Enterprises today are sitting on an untapped goldmine — their data — and they are looking to use it to transform their businesses by improving decision making across the organization, accelerating innovation, improving the customer experience, and driving operational efficiency. Extracting this value has been fraught with challenges ranging from siloed data, outdated tools, a lack of skills, misaligned teams, and shadow IT.
However, firms are tackling these challenges head-on, with a broad range of initiatives and new, integrated tools that democratize data and analytics, streamline collaboration, accelerate time-to-insight, and drive impact.
- Companies expect that data and analytics will soon be the most critical factor in determining competitive differentiation. Respondents in this study grasp the potential inherent in data-driven decision making and the tools that enable it across the business. They’ve prioritized a host of initiatives with the goals of increased revenue growth, operational efficiency, and other core business outcomes.
- The returns on current data and analytics initiatives, so far, are large, and they are expected to grow dramatically. Early results are positive for both core business outcomes like customer experience and revenue growth and operational efficiency like better strategic planning. Furthermore, firms have already seen a positive impact on their bottom line, while anticipating a substantial return on their investment within the next several years.
- The enormity of the task at hand is mirrored in the myriad obstacles that challenge firms. Because organizations are looking to impact all areas of the business, barriers naturally arise in relation to people, processes, and tools. Teams also struggle with data management capabilities and the data science life cycle itself, all of which put enterprises at risk. Failure in these initiatives could very well mean loss of customers, increased security risks, and loss of market share.
- With the help of proper organizational approaches and integrated tools, firms have the ability to harness the power of data like never before. Businesses need to buoy their teams with adequate support, the right skillsets, and a collaborative spirit in order to foster an environment conducive to data and analytics success. Additionally, they need integrated platforms that span the full analytics and data science stack while supporting on-premises, hybrid, and private cloud environments. With these elements in place, enterprises can expect to see a broad range of both technical and business benefits from their efforts.
Data And Analytics Is Becoming The Most Important Factor For Business Competitiveness
CIOs and CDOs are leveraging data science, machine learning, and artificial intelligence to drive data-driven decision making, to improve the customer experience, and to develop new products and services across their enterprises. Our survey found that:
- Data and analytics, while important today, are becoming the most important driver of competitiveness. Fifty-eight percent of firms acknowledge that data and analytics are very important to the business competitiveness of their organization. And the importance of these initiatives is only going to increase within the next few years: 45% of these same firms say it will be the most important factor within three years.
- Firms see an opportunity to dramatically unlock additional value across established and emerging data and analytics technologies. Data and analytic-related tools across the tech stack can greatly drive additional business value — from data preparation and integration tools to business intelligence tools and customer analytics platforms. They also see the value in AI — between 74% and 82% of respondents see great value in machine learning and artificial intelligence tools like chatbots, deep learning frameworks, and speech analytics.
- Firms are undertaking a host of initiatives to increase datadriven decision making across the entire business. Over half of organizations are expanding a broad range of data and analytics initiatives such as setting up or expanding data science centers of excellence and improving existing products or services using data and analytics (61% expanding, planning, or implementing each). Overall, firms are most focused on their ability to make decisions based on data: 96% of respondents are either planning, implementing, or expanding data-driven decisioning across all levels and parts of their business.
CIOs and CDOs are leveraging data science, machine learning, and artificial intelligence to drive data-driven decision making, to improve the customer experience, and to develop new products and services across their enterprises. But how to realize the full value of your data with initiatives and integrated tools that span data, analytics, and machine learning to outpace the competition?