CIOREVIEW >> Data Analytics >>

Good Quality Data is More Valuable Than Riches

By CIOReview | Tuesday, July 2, 2019

Data is the second most value drawing asset for the business after monetary profits. It has transformed into the backbone of any industry and how much more value can data gain in the coming years.

FREMONT, CA: Data has become the lifeline of modern commerce, with quantities of more than 2.5 quintillion bytes being created each day. Every single bit from IoT devices, including smart TVs, industrial sensors, and social media posts, are compiling into a huge volume of data stored on the cloud and in data centres.

Valuing Data

Gartner offers the proof for the rapid growth in the monetary value of data in a study, where it is predicted that 10 per cent of the firms has already expressed their plans to focus on commercialising information assets by 2020. The firms will be valued for the quality of their information portfolios within the next two years. To accurately evaluate a company’s data is no cakewalk with intangible assets incompatible in balanced sheet calculations.

Practical Solutions

For enterprises planning to leverage most value out of existing data, investigating the collected assets to reveal useable insights is a good starting point. It might be more worthy when it is analysed in real time. With the advancements in big data, the firms have made it possible to convert their raw data into a source of revenue. Companies that do not want to make a shift to a new product can also benefit from data analytics to recognise what the customers’ needs are.

Potential Pitfalls

When converting raw data into valuable information, even the most ambitious of the firms need to be aware and equipped to face the limitations. The massive amounts of data spread across the organisations in various data silos may require a variety of approaches to enable control and understanding. All businesses that wish to stay competitive have to find innovative ways to analyse and monetise data. In order to be ahead in the innovation, it is of top priority to hire and retain top-tier talents for the execution of a data analytics program. When utilised in the correct method, data has the potential to bridge the gap between the necessities of the customer and what the firms have to offer while imparting enhancing customer experience in the process. The value of data possessed by most businesses will surpass the value of physical assets in the near future.