While there are many ways to classify an insight, from the D&A perspective, there are two types of insights: performance insights and actionable insights [4]. Performance insights provide new visibility or knowledge of the measurement entity. Examples of performance insights include the top three SKUs (Stock Keeping Units) by sales quantity, the top five customers by CLV (customer lifetime value), and so on. Performance insights can be generated by data scientists or even with generative belgium whatsapp number data AI tools like ChatGPT. Actionable insights, which are based on performance insights, are the insights that can be turned into action or response. An insight can be called actionable if it has three main characteristics.
Actionable insights consume business resources like money, labor, and equipment to implement the decision.
Actionable insights bring change in the business process when the decision is implemented.
With this backdrop, how can enterprises effectively deploy insights for actionable business outcomes? The FAAR framework can be deployed to increase the odds of insight consumption in organizations. FAAR is an acronym that is based on four factors: function, analysis, atomicity, and roles. The following section explains these four factors in detail.
Function states that insight consumption is dependent on the needs of the business stakeholders. Overall, there are three types of functions where stakeholders need insights in the organization: monitor, analyze, and details.