Teradata Corp. has issued a global report on the state of big data analytics across six major industries. The report was formulated through a survey response of 316 senior data and IT decision-makers in leading companies. The questionnaire for the survey was devised by Forbes Insights, while Teradata Corp. sponsored it in partnership with McKinsey. The report reveals the how big data is affecting conventional organizational culture and practices, highlighting challenges and confirming the business value of big data investments.
According to the survey, significant investment is coming for big data analytics while the return of investment is more. Two third of the respondents have shared that big data analytics has produced a significant impact on their revenues. While 90 percent of participating organizations have reported to invest on a medium to high level, however only a one-third claimed to have invested rigorously. The survey has also highlighted how big data is shaping the future and creating opportunities for innovation majorly to create new business models, discovering new product offers and monetizing data to external companies. The top driver for big data success is how CEOs are personally focusing on such initiatives as a significant pathway to gain competitive edge against others. Therefore, in organizations where big data is getting time and attention from the top leadership, the sponsorship is coming from one level below top leadership.
The Vice President of Product and Services Marketing at Teradata was overwhelmed by the survey response. He is satisfied that companies are now realizing the potential of big data and the impact it can make. He highlighted, “Companies aren’t just committed to investing in big data analytics; most companies are seeing a material impact as a result of that investment. One out of five survey respondents (21 percent) agreed that big data analytics is the single most important path to competitive advantage while 38 percent called it a top five issue.”
Despite all these perks, the survey also reveals the hurdles that are decelerating the progress of big data in the form of culture, strategy and operations. The survey respondents believe that a data-driven approach to business is yet to be universally accepted. Other cultural challenges were highlighted as rewarding the use of data and promoting experimentation and creativity with big data.
Chief Operating Officer of Consumer Marketing at McKinsey, Matt Ariker believes that cultural challenges can handicap every facet of a big data initiative. He has stated, “The good news is that the reverse is true as well: improving how a company fosters a culture and mindset that rewards the use of data experimentation and this can help a data and analytics initiative gain momentum and impact.”
Companies that have realized the potential of big data initiative are moving beyond conventional transactional data types and exploring new ones. The most popular data types in this regard have been location data and text data. The companies are also producing combinations of structured and multi-structured data sets to enable enhanced analytic insights and drive new discoveries.
Image Credits: Next Level Marketing Communications
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