Trends and Developments in Data Analytics
According to a post on The Data Warehousing Institute, this year’s major trends in analytics were expected to focus on delivering the data and capabilities needed to become a truly analytic-driven enterprise. The organization calls out three top trends:
- More organizations will move to cooperative processing architectures.
Data warehouses are straining from the surge of new data and complex analytic workload requirements. Traditional data warehousing wasn't designed for big data or real time, social, and converged analytics, so the new expert-recommended architectures emphasize multiple, well-integrated systems working together to deliver a broad range of analytic capabilities.
- Converged analytics will become the new normal.
Big data analysis in a silo often paints an incomplete picture. That is why organizations are now moving toward converged analytics, combining analytic results across domains
(customer, supply chain, marketing, etc.) for more complete insights.
- Everyone will play with big data, thanks to new big data applications.
Big data has been decidedly DIY to date, embraced by tinkerers and architects. That's about to change. New big data applications offer prebuilt models and analytic functionality for specific business problems and data types. They are focused, single-purpose applications that can make a big impact on businesses, such as analyzing sensor data from a particular type of machine, or sifting through supply chain data to identify potential “weak links.”
Additionally, a recent article from Information Week notes that big data analytics is increasingly becoming a topic of focus for chief financial officers (CFOs). It quotes Hewlett-Packard’s Thomas Dobis, acting global finance and account service line leader of business process outsourcing (BPO) at HP Enterprise Services, as saying CFOs are increasingly using big data analysis to control collections, customer retention, and fraud and loss, among other money-related matters.
But a number of recent articles are sounding cautionary notes on the rise of big data and data analytics. In a piece titled “Don’t Be Blinded by Big Data,” Michael Healey, senior contributing editor at Information Week, points out that making decisions based on flashy macro trends while ignoring "little data" fundamentals is a recipe for failure:
In most organizations, big data mining prioritizes activities such as social media monitoring and macro trend analysis—the shiny stuff that can dazzle even experienced executives—while sidelining routine "little" data, which includes detailed financials, customer and vendor records, product quality information, customer service data, and supporting sales stats such as store traffic, website visits, and CRM information.
That there is a revolution underway in big data and data analytics is not in debate. The question is the nature of the transformation, and how people and organizations will ultimately be affected by it. In the quest for big data, it is important not to lose sight of your key business drivers, such as inventory and customer service. Focus on gathering and analyzing the information that will have the most impact on your bottom line.
Posted by the Epicor Social Media Team.