To help support data-driven business initiatives, CIO's should highly consider outsourcing data analytics because most organisations lack the necessary skills to analyse data in-house.
Analyst Forrester coined the term “insight provider” to help better describe the IT, data services companies and business consultancies that can handle data analytics better than most organisations. By working together with these companies, they gain the ability to run complex analytics and the insight they can offer.
Jennifer Belissent, a principal analyst who spoke at the Forrester Forum in London said: “There's a data capability gap.” In a recent survey, almost half of organisations said that improving data and analytics technologies is of high priority. However, they lack the necessary skill to do so and despite it being of high importance to them are unable to properly use their data to make meaningful business decisions.
When it came to how many organisations were unable to analyse data on their own, Belissent said: “While 73 per cent of firms want to be data-driven, only 29 per cent say they do a good job turning data into actions.”
Of the organisations that Forrester spoke to, only a quarter possessed the capabilities to provide useful data dashboards to their business. An additional 25 per cent believed that their data dashboards would be ready in a few weeks. Concerning advanced analytics, Belissent noted that only 9 per cent of the organisations surveyed said they could respond to the business in days. Another 19 per cent said that such a task would take weeks.
The deliver of advanced analytics is far too complex for most organisations to deliver useful information in a manner that is timely enough to be applicable to day to day business.
However for those with data analysis skills, now may be the perfect time to seek out a new job as 74 per cent of the executives Forrester discussed this issue with are hiring data scientists.
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