Operational Analytics in big data technologies is an opportunity and a challenge. The data is collected from various sources, and managing this vast data set from different sources is a complex task for analysis teams working at the backend. However, this data can be an excellent opportunity for businesses as it can level up the decision-making game based on valuable data. Operational Analytics is a subset of business analytics and focuses on immediate actions for making selections.

What is Operational Analytics?

Operational analytics is the process of using real-time data for making routine decisions. Relevant business information is stored in tools that analyze the data and identify problems and opportunities. Teams then use this refined data to make informed decisions. 

Operational analytics is a subset of business analytics. Operational analytics focuses on making immediate daily decisions based on extracted data. This type of analysis is used for predictive analysis using data mining and AI to relate to the data. 

How does Operational Analytics Work? 

Operational analytics are performed by merging data from different sources. This step-by-step guide to performing operational analytics includes the following: 

Step 1: Information is sent to a data warehouse to be sorted. 

Step 2: Valuable information is passed to operational teams to make informed decisions. 

The primary sources of data these days include: 

  • Internet or connected devices. 
  • Point-Of-Sales Systems (POS) 
  • Customer Relationship Management (CRM) 
  • Enterprise Resource Planning Software

Operational analytics allows the entire team to access the results of complex calculations that earlier required Spreadsheets. This information helps in automating the business's workflow. 

Benefits of Operational Analytics

Operational analytics benefits all industries from different domains of expertise. It reduces the chances of errors, enhances productivity, and improves forecasting. 

  • Enhanced Customer Experience: Operational Analytics helps teams detect problems and find solutions as soon as possible. Precise knowledge can offer customers personalized experiences. 

  • Customer Satisfaction: When problems are solved as quickly as they arise, customers get another level of satisfaction, enhancing their overall experience with the company. 
  • Quick Decision-Making: Daily decisions and real-time data improve quick decision-making. The company does not have to wait three or four months to generate valuable insights and take action. 
  • Increased Productivity: When decisions are made taking into consideration valuable insights, wastage and duplication of efforts are minimized. This results in enhanced productivity of the company. 
  • Increased Profits: Machine learning models provide highly efficient, cost-effective data that improves the business's profitability. 
  • Team Engagement: Every team member has equal access to data and can make decisions. This increases team engagement, which encourages harmony among the employees. 

Use Cases for Operational Analytics

The use cases for Operational Analytics apply to various areas, from healthcare to marketing, sales, and manufacturing. Some important use cases for operational analytics include: 

  • Agile Development: Teams can use operational analytics to provide feedback on product use patterns so that companies can enhance their apps.
  • Marketing: By analyzing customer online behavior, predictive analysis provides related product information to buyers to make a purchase. 
  • Churn Reduction: With operational analytics, models can detect when a customer will likely leave your business. Effective strategies are implemented to reduce the churn when this information is already available. 
  • Customized Offers: Complex analysis can go beyond demographic segmentation to create a relationship. For example, a store might input a customer's color preference for ethnic wear and automatically send a personalized email when new stock arrives that would appeal to the buyer.
  • Cross-Selling: Operation Analytics uses the existing customer base to increase sales. This customization can offer website recommendations and product references to customers from different websites. 
  • Customer Support: Smart architecture systems can detect first-time users of a particular product and provide welcome offers, cashback, or messages. For example, while signing up for an e-commerce website, as a new customer, the company offers an additional promotional 10% discount. 

Operational Analytics vs. Business Analytics


Operational Analytics

Business Analytics


Processes and day-to-day operations

Strategic decision-making and planning

Data Source

Real-time, transactional data

Historical and diverse data sources

Time Horizon




Monitor and improve operational efficiency

Forecasting, insights for strategic decisions


Supply chain optimization, fraud detection

Market trends analysis, customer segmentation


Often uses real-time dashboards and monitoring tools

Relies on data visualization, reporting, and advanced analytics tools


Operational staff, managers involved in day-to-day activities

Executives, strategic planners, analysts


Immediate impact on operational performance

Informed strategic decisions for overall business success


Operational Analytics is the one-stop solution for companies dependent on quick decision-making based on real-time data. Such analysis models are helpful to companies in numerous ways, explicitly improving their performance and enhancing growth. 

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Q1.How does operational analytics differ from traditional business intelligence (BI)?

Business intelligence focuses on strategic decision-making, whereas Operational Analytics focuses on real-time decision-making. 

Q2.What types of data are typically analyzed in operational analytics?

Big data sets like Log Data, Transactional Data, and Sensor Data are analyzed in operational analytics.

Q3.What industries can benefit from operational analytics?

Industries like Healthcare, Finance, Retail, and E-commerce can benefit from operational analytics.

Q4.What technologies are commonly used in operational analytics?

Data Integration Tools and real-time data processing are commonly used in operational analytics.

Q5.What challenges are associated with operational analytics?

Data Quality, consistency, and security concerns are examples of challenges associated with operational analytics.

Data Science & Business Analytics Courses Duration and Fees

Data Science & Business Analytics programs typically range from a few weeks to several months, with fees varying based on program and institution.

Program NameDurationFees
Post Graduate Program in Data Science

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Caltech Post Graduate Program in Data Science

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Data Analytics Bootcamp

Cohort Starts: 11 Jun, 2024

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Post Graduate Program in Data Analytics

Cohort Starts: 17 Jun, 2024

8 Months$ 3,749
Applied AI & Data Science

Cohort Starts: 18 Jun, 2024

3 Months$ 2,624
Data Scientist11 Months$ 1,449
Data Analyst11 Months$ 1,449

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