According to recent survey findings from Infosys, creating innovative business models to enhance revenue and overall profits should be considered the main priorities for data analytics.
The report highlights the importance and benefits of data analytics.
Many businesses are not implementing new technology to improve customer experience and control potential risks and inevitably progressive technology is a critical part for businesses to digitally transform.
The challenge, however, stands with the potential skills shortage facing certain industries, especially in the technology arena, which industry experts believe is holding back the true potential of data analytics. The Infosys survey analyses the expectations of businesses, the possibilities and challenges, the opportunities and how the rise of new technology will change the analytics market.
What are the opportunities and challenges facing data analytics?
Data analytics can operate across an entire business providing multiple benefits to overall business performance. The report suggests that Finance and Accounting tend to use analytics the most in business, followed by Marketing and Operations.
In regards to new technology, artificial intelligence is considered to be a focus area that created increased output when integrated with analytics. IoT and cloud technologies are other emerging technologies that provide similar opportunities.
Whilst there are numerous opportunities, the report also suggested certain challenges that face businesses across every industry that can hinder the implementation of analytics and associated tools to the maximum. One of the main challenges relates to the inadequate knowledge in combining multiple datasets and the lack of expertise in implementing the correct analysis techniques. Businesses are continuing to seek support from data technology partners to enhance their capabilities through specific analytics strategies, developing operational procedures and clearly defining a strategy to deliver and manage analytic procedures.
Satish H.C. the EVP and Head of Data Analytics at Infosys explains the data offers endless opportunities but having a strong understanding of data is critical if a business is wanting to truly implement a digital transformation. Satish emphasises the importance of utilising the potential of data tools, referring to certain challenges such as businesses operating with systems that are incapable of sharing information, data integration problems and limited available resources and skills, Satish believes the Infosys report will support clients in their digital journey towards improving their data knowledge, enhancing their analytical potential and crucially monetising their own data.
Key points of the Infosys Report
Over 30% of respondents suggested that analytics had resulted in enhanced results for this business. This includes implementing intelligence created by improved collaboration with both internal and external stakeholders to generate a unique, personal and effective customer service.
28% of survey respondents showed interest in implementing analytics to manage risk in business. Respondents believe that predicting risk and detecting any potential errors that may affect business efficiency supports the overall decision-making process.
Creating new business models by focusing on the genuine needs of customers and providing a range of innovative services was considered the main requirements within data analytics.
A second priority for analytics was enhancing revenue and profit through a focus on improving business channels, processes and stakeholder systems.
Over 30% of respondents from the UK and Europe supported the idea of using analytics for overall experience enhancement. A similar number of respondents from Australia and New Zealand consider risk mitigation as a top priority for analytics.
UK Data Analytic Scene
Over a thousand senior technology and business members were interviewed for the Infosys report. Nearly 2 hundred of the executives were located in the UK. British respondents suggested three main areas of success stemming from data analytics. This includes; experience enhancement, risk management and creating new business models.
UK based respondents highlighted how certain business functions have utilised data analytics, pointing towards an increased integration within the Telecom, Manufacturing, Healthcare and Life Sciences industries.
Respondents highlighted certain challenges facing UK-based businesses including the integration of a range of datasets and ensuring data is ‘healthy’ and reliable were the most noteworthy. UK respondents explained that determining the right analytics tools and more importantly, the right people, with the skillets and experience as the most effective methods of controlling these challenges.