One in four enterprises are at the stage of data and analytics maturity whereby, at the very least, they embed data and analytics into all businesses processes and decision making. This is one of the findings of a Harvard Business Review Analytic Services study.
Only 26% of enterprises have a level of data and analytics maturity that ranges from embedding data and analytics into all business processes up to automating decision making by adopting prescriptive analytics. This is one of the findings of ‘An Inflection Point for the Data-Driven Enterprise’ by a Harvard Business Review Analytic Services. The study also cites data professional who state that good leaders and C-suite sponsors are key to becoming data driven, as they play an essential role in overcoming the technological and organisational barriers that enterprises face when going through a data transformation.
The survey of 729 business leaders conducted in August 2018 found that when asked to describe their organisation’s digital data analytics maturity, 32% of respondents have standardised reporting and analysis. A further three out of ten said that they have established data governance and rules, and have aggregated analytics or intelligence for making certain critical decisions. Just 12% of respondents described their data and analytics as being manual, ad-hoc and/or non-standardised.
Respondents were asked what their main organisational and technological barriers were. The biggest organisational barrier was, unsurprisingly, organisational silos. This was followed by legacy processes, lack of key digital/data analytics skills, resistance to change and an organisational structure that impedes transformation efforts. The top technology barrier was legacy software/hardware systems and infrastructure. A lack of a centralised system, data silos, data consistency issues and current systems that are too complex, were also seen as technology obstacles to a lesser extent.
"Integrating data silos is a core capability."
Ronald Van Loon, director of customer data company Adversitement, said that integrating data silos is a core capability to increase data maturity and that if a company is concerned about making changes to its back-end systems and so introduce new systems, it can end up introducing more silos.
Wayne Eckerson, founder and principal consultant Eckerson Group, gave key pointers of what companies should do to increase their data and analytics maturity. He said: “They need to buy experience and those people train the organisations, introduce best practices, and remake processes to support the needs of the organisation in a timely manner.”
He went on to say: “They’ve got to have a robust data infrastructure and architecture, sufficient analytical tools, and top level sponsorship and data leaders to drive the vision of the data-driven enterprise.”
The report was sponsored by Snowflake and Microstrategy.