Big Data Should Be Driven By Business Needs Not Technology

Regardless of how it’s practised in many companies, big data analytics is not trawl fishing: it’s spear fishing. To get the greatest value from a stockpile of data, a targeted approach based on clear business cases generates more value than simply throwing out a wide net and hoping something valuable is found among the catch. Too often businesses eager to join the big data parade focus on technology. From this perspective, they acquire the newest analytical tools and assemble a mixed collection of technology stacks. Business strategy and proven uses – individual instances of practical applications – guide investments and deployment at these companies. For example, they target increased cross sales by using analytics that offer product recommendations or improved pricing strategies by analyzing consumer behaviour better. While details of implementation for each company will be unique, our research and experience suggests that excellence in four areas is crucial to gaining value from big data analytics as a complement to strategy: a solid anchor to business value, a pragmatic approach to IT, attracting scarce talent, and getting insights to the front line. To a point, big data analytics deserves the excitement it has generated. By capturing the value of their stockpiles of data, companies have increased sales, reduced churn, and acquired other significant benefits. But companies have also been carried away by the hype, focusing on the technology rather than the new technology’s strategic justification.The real advantage of big data analytics starts with proven business cases. Then spear fishing can begin; the technology can be deployed to attack a specific problem or to seize a specific opportunity. As business cases and successes pile up, big data analytics becomes part of a company’s core operating procedures, delivering its greatest value.

Reference :  https://www.weforum.org/agenda/2016/06/big-data-should-be-driven-by-business-needs-not-technology/