from Spaghetti Junctionitis often find that what was once meant to simplify and enhance performance has instead become a barrier to agility and value creation.

It is due to this that many organisations stumble when it comes to the implementation and sustainability of SSA.

For CEOs, COOs, CIOs, and CFOs, CDOs etc. this article offers a fresh perspective on how to make SSA a success — with a focus on business outcomes, value creation, cost benefits, and the critical (but often overlooked) role of the right operating model.

At its core, SSA is about democratising data access (ooh another buzzword), which really means that it will support employees across the organisation to generate insights and make informed decisions without relying on IT or data experts. The benefits of democratising data are of course extremely enticing:

  • Speed to Insight: SSA enables faster decision-making by reducing the lag between data requests and actionable insights.
  • Empowerment: With access to tools and data, business units can analyse trends and respond to challenges in real-time (that’s the hope and the panacea), fostering a culture of self-service utopia.
  • Efficiency and Scalability: By reducing the reliance on centralised analytics teams, SSA frees up resources for strategic initiatives and enables the organisation to scale its data capabilities more effectively.

The Reality Check

However, the road to achieving these outcomes is not as simple as it seems. Many organisations overlook the complexities involved in sustaining SSA and find themselves grappling with these common pitfalls:

  1. Lack of Strategic Alignment: You know me I always like a good old strategic alignment, because that means we are listening to what the business wants to achieve. Attempting to Implement SSA without understanding its role in the broader business strategy is a recipe for failure. Organisations must ensure SSA initiatives are tied directly to business outcomes and value creation.
  2. Overburdening Non-Technical Users: Expecting every employee to become a data analyst is unrealistic. While SSA provides powerful tools, many business users need ongoing support and training to derive accurate insights from the data.
  3. Data Quality Issues: Oh, woe is me! Haven’t we heard enough about data quality! Well, it gets even worse because we haven’t introduced governance, and without it SSA can lead to fragmented and unreliable data. Different teams may arrive at conflicting conclusions, undermining confidence in the analytics process and leading to poor decision-making.
  4. Tool Overload: I once did a capability assessment in a global organisation, where they have 50 BI tools! Crikey Major! Providing way too many analytics tools can confuse users and result in fragmented insights. Get clear on what is required and aligning it with business needs is essential.

The Critical Ingredient: The Right Operating Model

I will say it and keep saying as loudly as I can, one of the most overlooked — yet essential — factors in SSA success is the Operating Model. (Do you think I should count the number of times I say it on a daily basis..101, 102…) Simply rolling out SSA tools without the right operating structure in place is a recipe for disaster!

An effective SSA operating model ensures that the organisation has the processes, governance, and culture to support sustainable SSA. Without it, even the most advanced SSA tools will fail to deliver their promised value.

Many organisations underestimate the impact of the operating model on the success of SSA. SSA is not just about tools; it’s about building an entire ecosystem where people, processes, and technology work seamlessly together. The right operating model:

  • Aligns SSA with Business Strategy: The operating model ensures SSA initiatives are not isolated, but integrated into the broader business goals, enabling value creation and long-term sustainability.
  • Enables Collaboration Across Functions: To succeed, SSA must break down silos and foster collaboration between business and technical teams. A well-designed operating model facilitates this collaboration and ensures data is shared and utilised effectively.
  • Ensures Governance and Data Quality: Effective governance frameworks ensure that data remains consistent, high-quality, and trusted across the organisation. This is key to avoiding conflicting insights and ensuring the integrity of decision-making.
  • Supports Change and Cultural Management: SSA initiatives often fail because change management is treated as an afterthought. A successful operating model embeds change and cultural management at the heart of the process, ensuring employees are not just given tools, but are supported in adopting new behaviours and mindsets.

Key Elements of a Successful SSA Operating Model

  1. Collaborative Ownership: A successful SSA operating model requires buy-in from both the business and IT sides of the organisation. Business units need to “feel” ownership over the data they use, while IT ensures that the infrastructure, security, and governance are in place.
  2. Centralised Oversight with Distributed Empowerment: While SSA empowers business users, there must still be centralised oversight to ensure data accuracy and alignment with the organisation’s overall strategy. This model allows teams to operate autonomously while adhering to company-wide standards. It’s like having a smaller government oversight, most organisations today have top heavy often “death star” like empowerment!
  3. Cultural Transformation: The biggest pitfall in SSA initiatives is underestimating the cultural shift required. SSA isn’t just about handing over tools; it’s about fostering a culture where getting to the right decisions is key. Leaders must champion the shift in thinking, behaviour change and mindset swapping, and provide continuous support through training, communication, and resources.
  4. Agile and Flexible Processes: To ensure the long-term sustainability of SSA, organisations must embrace agility (with a small “a”). As business needs evolve, so too should the analytics framework. The operating model must be flexible enough to accommodate new business strategies, changing market conditions, and new data sources.

How Can We Ensure SSA Success

To maximise the potential of SSA, executives must ensure that its implementation is part of a broader, strategically aligned effort. Here’s how you can make SSA a success in your organisation:

  1. Start with Specific Use Cases: Identify clear business problems that SSA can solve and build the analytics framework around these use cases. Whether it’s improving operational efficiency or driving customer insights, SSA must deliver measurable business outcomes and deliver results.
  2. Measure What Matters: SSA should drive outcomes, not just insights. Track metrics like time-to-decision, increased revenue, or improved customer retention to measure SSA’s impact on your bottom line. Put in feedback loops where you can look at the entire decision making lineage from Strategic Objective to Result.
  3. Champion Change Management: Leaders must actively promote and support the cultural shift toward SSA and ensure that change management is not a one-off exercise; it’s an ongoing process that ensures the SSA framework is embraced and utilised effectively.

Don’t forget one thing: The Cost-Benefit Lens

For many organisations, the cost of implementing SSA can be significant. But when paired with the right operating model, SSA delivers long-term value far beyond its initial investment. By reducing dependency on centralised teams, and speeding up decision-making, SSA can lead to substantial operational efficiencies and faster time-to-market for strategic initiatives.

However, without the proper structure in place, the potential cost of failure is high. SSA done poorly can result in fragmented data, wasted resources, and misguided decision-making. That’s why a strategic, value-driven approach — supported by the right operating model — is essential.

In Summary

As I mentioned earlier SSA is not just about deploying tools, it’s about enabling value creation at every level of the organisation. The true potential of SSA lies in empowering teams to turn data into actionable insights that directly impact business outcomes, whether that’s driving revenue, improving customer experience, or streamlining operations. However, this can only be achieved with the right operating model, strong governance, and a culture that embraces new behaviours and mindsets.

Executives need to ensure that SSA initiatives are fully aligned with the organisation’s value creation goals and not just as a technical project, but as a strategic enabler for growth, innovation, and competitive advantage.

If you are suffering from “Spaghetti Junctionitis” and struggling to extract value from SSA, let’s discuss how the right strategy and operating model can turn analytics into a powerful engine for measurable business growth and success.

Now to make my tomato base.