The findings emerged from research entitled ‘Big data: Forging corporate capabilities for the long-term’, a SAS research programme based on a survey conducted by The Economist Intelligence Unit that sheds light on data strategy.
More than 35 per cent of respondents that have a well-defined data strategy reported stronger financial performance than their competitors.
In contrast, just 10 per cent of ‘aspiring data managers’ that merely understand the value of data and are marshalling resources to take better advantage of it, make the same claim.
In addition, 38 per cent who put nearly all their relevant data to use are highly successful in their big data initiatives.
Mark Wilkinson, SAS regional vice president for Northern Europe says that the survey shows there is a strong link between having a clear data strategy and experiencing strong financial success.
‘Organisations that put data firmly at the centre of their organisation are better equipped to introduce changes that grow the bottom line,’ he adds.
‘Currently, analysing internal unstructured text data, such as customer inquiries, reports, technical and business notes, and web click-stream data is a significant focus for data initiatives. However, external unstructured data and Internet of Things data sources will command a greater focus in the next 12 months and present further opportunities for organisations.’
Missed opportunity for using data to support creativity and innovation
Almost a third (32 per cent) of UK executives and 38 per cent elsewhere claim the increasing availability of data has presented opportunities for strengthening operational efficiency.
However, despite the strong belief in the value and usefulness of data, opportunities for improved use still exist. More than a third of UK organisations (34 per cent) believe they have little or no capability for using data to open up new markets.
The viewpoint is similar when discussing use of data to speed up market entry, where 31 per cent in the UK feel their organisations are lacking in this regard. A quarter of UK organisations also view using data to develop new products or services as a challenge.
When it comes to the most significant challenges that companies face in using data for business innovation, 29 per cent in the UK believe it’s engaging creative employees in using data effectively.
A further 28 per cent believe it’s providing creative employees with the easy and flexible tools that enable innovation. Ensuring user buy-in to data initiatives is important globally, with 24 per cent of respondents overall stating that encouraging employees to use data in decision-making, problem solving and idea generation is a priority. However, only 16 per cent in the UK share this view.
Hiring and retaining data skills a priority for data strategy
One in five (20 per cent) in the UK claim they lack the skills to use data effectively, admitting they are not or don’t know if they are competent at training or acquiring analytical talent to glean business insights from data.
The same percentage are not competent or don’t know if they are competent at engaging employees across the organisation in using data in day-to-day decision-making.
Organisations are looking at how to improve data skills within the workforce by hiring and training employees who understand data and the business (25 per cent). In particular, organisations are placing more emphasis on recruiting data strategists (35 per cent), data scientists (35 per cent), as well as technology staff to manage data systems (35 per cent).
However, overall the UK is trailing behind the rest of the world, which placed a higher emphasis on recruiting candidates with these attributes.