Business Analytics in Europe: The New Science of "Meaning-Making" Emerges...

Cognizant The new science of "meaning-making" emerges... Big Data Is A Big Deal. But what does it mean for European firms looking IN to make sense of data? Cognizant teamed with Oxford EUROPE Economics to survey 300 businesses in the U.S. and Europe. .......* Here are the highlights from the European survey responses.' Data, Data, Data... 125,000 Is data the new oil? That's years' worth of DVD-quality video 3 2.5 Exabytes of data are created every day of the world's data was created between 2011 and 2013. an explosion of data 90% that shows no signs of stopping and demands that firms respond Big Data drives spending on new technologies Spending on social tools, mobile devices, analytics, and cloud-enabled solutions-or the SMAC Stack™ continues to reform commerce Are You Missing Out on Business Analytics? Effective risk management drives value today Today, European respondents see value in the ability to eliminate risk 24 MONTHS But their views on value for the next tell a different story... Mitigating Risk Drives Value from Analytics Enhanced product/service development drives value More effective Improving Improving sales tomorrow risk management business and customer experiences. Targeting new operations The life blood of any company is its ability to customers improve its product portfolio or develop new services through better marketing 64% 63% 62% Expect analytic processes to not just measure how customers feel about a product, but also how they will react to its next release - or even Reduce and manage Quicker, faster, more Drive new revenue in the moment when it's actually working business risk and opportunities Don't Just "Do" Analytics: Make Real "Business Meaning" “Meaning-making" is a critical skill for business analytics What do Meaning Makers do? Derive value in 50% Integrate business analytics Create teams focused on getting value from data Are effective at using analytical tools of key areas Meaning makers derive value in at least five of 10 key areas ranging from basic financial reporting to sophisticated predictive modeling. Crack the code of business analytics: find the story in the bits and bytes to derive actionable insights for decision-makers Are You Doing Enough to Attract Meaning Makers? Tapping the right talent pipeline Success with meaning-making demands a sophisticated set of skills 70% of European respondents are set to aggressively target behavioural scientists Technology skills dominate in order to succeed with meaning making today, but European firms seek behavioural scientists for tomorrow How your talent pipeline will look Projected job growth over 2 years: Software Researches, designs, implements, 17% tests analytical software that improve Developer efficiency/effectiveness Technology Understands IT gaps, helps establish 24% infrastructure/tools to improve Expert business outcomes Executes analytical plan, builds 24% Statistician predictive models Business Helps understand business content 28% (situation, challenges, key questions), Consultant advises on performance improvement Analytics Subject- Converts business challenges/key 37% questions into analytical approach Matter Expert statisticians can use Data Subject- Determines appropriate data 38% requirements for analytical plan Matter Expert Behavioural Researches/attempts o explain 70% human behaviour Scientist The Prize is Huge... The Business analytics Success means 300 contributes a solving data, huge percentage to a contextual and business's total value cultural issues U.S. and European firms we surveyed collected roughly ll European firms wishing to build on business analytics 561 and meaning-making 52% face significant obstacles 48% increased revenue reduced BILLION cost #1 billion in economic benefits from business analytics (revenues and savings) Problem over the past 12 MONTHS poor-quality data ....... ..... . .. Inability to connect analytics findings with a business context and corporate culture must be solved- because the opportunity to drive revenue and reduce cost is huge. SOURCES 1. Data referenced throughout this IG comes from a Cognizant/Oxford Economics study "The Value of Signal (and the Cost of Noise)" published in September 2013. See http://www.cognizant.com/InsightsWhitepapers/ThePValuePofP 2. Harvard Business Review. http://hbr.org/2012/10/bigPdataPthePmanagementPrevolution/ar 3. SearchStorage. http://searchstorage.techtarget.com/definition/exabyte 4. IBM. http://wwwP01.ibm.com/software/in/data/bigdata/ 5. 853 billion figure prepared for Cognizant by Oxford Economics, March 2013. Historical exchange rate figure for 2013%$1=0.7325 Eur/£0.6044% © Copyright 2014, Cognizant. All rights reserved. No part of this document may be reproduced, stored in a retrieval system, transmitted in any form or by any means, electronic, mechanical, photocopying, recording, or Cognizant otherwise, without the express written permission from Cognizant. The information contained herein is subject to change without notice. All other trademarks mentioned herein are the property of their respective owners. AMALYTICE ............. ......