An analyst approaches his/ her subject without presupposition because he / she is attempting to determine an outcome. Any presupposition would supplant that determination, either partially or fully, thereby excluding analysis.
Then the analyst applies a methodology to measure the “moving parts” of the subject and compares those measurements to a standard norm. A result falling outside the range of the standard norm would normally tell the analyst something about his / her subject.
Using this process, it is always surprising to me how a simple solution can be found to what seems a complex problem. I’ve analyzed business operations of large companies that are generating operating deficits annually and found that the solution in many cases is a practice as simple as expense control. Many businesses run unprofitable operations simply because they don’t have a handle on controlling expenses.
Another simple solution to the complex problem of unprofitable business operations is budgeting. Most businesses undertake budgeting as a perfunctory exercise and pay little attention to detail or accuracy. Yet poor budgeting can break an otherwise profitable business faster than anything else.
Another is example is marketing. Many businesses that market their product or service have given little thought and less research regarding what demographic of the market is most likely to use their product or service, what marketing strategy will best reach that demographic, and formalizing a marketing plan that is comprehensive and effective. A formal, written marketing plan is often a simple solution to the complex problem of lagging sales.
Most people would think that expense control and budgeting are very basic financial tools to use in running a successful enterprise. Most homemakers do an excellent job employing these elementary procedures in running their households.
It is always surprising how many business entrepreneurs lose track of these basic concepts when times are good and then fall prey to the natural consequences of their lapse in an economic downturn. In preparing a marketing strategy and controlling expenses, shopping the competition and shopping pricing is a critical procedure. Most homemakers have a better handle on comparing prices than CEOs and Directors of large corporations.