The majority of UK business leaders are aware of the benefits data and analytics bring, they just don't believe they're capable of measuring its effectiveness properly. This is according to a new report from KPMG. Based on a survey of 2,165 respondents in 10 countries (250 of which were from the UK), the report says that most UK businesses use data and analytics tools for three things: 1) to analyse existing customers (50 per cent), to find new ones (45 per cent), and to develop new products and services (48 per cent).
At the same time, they don't believe they are managing their data and analytics processes properly, in order to create 'desired outcomes'. They are also lacking in the measures needed to assess the efficiency of their models.
“As analytics increasingly drive the decisions that affect us as individuals, as businesses and as societies, there must be a heightened focus on ensuring the highest level of trust in the data, the analytics and the controls that generate desired outcomes,” said Paul Tombleson, UK Head of Data & Analytics at KPMG.
“Failing to master analytics will not only make it increasingly hard for organisations to compete, but will expose their brands to new and growing risks. Seventy percent of UK executives believe that by using data and analytics they expose their organisations to reputational risk.”
Business leaders are also lacking confidence in their insights when it comes to risk and security, customer insight and business operations. Almost half of respondents said C-level executives don’t fully support their data and analytics strategy.
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