These vast volumes of data include hidden consumer behavior, emerging market trends, and even future forecasts. For organizations, the goal is to understand this rapidly growing amount of data and find innovative ways to derive sustainable value from it, all of which effectively consumes cloud services that support data management and analysis. To manage
Yet according to a survey of 255 business leaders and decision makers conducted by MIT Technology Review Insights, 45% of respondents say they use data only for basic insights and decision making. This is a missed opportunity.
“There is a complete explosion of data sources inside and outside the enterprise,” says Chana Sini Viratne, executive of technology development and solutions at the Australian telecommunications company Telstra. “As a telco, our customer base, and the data it generates, is a wonderful asset that we can’t possibly use as efficiently as we can.”
But that is changing because Telstra is taking advantage of today’s data economy. The data economy is a global digital ecosystem in which data producers and consumers – businesses and individuals – and government and municipal agencies collect, organize and share data collected from a variety of sources. By integrating unconnected data across industry boundaries, organizations can gain more business insights, tap into undiscovered markets, serve citizens and consumers alike with data-driven products and services, and Monetize your data by sharing it externally with key customers and suppliers.
Benefits of participation
So how can organizations contribute to the data economy? One way is to eliminate data silos that can prevent companies from gaining tremendous insights. Fortunately, more than a third (35%) of respondents to the survey are collaborating with partners to exchange data. This sharing of data assets is helping organizations unlock value and achieve significant business results.
For example, 66% of data asset sharers are experiencing better collaboration with partners and vendors. It’s easy to understand why. Data Exchange and Marketplace provide a secure and reliable platform for various stakeholders to collect and share information in real time.
More than half (53%) of business leaders say participating in the data economy has forced them to create new business models. For example, using Internet-powered monitoring devices, Telestra provides applications that convert waste, water, air, dust and noise data into actionable insights. Combining this data with microclimate data collected from seasonal stations, the company aims to provide the Australian agricultural industry with information ranging from predicting crop yield health to the use of pesticides. Can be used for various activities, up to determination. “We’re collecting isolated pockets of data to create more value, insights and applications,” says Senevaratne. “We are now in a better position to monetize and add value to this data.”
Telstra is not alone. According to Kent Graziano, chief technology evangelist for Snowflake, a data cloud provider based in Bozman, Montana, “As the volume of data grows, many organizations are realizing that the data they have is really for other organizations. Can be useful, either within their own industry or in related industries. ”
Graziano is an example of a medical device maker. Medical devices can track and store important information about a patient’s blood pressure, heart rate, and insulin levels. But most manufacturers play a minimal role in influencing and shaping patient outcomes.
By partnering with healthcare organizations and securely integrating tracking data with other patient and third party data, a medical device developer as a healthcare information provider. Establish a new business model that has a direct impact on patients’ health.
“Many organizations collect and analyze data, but trying to monetize that data has never been technically feasible or economically viable,” says Graziano. By sharing data with key stakeholders through cloud-based platforms, such as data exchange or marketplace, businesses can “create a new revenue stream.”
Another benefit of the data economy is faster innovation, according to 52% of survey respondents. Traditional companies are under tremendous pressure from their digital counterparts to innovate and respond quickly to changing consumer preferences and market trends. Using data from a variety of external sources, organizations can find innovative ways to design products, provide services, and even solve world problems.
For example, credit card companies may work with healthcare organizations, cell phone carriers, and e-commerce players to use their integrated data to track code-19 patients. To be able to go and provide care to them in ways that are not possible as a single entity. With silent datasets.
“In the digital economy, how does a 200-year-old enterprise innovate?” Sunil Senan, Senior Vice President and Business Head at Infosys, a digital services and consulting company based in Bangalore, India, asks for data and analytics. “We feel that data is a big part of continuing to serve customers and finding new ways to stay relevant in a world of barriers.”
In addition to creating and innovating new business models, more than half (51%) of survey respondents say participating in the data economy can improve customer acquisition and retention rates – gaining new customers and Retain existing users – while 42% of respondents cited. Increase revenue as a major business benefit.
This content was developed by MIT Technology Review’s custom content arm Insights. This was not written by the editorial staff of MIT Technology Review.