- Category: Widget
- Published on Tuesday, 21 October 2014 13:42
- Written by Isaac
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Business Intelligence Propels Success
Staten Island commercial bank sees merit in ways an enterprise can grow
STATEN ISLAND, N.Y. – Operating above the curve instead of below it is the aim in gathering business intelligence.
Victory State Bank, Staten Island's only community-based business bank, concurs with a study showing how owners inexpensively can map their forward plans.
Identifying best customers, concentrating on the most profitable products or services and finding tools to reduce costs and improve efficiencies are the objectives.
Research at St. Joseph's University in Philadelphia has pinpointed five ways small-business owners can advance by accumulating business intelligence (BI) in attaining goals.
(1) Assess the information technology (IT) infrastructure because consistency in technology is critically important, the researcher found.
How does the business gather information? To which network are the computers connected? Is everyone using the same system?
“In the supply chain, the information always follows the product,” the researcher, Ginny Miori, Ph.D, says.
“Small businesses are successful when … information follows an efficient path between all concerned parties.” This is particularly important to maintain customer satisfaction, she adds.
(2) Data mining helps owners improve their understanding of workers and customers.
“Many small businesses aren’t in the financial position to hire a market research firm, but that doesn’t mean you can’t get your hands on relevant data,” says Miori.
“In addition to sales and inventory data your organization may collect, there is a surprising amount of free data available through the government.” She recommends the U.S. Census Bureau and the U.S. Department of Labor Statistics as credible sources for data collection.
(3) Forecasting uses the information from data mining and applies techniques to predict future growth on which to forecast sales and staffing needs.
Forecasting, therefore, is the cornerstone of business according to Miori. “It’s important to get it right the first time or small business owners carry a huge risk,” she explains. “Forecasting helps you to build your business to meet customer demand and better manage future growth.”
(4) Strive for defect-free operations in using materials efficiently. It can be as simple as re-arranging a store layout so employees can streamline getting from one location to another over the shortest distance.
Or, it might mean stocking your warehouses in a way where your most popular products are positioned closest to the shipping facility.
In the jargon of business management, this “Six Sigma” approach boils down to making defined improvements, each with targets and each one measurable.
“No task is too small for an efficiency makeover,” according to Miori. “Once your business grows, even the smallest inefficiencies can become costly in both time and money.”
(5) Decision-making matters. Small business owners make decisions every day. However, strategic decisions that have a significant business impact are made less often.
Miori advises owners to make these decisions based on trends and behaviors identified through data mining and forecasting. “This is what BI is all about,” says Miori.
“Smart companies employ business intelligence to gain a better understanding of their operations, so they can make strategic decisions that advance their business and sustain future growth.”
About Victory State Bank
VSB Bancorp, Inc. (OTCQB: VSBN) is the one-bank holding company for Victory State Bank. As Staten Island, N.Y.’s only community-based commercial bank, Victory State Bank operates five full-service locations on the Island: The main office in the community of Great Kills, and branches in the communities of West Brighton, St. George, Dongan Hills and Rosebank. For additional information, Victory State Bank may be reached at 718-979-1100 or visited online at www.VictoryStateBank.com.