Decision-making is the most important task of any CEO, but many spend too long on decisions and still rely on ‘gut instinct’. Decision Intelligence technology is regarded as a solution to the growing complexity of corporate decision-making. Our new White Paper explains how some of the world’s biggest companies have used this emerging technology to transform their decision-making–and how data from Nexis® Solutions can make it even more effective.
How and why companies are changing their approach to decision-making
A Bain study found that the effectiveness of decisions correlates by 95% to firms’ financial performance. Yet decisions made within companies tend to be excessively slow and burdensome. A McKinsey survey of more than 1,200 executives found that managers at Fortune 500 companies waste on average 530,000 days a year combined making decisions.
Moreover, in the past decade, decision-making has become more and more complicated. One reason for this is that the digitization of business–and the world–means that data is constantly being generated, and companies need to find relevant insights from this data to support their decisions. Another is that executives can no longer make decisions based solely on whether it will make them a profit, but must consider growing expectations around ESG compliance from consumers, investors and employees.
Some firms have tackled this challenge by adopting Decision Intelligence, a novel application of AI to concrete problems and decisions faced by companies. It uses decision mapping, AI, Machine Learning and automation technologies to make practical recommendations to answer a specific question it has been set. Some companies use it to assist staff to make decisions; others have gone further and empowered it to automatically implement its decisions.
Decision Intelligence: Providing a competitive advantage for early adopters
Organizations are already seeing benefits from the technology. For example:
- A multinational consumer goods firm has adopted Decision Intelligence to make faster decisions to improve supply chain resilience through forecasting and data analysis.
- A bank in Brazil uses AI to make decisions around awarding credit, and making recommendations on financial intelligence for its customers.
- A British telecommunications firm is using Decision Intelligence to improve the decisions it makes for its customers by tracking all their interactions with the company across the services it offers.
- A Chinese conglomerate has set up an in-house “laboratory” for Decision Intelligence which aims to improve content recommendations given to users, and its pricing of goods and services.
- Decision Intelligence has helped an American National Football League team to increase revenue by 14%.
An analysis of how Decision Intelligence is being used reveals that the benefits of the technology include:
- Efficiency: Decision Intelligence saves employees time that would otherwise have been spent manually sifting through data, and it provides recommendations and decisions almost instantly. This frees up executives’ time to focus on other areas.
- Practicality: Decision Intelligence provides a concrete recommendation based on parameters set by the user, who does not have to be a technology or data specialist.
- Continuous improvement: Decision Intelligence applications include a closed loop feedback system which learns over time–both from new data it ingests and from employees reviewing the decisions it makes. The quality of its decisions should therefore get better over time.
- Forward-looking: Decision Intelligence can analyse both historical and current data to make predictions which are easy for users to understand and act on.
Unsurprisingly, then, the use of Decision Intelligence is predicted to accelerate in the coming years. North America is witnessing the largest growth, but the trend is truly global–fuelled by companies’ increasing familiarity with digital working since the start of the pandemic. Gartner estimates that over a third of large organizations will use Decision Intelligence by 2024, which is similar to the International Data Corporation’s prediction of a third using it by the end of 2023.
Drive Decision Intelligence applications with high-quality and enriched data from Nexis® Solutions
Decision Intelligence, predictive analytics, machine learning algorithms and other AI applications won’t run on empty. Nexis® Data as a Service offers bulk, constant call data APIs and on-premises applications for delivering highly relevant, archival and current datasets to power your big data projects, whether that’s advanced analytics, Decision Intelligence or another data need.
Nexis Data as a Service offers a range of benefits which meet the core needs of Decision Intelligence and lay a firm foundation for the technology to be successfully implemented. Its many benefits include:
- We offer an unmatched collection of enriched, global data that empowers your company to find insights that deliver a meaningful return on your technology investment–all from a single vendor.
- In a world full of questionable data with dubious origins, you can trust the depth, breadth and integrity of Nexis Data as a Service. No other company can match the quantity and quality of our data, which includes 80,000+ news sources from 100+ companies, 1,400+ sources on global sanctions, and watchlists and company data on more than 165 million companies.
- Nexis Data as a Service pairs our unmatched, trustworthy content with sophisticated, dynamic smart data enrichments, delivering them in a format that suits your unique needs.
- Every piece of content in Nexis Data as a Service’s system is analyzed and categorized by subject, industry, organization, people and place to help transform data into decisions more quickly. Deep enrichments support more targeted data calls that yield more relevant results.
You can download our free White Paper, The Future of Decision-Making here !