What’s the Value of Your Data & How to Find Out
There is a value on your enterprise’s data and artificial intelligence can make the most of it when you know how.
Converting knowledge into usable and accessible information has been around since cave paintings told humans where they could find food and avoid hazards.
Only in the last twenty to thirty years has the amount of information generated been overwhelming to the extent that large-scale data analysis is becoming an extremely difficult task and increasingly impossible to do without a large amount of computational power.
Knowing the value of data
Today, modern enterprises are deluged by the data they create. To put this into perspective, the Internet of Things (IoT) was predicted to generate around 400 zettabytes (or 400 trillion gigabytes) a year by 2018, according to the 2016 Cisco Visual Networking Index. Indeed, data holds great value to the enterprises that own it, with five of the top six companies worldwide being data firms.
As you would imagine, there are a number of reasons why companies want to understand the value of their data. Firstly, organisations are keen to turn that data into revenue by selling it to third parties of marketing data products. However, despite the very real benefits that this brings, few enterprises are willing to expose their data to third parties.
Secondly, understanding the value of current and future data can help in prioritising investment to help a company grow. Comprehending how data drives business value can help in minimising costs and show where investments have a better chance of greater return on investment (ROI).
Converting data into knowledge
As mentioned before, enterprises are overloaded with data and this is a trend that is only going to increase over time. Yet, data by itself is not very useful until it is processed. As such, enterprises need to understand that data is a raw material and business intelligence turns the “iron ore” of data into the “steel” of knowledge.
Of course, there is more to this than at first appears. To turn data into knowledge, organisations should collect only the useful data. But how is this done? Businesses should ask themselves if this collected data can be turned into information to help make decisions to improve services and decrease costs. When that question is understood, an organisation’s position often improves significantly.
Next, the organisation needs to analyse the data and information they have. Regardless of the data analytics tool you have, the important step here is the move beyond lists and start analysing data in a meaningful way.
This should then tell you whether or not the data is accurate. Accuracy is important for turning data into knowledge, but organisations must ask themselves how important accurate data is when it comes to making decisions? Don’t spend too much time in making sure data is accurate if it ultimately doesn’t matter. The corollary of this is that if accuracy is vital, then spending time to ensure data is accurate is a necessity.
The next step is for organisations to then go about converting data into information. This is where data is analysed and manipulated by combining it with other forms of data, looking at trends, and assessing outliers.
More than just reports or printouts, the real value of data comes from comparisons and trends. Applying experience to this information transforms this data into knowledge.
Converting knowledge into an AI-centric competitive advantage
Artificial intelligence (AI) can greatly automate the process of not only collecting and analysing data, but turn it into information for making better business decisions based on that data.
Using AI can mine newer insights, considerably effect decision-making, and drive better business results. It can help your business find patterns that humans may miss and never be able to catch, particularly at scale.
For example, AI and automation can enable organisations to better identify social media users and web visitors early in the early buying stage, such as someone on Facebook complaining about a particular product. AI can help to find and identify these visitors and in turn transform them into qualified leads.
AI can also personalise and optimise the customer interaction without the need to hire more staff, thereby reducing the bottom-line expenses.
It can also be used to help organisations learn from historic data and information to detect future opportunities and risks. Think of its application in the field of medicine. The abilities it offers in terms of monitoring patient movements or assisting GPs in early diagnosis.
It is the organisations that adopt artificial intelligence, coupled with clearly-defined applications, that are now reaping the benefits of enhanced business value and transforming their business processes. Businesses now understand that data is knowledge and knowledge is power. And data is probably the most important asset a company owns.
Looking to leverage the huge competitive advantages available through the expert optimisation of 'Big Data' and creative application of AI-centric applications and Machine Leaning solutions? Get in touch today.