Today, industries across verticals are recognizing the vitality of data for the smooth running of their businesses. Widely known as the “big data, organizations big or small today need to tap into the data sources and understand their customers better to survive in the competitive business world.
According to IDC, organizations will spend around $-260 billion on big data and analytics by 2022. The significance of data is that businesses and society require the assistance of data solutions to thrive in the digitized world.
Companies like IBM have already harnessed the value of data and accepted it as a resource to face all business challenges. Apart from bigger organizations, even smaller and mid-sized companies and enterprises are ready to use data to run their business.
Big Data and the Four Vs
Data available today though vital for every business to tap into and acquire value, has some levels of uncertainty to it. There is a need for more advanced analytical tools and technologies to remove the uncertainties and extract valuable insights for businesses.
The top management teams and employees need to understand the characteristics associated with data today. So, what are these? Volume, Velocity, Variety, and Veracity (uncertainty present in a few data).
Let us dive into each of the characteristics to understand how data works and affects industries:
- Volume: The amount of data, including uncertain ones, is quite huge in number. It refers to the quantity of the data present for businesses to harness for their good. The volume of data is certain to grow even more in the coming years.
- Velocity: It refers to the speed or the time at which data is getting created and analyzed. With the fast-moving data, it has become easier for businesses to make decisions in a fraction of seconds.
- Variety: Data is generated in different forms and types, including structured, unstructured, and multimedia data. With the rise of the digital age, data is available in the forms of web data, text, audio, visuals, tweets, and more.
- Veracity: Certain data available today is uncertain and unreliable for companies to harness. Generating high-quality, hands-on data is extremely vital for making business decisions. However, the data’s unpredictability, inconsistency, and uncertainty make it crucial to analyze them closely.
How Can Businesses Acquire Value from Uncertain Data?
With uncertain data available today, companies need to follow a few methodologies to derive maximum value. So, how do you go about it?
Focus on Customer Satisfaction
It is crucial to understand and analyze your customer’s needs and requirements to address their issues. Uncertain data such as customer likes and preferences can aid you in analyzing their future buying behaviors to an extent.
It will become vital to understand your customer more and gain better insights through relevant interactions. Big data, in a way, is assisting organizations in establishing a deeper relationship between themselves and their end customers.
Align Big Data with Business Strategy
It is always better to design a blueprint that includes the vision and mission of the company. It will give you and your team a better idea of using the data to attain maximum success.
Once you figure out the company’s challenges, you will get an idea to utilize the uncertain data to create viable solutions.
The Emergence of New Business Roles
With the rise in the effectiveness and importance of big data, companies today need to invest in both skills and tools to get value from data. It will lead to new IT roles and the need for analyst roles for the proper implementation of data into business processes.
Every business today needs to focus on harnessing the best out of data available. With its increasing uncertainty and volume, now is the time for you to invest in adequate tools to acquire precise data.
In today’s contentious business world, big data holds major relevance and importance for businesses to thrive and grow. Technology today has assisted in converting the existing data into insights for businesses to make better decisions. So, if your company is still lagging and hasn’t tapped onto its values, now is the time!