In the final analysis, does everyone need big data?

For the past two years, the most popular and fashionable word for corporate users has been "big data". Many companies are trying to figure out how they can make use of the data they collect and how to turn it into a competitive advantage. But according to Jeanne Ross, director of the Institute of Information Systems at http://www.aliyun.com/zixun/aggregation/13513.html > mit, this kind of program is not a panacea Solutions that are widely applicable to today's business needs.

As the author of the article "You may not need large data at all," Ross reminds business users to carefully distinguish the hype that surrounds large data before they start buying.

"I think people will grow up in the big Data world," Ross points out. Indeed, she explains, some companies from specific industries use big data to gain some competitive advantage. She mentions, for example, that the oil and gas industry has long used big data to help it decide when and where to invest a lot of money to build infrastructure. However, the success stories of specific industries are not necessarily sufficient to guide or be extended to other areas. "I have indeed witnessed the success of many clients in practical activities. We just haven't found the exact way to reproduce it. ”

When asked whether these companies are experiencing difficulties in solving large data problems and thus generating fear as a cognitive bias, Ross says, "No, there is no deviation." If you don't think you can do it, the results are often the same. "For the first time to realize the potential value of large data, such a conclusion is indeed frustrating."

Interested friends can watch the full video of the interview below:

"I don't think most companies are actually data-driven," Ross explains. "I think they actually belong to the indicator-driven type. ”

The significance of this difference is actually very significant. Many companies today can respond to specific types of data, but in order to truly translate into data-driven organizations, they need to be deeply aware of the value of data. For example, Ross cites Foxtel, a pay-TV provider from Australia, as an argument.

"They know exactly what they are planning to launch, and they know exactly which channels they want to watch," she said. But this information is not enough to help them make strategic decisions. "They re-examined the links and realized what the core meaning of ' data-driven ' was. In fact, there is no need for them to deliberately force themselves to move closer to the so-called data drivers. ”

Timely involvement of CDO

On the emerging role of CDO, Ross explains that there is a widespread assumption that once a business has introduced CDO positions, all data-related work can be done, meaning there is little need to pay more attention to such topics. Gartner's survey found that 25% per cent of the respondents planned to set up CDO positions over the next year, but Ross stressed that the vast majority of companies may not need to hire such a new high.

To successfully run a business, the key is to accurately grasp and maintain a real single data source. Many departments in the enterprise need to operate data to prove their profitability or to contribute to the overall development of the enterprise. In the long run, this approach is obviously not conducive to enterprise progress, after all, different data often bring a completely different analysis results.

Once the firm finds a truly accurate single data source, Ross thinks the next most crucial task is to develop a Top-down implementation strategy. "We need to let employees know that making mistakes is inevitable," he said. The faster people make mistakes, the more they learn, and the shorter the cycle of growth. "But if there are people in the business who are unwilling to admit mistakes and failures and even refuse to integrate into the cultural model, then such strategies are completely ineffective," he said.

Current technological trends are fast changing, especially in the last five years, so companies wishing to gain competitive advantage by technology must keep their eyes open and alert. Taking full advantage of the big data potential requires more than just capital investment, and managers have an in-depth understanding of the enterprise as a whole and each of its components.