IBM's business analytics revenue grew 14% in the second quarter across software and services, and to understand why is to learn how organizations are realizing the value of data and predictive capabilities.

One is the Memphis Police Department which has reduced serious crime by 31% by using IBM predictive analytics technology, and has seen a 15.4% drop in violent crime in four years.

And it's all due to the ability to evaluate criminal activity and incidents, forecast potential issues and then efficiently allocate resources where needed, whether its direct patrol assignments, task force efforts, increased traffic enforcement efforts and targeted investigations.

The Memphis PD helped develop Blue CRUSH, the Criminal Reduction Utilizing Statistical History, in partnership with the University of Memphis' Department of Criminology and Criminal Justice.

The IBM predictive analytics tools compiles volumes of crime records in seconds, including incoming data sources from patrols, pertaining to type of criminal offense, time of day, day of week or various victim/offender characteristics.

Blue CRUSH uses IBM SPSS predictive analytics to analyze past and present information and create multi-layer maps of crime 'hot spots' based on various arrests and incidents. The software enables Blue CRUSH to analyze an array of data in areas as wide as the city's entire nine precincts or narrowed down to a single block.

Blue CRUSH has been expanded over the years and works in tandem with MPD's Real Time Crime Center, a state-of-the-art crime monitoring and analysis hub that opened in June 2008.

This unique approach earned IBM and Memphis PD a 2010 Technology ROI Award from independent analyst firm Nucleus Research.

MPD can now guide daily decisions that address criminal activity and place officers in more strategic positions to respond to an unfolding crime.

One example: This past January it targeted police operations in Memphis' Hollywood-Springdale neighborhood resulted in more than 50 arrests of drug dealers. Since then the neighborhood has witnessed a 36.8% reduction in crime.

On the business side, the Memphis department saw a 863% ROI in just 2.7 months.

"As crime becomes more sophisticated, law enforcement must become even smarter by adopting advanced crime prevention tactics made possible with IBM predictive analytics software. We now has the invaluable insight all of our staff can use--from the commanders to the patrolling officers--to specifically focus investigative and patrol resources with the goal of preventing crime and making our neighborhoods safer," said Colonel James Harvey, Commander, Ridgeway Station, at MPD.

In the last four years, IBM has invested $11 billion to build its business analytics portfolio, dedicated 5,000 services consultants and made 18 acquisitions. It works with more than 250,000 clients worldwide on predictive analytics, including 22 of the top 24 global commercial banks, 18 of the world's top 22 telecommunication carriers and 11 of the top 12 U.S. specialty retailers.

And the Memphis Police Department ROI illustrates the worthiness of such technology investment.