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Leveraging off data to drive business growth
The potential for businesses to become data-driven enterprises can result in delivering the highest value to customers and stakeholders, yet Australian businesses are not fully harnessing the power of data and the age of analytics.
According to a McKinsey Global Survey, an increasing share of companies are using data and analytics to generate growth, with its use bringing about important changes to their companies’ core business functions.
McKinsey also found data-driven organisations are 23 times more likely to acquire customers, six times as likely to retain those customers, and 19 times more likely to gain in profitability.
CSIRO’s Data61 Research Director Dr Sue Keay revealed the Fourth Industrial Revolution – the next wave of digital innovation – will be driven by technologies that collect, manage, analyse and use large amounts of data.
These technologies are set to transform a wide range of industries from mining to agriculture and health, much like personal computers and the internet have transformed the retail, information, and media sectors over the past two decades, Keay said during her keynote address at D61+Live 2019.
She summarised the following aspects:
· Data capture. This refers to robotic sensors the Internet of Things, as well as imaging and geospatial data.
· Data management is critical. We need to make sure data, especially personal information, remains private and secure.
· Data analysis. This is where high performance computing, edge computing and machine learning comes in – being able to scale and derive new value from data.
· Data for decision making. To train or create intelligent systems, robots and digital assistants to augment human capabilities.
Applying this to your business
At a Michael Page Technology event, Cheryl George, Director of Business Development and Commercialisation at Data61 expanded on the key areas businesses must assess in order to maintain and achieve growth: “How do you think about yourselves as a data-driven enterprise or start that journey or plan? What are the first steps around that?
“We see that data competitiveness is going to be core to the future competitiveness and the profile of businesses. And this starts with data capture.”
She explained that as organisations get better at what data they have, where that source of data comes from and how reliable that information is, it’s crucial to question whether that data can be processed in a way that makes sense in the business’s context.
This is where data management comes in.
“Data management includes: what we do with this data and how do we secure it, and how do we share it across your organisation, or with others?” George said.
“Pulling this information is one of the big opportunities we see: companies often think of this space as the data that they collect.
“But what other information is out there in the ecosystem? Is there public data – or open data – that might be relevant to inform your business or decision-making?”
To address the challenges around public data being accessible, hard to find or duplicated, Data61 developed the platform National Map, which brings together 10,500 open data sets.
She highlighted many Australian businesses have been early adopters of accessing this wealth of data, requiring others in the market to understand this was now the current playing field for data-driven enterprises.
“What we’re seeing in terms of a shift is that this information is becoming more accessible: businesses are working out how it’s relevant so they’re tapping into it to build out their knowledge base around your demographics, your company, and your position in the market,” she noted.
On the area of data analysis, George said this process was straightforward.
“Once you’ve collected and amassed data, how can you make sense of it and identify patterns to inform your business? And how can you use it to make decisions or help your customers make decisions?” she posed.
“This won’t be a shift where everyone in your workforce needs to be a data analyst or data scientist.
“It’s more about how to take that information and return it to your workers and customers so that they have it as a tool at their disposal when they’re making day-to-day decisions.”
David Khadi, Regional Director at Michael Page said: “We know from various reports that Australian enterprises are falling short of their global counterparts when it comes to harnessing data analytics for improved business performance, profitability and decision-making.
“The insights Data61 has provided highlight the urgency for organisations to keep up with data’s evolution, as they relate to, and affect their business.
“As a leading global recruitment firm, we also know that Australian businesses are looking to better understand these data challenges – Michael Page is proud to have facilitated this event for our clients, as we help change lives through creating opportunity for their businesses to reach their potential.”
If you have hiring needs or are ready to explore the latest data and technology roles from one of our specialist recruiters, contact us today.
Part of the CSIRO, Data61 is Australia’s leading data innovation group, the national science agency.