What Defines Big Data Success?
Big data has become a big deal, and it’s causing many organizations to ask, “Does big data equal big value for my business—or is it mostly big hype?” “What differentiates the big data programs that generate value from those that do not?” and “Just how much value can big data achieve?” The answers to these questions might surprise you.
BCG teamed up with Amazon to quantify the benefits of using big data. The survey, which studied 167 companies in five sectors, examined what differentiates the leaders from the rest of the pack and explored how they gain competitive advantage from big data analytics.
The survey showed that leaders in big data generate an average of 12% more revenue than those that do not maximize their use of analytics. Leaders also have faster growth rates and a greater ability to innovate than their peers do.
How Winners Succeed with Big Data
What Gives Leaders the Edge?
- Data. Leaders find a way to get the data they need to meet their goals. They don’t get distracted by data gaps or dwell on how they’ll access all the data that’s available. They focus on the data they need to solve the problem or issue they have identified.
- Vision. Over time, leaders have attained or built an understanding of how to use big data and its value to their companies. They know what they are trying to achieve with their big data programs, and they have developed detailed operating plans for realizing this vision.
- Tools and Insights. Big data is technology-enabled, and leaders focus on getting the right technology platforms and having the analytical experience necessary to make appropriate technology decisions.
- Execution. Insights left on the shelf are worthless. Companies that win with big data have learned to put their insights to work, altering business processes as needed. They treat their operational environment as a learning lab and adapt to the changes their insights warrant. They also have effective governance models to keep programs on track.
Creating Value Through Effective Data Governance
BCG can help clients think through what’s holding them back from achieving their data goals, says Nic Gordon in this video. The firm knows how to plug that capability gap and develop an incremental approach to reaching the target vision.
