In 2016, Dell Applied sciences commissioned our first Digital Transformation Index (DT Index) examine to evaluate the digital maturity of companies across the globe. We’ve got since commissioned the examine each two years to trace companies’ digital maturity.
Our third installment of the DT Index, launched in 2020 (the yr of the pandemic), revealed that “information overload/unable to extract insights from information” was the third highest-ranking barrier to transformation, up from eleventh place in 2016. That could be a enormous soar from the underside to shut to the highest of the rating of boundaries to digital transformation.
These findings level to a curious paradox—information has the potential to turn out to be companies’ primary barrier to transformation whereas additionally being their biggest asset. To study extra about why this paradox exists and the place companies want essentially the most assist, we commissioned a examine with Forrester Consulting to dig deeper.
The ensuing examine, primarily based on a survey with 4,036 senior decision-makers with duty for his or her firms’ information technique, titled: Unveiling Data Challenges Afflicting Businesses Around the World, is obtainable to learn now.
Candidly, the examine confirms our considerations: on this information decade, information has turn out to be each a burden and a bonus for a lot of companies—which one depends upon how data-ready the enterprise is perhaps.
Whereas Forrester identifies a number of information paradoxes hindering companies right this moment, three main contradictions stood out for me.
1. The notion paradox
Two-thirds of respondents would say their enterprise is data-driven and state “information is the lifeblood of their group.” However solely 21% say they deal with information as capital and prioritize its use throughout the enterprise right this moment.
Clearly, there’s a disconnect right here. To offer some readability, Forrester created an goal measure of companies’ information readiness (see determine).
The outcomes confirmed that 88% of companies are but to progress both their information know-how and processes and/or their information tradition and abilities. In truth, solely 12% of companies are outlined as Knowledge Champions: firms which can be actively engaged in each areas (know-how/course of and tradition/abilities).
2. The “need greater than they’ll deal with” paradox
The analysis additionally reveals that companies want extra information, however they’ve an excessive amount of information to deal with proper now: 70% say they’re gathering information quicker than they’ll analyze and use, but 67% say they continuously want extra information than their present capabilities present.
Whereas this can be a paradox, it’s not all that shocking when you think about the analysis holistically, such because the proportion of firms which can be but to safe information advocacy at a Boardroom stage and fall again to an IT technique that may’t scale (i.e., bolting on extra information lakes).
The implications of this paradox are profound and far-reaching. Six in 10 companies are battling with information silos; 64% of respondents complain they’ve such a glut of information they’ll’t meet safety and compliance necessities, and 61% say their groups are already overwhelmed by the information they’ve.
3. The “seeing with out doing” paradox
Whereas economies have suffered through the pandemic, the on-demand sector has expanded quickly, igniting a brand new wave of data-first, data-anywhere companies that pay for what they use and solely use what they want—decided by the information that they generate and analyze.
Though these companies are rising, and doing very nicely, they’re nonetheless comparatively small in quantity. Solely 20% of companies have moved nearly all of their purposes and infrastructure to an as-a-service mannequin—though greater than 6 in 10 consider an as-a-service mannequin would allow companies to be extra agile, scale, and provision purposes with out complexity.
Attaining breakthrough collectively
The analysis is sobering,however there may be hope on the horizon. Companies want to revise their information methods with a multi-cloud setting, by shifting to a data-as-a-service mannequin and automating information processes with machine studying.
Granted, they’ve lots to do to prime the pumps for a proliferation of information. Nonetheless, there’s a path ahead, by firstly modernizing their IT infrastructure to allow them to meet information the place it lives, on the edge. This incorporates bringing companies’ infrastructure and purposes nearer to the place information must be captured, analyzed and acted on–whereas avoiding information sprawl, by sustaining a constant multi-cloud working mannequin.
Secondly, by optimizing data pipelines, so information can stream freely and securely whereas being augmented by AI/ML; and thirdly, by creating software program to ship the personalised, built-in experiences prospects crave.
The staggering quantity, selection and velocity of information could appear overpowering however with the proper know-how, processes and tradition, companies can tame the information beast, innovate with it, and create new worth.
To study extra in regards to the examine, go to www.delltechnologies.com/dataparadox.
This content material was produced by Dell Applied sciences. It was not written by MIT Expertise Overview’s editorial employees.