How much should you rely on data and analytics in your wholesale distribution business? Fair question. I found a great answer over at our sister site MDM.com in an interview with Tony Pericle, author of Transforming Data into Action: Using Analytics for Better Distributor Sales Decisions. Here is how Tony explains the importance of analytics:
“Analytics can both provide advanced warning of an impending storm and identify alternative paths around a storm. Companies need to constantly monitor the landscape ahead and course-correct when necessary or risk ending up in the wrong place.
The story is told that, going to the moon, if they’re off by 1/100 of a percent, they are going to be thousands of miles away from the moon. When you make a decision using analytics, you can bet that if you did it right, you did not go in the right direction. The wind is going to pick up stronger than you anticipated; you’re going to be pushed off-course somehow. You need to be able to measure your performance and then make a course correction.
That’s what analytics is all about. It’s not about, ‘Here’s the perfect price,’ or, ‘Here’s the perfect way of doing something.’ Analytics is about giving people guidance.”