As a data analyst you will be analyzing lot of datasets. All datasets cannot generate equal impact and value.
If analysis focuses on data and metrics that may not generate any business value then effort spent in analysis is a wasted investment. Data analyzed should establish a baseline, set a target and enable you to track progress towards a target.
As an example, measuring monthly personal expenses without any action is not useful.
- Based on measurement of expenses for a few months, average expenses can be set as a baseline
- A target should be set to reduce average expenses by 10-20% of baseline
- On a monthly basis progress can be tracked
We recommend reading following articles for more examples.