Industry analysts believe that big data will provide companies with a competitive edge to create increased revenues and economic growth. In addition to offering positive gains for companies, big data presents substantial benefits for consumers as well. With the proliferation of data throughout all businesses and industries, big data has the potential to yield enterprises substantial profits. But when will this occur? The answer to this question is examined in a November 12th Forbes.com article, written by optimization firm leader Brooks Bell. The title of the article is: “How soon will big data yield big profits?”
The question of when will big data offer substantial profits for enterprises has also been evaluated by the McKinsey Global Institute (MGI), the business and economics research division of global management firm McKinsey & Company. In research conducted in May 2011, MGI analyzed the future of big data. Although MGI refers to big data as the next frontier for innovation, competition, and productivity, the research indicated a significant impediment to the progress of utilizing big data.
By 2018, MGI estimates that there will be a shortage of 140,000 to 190,000 trained data analysts in the United States. With the complex and voluminous amounts of information that big data can yield, finding adequately trained data analysts will be a challenging process. If research findings are accurate, there will be a shortage of 1.5 million managers and analysts with the know-how to use the analysis of big data to make effective decisions. Also by 2018, the U.S. alone will face a 50 to 60 percent gap between supply and the demand of deep analytic talent for big data analysis, according to the MGI.
Three entrenched challenges
In her article, Bell writes that there are three ingrained challenges that should be addressed before big data can truly yield big profits. “Instead, at least three entrenched challenges need to be addressed before Big Data can have a real impact.” she writes.
1. Re-evaluate the gut-driven/leadership by the “highest paid person’s opinion” approach that permeates the business world.
2. Address the talent shortage. Ensure that there are more trained big data analysts and managers for the future.
3. Businesses need to decide how to correctly use the information that big data will offer.
The potential for big data appears to be almost limitless. However, if the shortage of big data analysts and figuring out what to do with big data are not addressed, the full potential of big data will not be realized.
To read Brooks Bell’s analysis of big data, click here:
https://www.forbes.com/sites/techonomy/2013/11/12/how-soon-will-big-data-yield-big-profits/
Doug Atkinson
An entrepreneur and executive with a passion for enterprise technology, Doug founded Solutions Review in 2012. He has previously served as a newspaper boy, a McDonald's grill cook, a bartender, a political consultant, a web developer, the VP of Sales for e-Dialog - a digital marketing agency - and as Special Assistant to Governor William Weld of Massachusetts.
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