Data Analytics a Growing Focus for Businesses
A third of senior executives in the U.S. and 24 percent in Europe expect 10 percent or more of their companies’ growth to be related to data analytics.
More than two-thirds of senior executives surveyed (67 percent) say data analytics are important to their companies, a number that includes 69 percent of senior executives and business decision-makers in the United States and 65 percent in Europe, a study by BSA The Software Alliance found.
The survey found 61 percent of senior executives in the U.S. and 58 percent in Europe say data analytics are important to their companies’ plans to hire more employees, and 79 percent of senior executives in the U.S. and 80 percent in Europe say data analytics are important to their companies’ plans to better serve customer needs.
In addition, 70 percent in the U.S. and 72 percent in Europe say data analytics are important to their companies’ plans for creating new products or services.
"One interesting thing we found in our survey was that data analytics are important to companies’ plans across a wide range of business activities — not just to drive sales and revenue," Victoria Espinel BSA president and CEO, told eWeek. "For example, executives said data analytics are important for their companies’ plans to create new products and services, and to better serve their customers’ needs."
Espinel said perhaps the most surprising thing they found was that data analytics are not just catalysts for corporate growth and innovation, but also for job creation, noting six out of 10 executives say data analytics are important for their companies’ plans to hire more employees.
Thinking about this year, 33 percent of senior executives in the U.S. and 24 percent in Europe say they expect 10 percent or more of their companies’ growth to be related to data analytics.
Looking ahead five years, 58 percent of senior executives in the U.S. and 43 percent in Europe make the same prediction.
Data analytics are important to 60 percent of small companies, including 57 percent of American companies with 50 or fewer employees and 62 percent of same-sized European companies, according to their senior decision-makers.
"People have been analyzing data for thousands of years, but the difference now is that we have innovative software, vast computing power, and nearly infinite sources of data — from the sensors in jet engines to weather and traffic patterns, financial market trends, earthquake impacts, healthcare research and more. This opens up incredible opportunities to tackle problems in new ways," Espinel said.
In medium-sized companies (those with 51 to 500 employees), 87 percent of U.S. executives and 79 percent of European executives say data analytics are important.
In large companies (those with more than 500 employees), 97 percent of US executives and 82 percent of European executives say data analytics are important.
"Mobile technology plays a critical role in advancing data analytics as we see a proliferation of devices and sensors that are being connected to the so-called Internet of Things," Espinel noted. "Everything from devices people wear on their wrists to monitor their health and fitness, to the ones trucking companies use to monitor engine performance and forecast logistical problems before they happen."