Businesses are still struggling to make Big Data projects profitable, a new joint study by Capgemini and Informatica suggests.
According to the recently released Big Data Payoff: Turning Big Data Into Business Value report, just slightly above a quarter (27 per cent) of Big Data projects are profitable. The rest still have 'significant work' to do in order to get there, the two companies said.
These results are based on a survey of 200 senior IT and data management executives at companies employing 1,000 or more people.
But not everyone is losing money on these projects. Amost half (45 per cent) said they're breaking even, while 12 per cent said it's still early to tell if they're going to be profitable or not. In fact, it's just 12 per cent that are losing money.
The biggest difference in these projects seems to be in ownership. COOs and CDOs are more than twice as likely to run a profitable Big Data project, compared to CIOs. Currently, in 52 per cent of cases are CIOs responsible for these strategies, but ownership is shifting towards COOs (20 per cent), CTOs (16 per cent) and CMOs (16 per cent).
"Clearly the key battleground is in the leadership of initiatives, echoing what we’ve witnessed in Digital Transformation,” says John Brahim, Head of Capgemini’s Insights & Data Global Practice.
“The study suggests however that many organizations have some way to go before they become truly insights-driven, with budget constraints and integration highlighted as significant challenges in fully operationalizing Big Data."
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