Category Archives: Data Driven Decision Making

Organizations struggling to capitalize on benefits of big data

Laptop Screen with Big Data Concept.Big data is now considered one of the more significant priorities of businesses through 2016 however research from DNV GL has highlighted only 23% of organizations have a defined strategy moving forward.

According to research from the business assurance arm of DNV GL, while the majority (52%) of companies have outlined the importance of big data for future operations, roughly only a quarter have the capabilities to fulfil the promise and capitalize fully on the benefits. The interest increases significantly for larger organizations, those of 1000 or more employees, as 70% highlighted it as a priority.

“Big data is changing the game in a number of industries, representing new opportunities and challenges,” says Luca Crisciotti, CEO of DNV GL – Business Assurance. “I believe that companies that recognize and implement strategies and plans to leverage the information in their data pools have increased opportunities to become more efficient and meet their market and stakeholders better.”

One of the larger concerns for big data which have been voiced in conference and articles in recent months is an organizations ability to act upon the potential of the information now available. The volume of data is growing at a notable rate, though one concern is few organizations have the current technological capabilities or adequately trained employees to realize the potential.

BCN has been told during numerous conversations many organizations current capabilities can only analyse a small proportion, between 5-25% dependent on who you speak to, of the data collected. Until organizations are capable of analysing and actioning larger proportions of the data, the potential of big data or the promised ROI will not be achieved. DNV GL claim 16% of organizations are viewing better business decision making and 11% for financial savings, are the aims of big data, while 16% have prioritised an improved user experience.

“The ability to use data to obtain actionable knowledge and insights is inevitable for companies that want to keep growing and profiting,” said Crisciotti. “The data analyst or scientist will be crucial in most organizations in the near future.”

DNV GL believe more has to be done to enable and prepare the organization for utilizing big data to the full extent. The team claims only 28% have improved information management and 25% have implemented new technologies and methods. From an employee perspective, only 16% have addressed the internal culture and 15% the company’s business model.

Big data has been championed as a means to drive efficiency within organizations, but also as an opportunity to create a more personalized experience for customers in the digital era. It is also a prelude to artificial intelligence, another area which has been dominating headlines in recent months, neither of which will be achievable until investments have been made in technology and personnel to increase the proportion of data which can be understood and actioned.