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Giving business
a sporting chance
Point of View
cars’ chassis. Rapid data analysis helps One key insight: The approach must be companies such as Google, Tesco,
managers decide whether a car can applied consistently. The former manager Honda, Capital One and Harrah’s
pull into the pits early, whether it can of baseball team, the Boston Red Sox, Entertainment are already gaining
take on less fuel or whether its gearbox learned that lesson the hard way. The significant competitive advantage
is heating up—just a few of the factors Sox lost a pivotal game to their arch- by using analytics to out-think and
where the right data at the right rival after the manager let a star pitcher out-execute their competition.
time can help determine whether the remain in the game well past the point For organizations that have not yet
car finishes the race and where it is at which the analytical data had clearly started down this road, emulating
finally placed. indicated that the pitcher would falter. teams that know a thing or two about
successful competition can help
Similarly, most business executives Consistency isn’t the only issue: An
jumpstart their efforts.
could benefit by studying how Bolton analytical approach is only as good as
Wanderers Football Club in the United the data being used. Sports teams with
Kingdom applies analytics to turn strong analytical capabilities are acutely
its loyal fans into higher-spending sensitive to the “garbage in, garbage Data, especially in
customers. Until fairly recently, almost
all of the British team’s income came
out” maxim. That explains why several
top F1 racing teams use hardware and
the form of statistics
from ticket sales—a significant challenge software solutions that are highly about players and
since its fan base was smaller than compatible so the data their technicians
that of many of the clubs with which it are monitoring is as accurate, consistent
teams, has traditionally
competes. Today, Bolton Wanderers gets and up-to-the-minute as possible. been fodder for sports
a third of its revenues from non-revenue Another way that sports teams gain
activity—the consequence of capturing a advantage is by discovering new metrics commentaries or office
steady flow of data from the smart cards such as the popular Roland Rating that chat. Only recently
carried by its fans and then analyzing has become an accepted means of
the data using a sophisticated customer measuring a basketball player’s value has hard data begun
relationship management system. to the team. to transform the
These teams and many like them Some organizations are not waiting to
have learned what it takes to get the see what sports teams can teach them.
management of
most out of their analytics approaches. In virtually every industry and geography, professional sports.
About the Author About Accenture About Accenture
Jeanne G. Harris is an executive Information Accenture is a global management
research fellow and director of Management Services consulting, technology services and
research at Accenture’s Institute outsourcing company. Combining
for High Performance Business, Accenture Information Management unparalleled experience, comprehensive
where she leads research in the Services is a global cross-industry capabilities across all industries and
areas of information, technology, organization focused on bringing business functions, and extensive
and strategy. She is co-author with clients solutions to better manage research on the world’s most successful
Tom Davenport of Competing on their business, interact with customers companies, Accenture collaborates
Analytics: The New Science of Winning, and make strategic, financial and with clients to help them become
Harvard Business School Press, 2007. operational decisions. Working across high-performance businesses and
Accenture’s service lines and industry governments. With more than 175,000
groups, this network of 13,000 people in 49 countries, the company
professionals* specializes in generated net revenues of US$19.70
information management services billion for the fiscal year ended Aug.
including business intelligence, portals 31, 2007. Its home page is
and content management and data www.accenture.com.
management and architecture. For
more information about Accenture
Information Management Services,
visit www.accenture.com/
informationmanagement.
*as of August 1, 2007.