Comments on: The Value of a Great Analyst- About $3M per Year! http://www.freakalytics.com/2009/06/12/the-value-of-a-great-analyst-about-3m-per-year/ Rapid Analytics to Explore, Understand, Communicate and Act™ Wed, 11 Aug 2010 18:52:16 +0000 hourly 1 http://wordpress.org/?v=3.0.1 By: Alan Churchill http://www.freakalytics.com/2009/06/12/the-value-of-a-great-analyst-about-3m-per-year/comment-page-1/#comment-143 Alan Churchill Sat, 04 Jul 2009 16:59:53 +0000 http://www.freakalytics.com/blog/?p=149#comment-143 Hi Stephen, I think it should be expanded outward to include IT consultants. Now, no guffaws. I honestly think an IT consultant can also have a huge hit on a company's bottom-line. I'll provide an example. I recently switched a manual process at a very large company to an automated process. Cost savings: Original process: 50 hours per diagram New process: 30 seconds Total engineers doing this process: 18 Average diagrams per year: (let's guess) 10 Average salary per engineer: (let's guess) $150,000 fully loaded Ok, original process 18 * 1440 mins * 10 = 259200 mins = 4320 hours New process, 18 * .5 mins * 10 = 90 mins = 1.5 hours Total dollars saved; 4318.5 * ~$74 = $319,570 Now, I am being conservative, real dollars, and focused on direct costs/benefits. Not sure about the numbers but they should be in line. It is late though and I am debugging code so double-check and question....;-] Alan Churchill Hi Stephen,

I think it should be expanded outward to include IT consultants.

Now, no guffaws. I honestly think an IT consultant can also have a huge hit on a company’s bottom-line. I’ll provide an example.

I recently switched a manual process at a very large company to an automated process. Cost savings:

Original process: 50 hours per diagram
New process: 30 seconds
Total engineers doing this process: 18
Average diagrams per year: (let’s guess) 10
Average salary per engineer: (let’s guess) $150,000 fully loaded

Ok, original process 18 * 1440 mins * 10 = 259200 mins = 4320 hours
New process, 18 * .5 mins * 10 = 90 mins = 1.5 hours

Total dollars saved; 4318.5 * ~$74 = $319,570

Now, I am being conservative, real dollars, and focused on direct costs/benefits.

Not sure about the numbers but they should be in line. It is late though and I am debugging code so double-check and question….;-]

Alan Churchill

]]> By: James Lytle http://www.freakalytics.com/2009/06/12/the-value-of-a-great-analyst-about-3m-per-year/comment-page-1/#comment-125 James Lytle Mon, 29 Jun 2009 14:37:11 +0000 http://www.freakalytics.com/blog/?p=149#comment-125 Great post. My hope is visual analytics will emerge with new weight in the 21st century. The combination of having highly skilled researchers/thinkers/and visual communicators, I am convinced, will be the difference between agile, successful companies and the rest. We need more stories told that cast a vision for the importance of good analysis. Great post. My hope is visual analytics will emerge with new weight in the 21st century. The combination of having highly skilled researchers/thinkers/and visual communicators, I am convinced, will be the difference between agile, successful companies and the rest. We need more stories told that cast a vision for the importance of good analysis.

]]> By: lee kariuki http://www.freakalytics.com/2009/06/12/the-value-of-a-great-analyst-about-3m-per-year/comment-page-1/#comment-94 lee kariuki Sun, 14 Jun 2009 20:48:11 +0000 http://www.freakalytics.com/blog/?p=149#comment-94 Well i'd have to concur with you when it comes to the real value of an analyst. In my view i believe that analysts are the bloodline of any business as they comb through data and using advanced statistics,(MVA,PCA...etc) are able to 1.Prioritize what is most important to the company. eliminate waste 2.put the company's goals in perspective 3.create a system that will help in automation of company policy The flip side to that is that there exists very sophisticated software that is capable of screaming to you the future....but unfortunately some analysts lack the mere understanding of the power of the apps. Some charge licenses of up to $30,000 a year which is all good but if the analyst is not aware of what the software can do it looses meaning. Software is only as good as the user! Well i’d have to concur with you when it comes to the real value of an analyst. In my view i believe that analysts are the bloodline of any business as they comb through data and using advanced statistics,(MVA,PCA…etc) are able to
1.Prioritize what is most important to the company. eliminate waste
2.put the company’s goals in perspective
3.create a system that will help in automation of company policy

The flip side to that is that there exists very sophisticated software that is capable of screaming to you the future….but unfortunately some analysts lack the mere understanding of the power of the apps. Some charge licenses of up to $30,000 a year which is all good but if the analyst is not aware of what the software can do it looses meaning. Software is only as good as the user!

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