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Big Data is Entering the Trough of Disillusionment

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Big Data is Entering the Trough of Disillusionment

Ravi Kalakota provides insight into what lies ahead for Big Data, as the hype begins to fade.

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Big data and becoming data-driven is no longer news or novel. Hype is not enough anymore. The challenge now for leaders in every enterprises is how to aggregate that ever-growing pile of data into leverage-able platforms.

In parallel, the long term data consumption trend is pretty clear… Consumers and employees have more interactions with data through mobile apps than they do through desktop browsers.

This implies a massive transformation wave across existing:

  • Systems of insight  (Reporting, BI, Analytics platforms)
  • Systems of engagement (CRM, SFA)
  • Systems of record (ERP)

The bigger transformation challenge is around how to systematically clear the bottlenecks in each of the above so that end-users can (1) access real-time data;  (2)  slice and dice the data for actionable insights from any device, anywhere; (3) convert the insights into guided decisions.  The directional strategy is clear, but can the organization get behind it and implement it swiftly and effectively?

This impending transformation is both exciting and daunting at the same time.  Application development and delivery (AD&D) teams are overwhelmed.  Leadership (in most corporations) in terms of vision or directional clarity is often weak or missing.  Strained relationships and misaligned business and technology teams is unfortunately the norm, not the exception.

Something is out of whack.

What I have observed in multiple engagements and research is that every year, billions of dollars are being spent with the consulting industry on establishing a corporate data strategy. Millions of hours of leadership time is invested in the strategy effort.

Implementing the data/analytics strategy around systems of engagement, record and insight is where the pain and the largest costs to the organization come into play. This is where talent becomes critical, and where competitive advantages are either won or lost.  But most firms starve the application development and delivery (AD&D) teams. Few invest in program management to ensure the organization is involved, aligned, and ready to make it happen?

As a result, most corporations today have an awfully poor batting average when it comes to analytics projects or data informed business processes. This also may lead to the frequency of failure of most large-scale corporate change initiatives.  

The hype cycle is not a new phenomenon, but one that repeats itself with each innovation that somehow captures people’s imagination.  We have to be patient in the next 2-3 years and dig ourselves out of the big data Trough of Disillusionment. :-)

Evolution-of-Data

Source: It’s Time To Upgrade Business Intelligence To Systems Of Insight Supercharge BI With Agility, Big Data, And Insights To Drive Action by Boris Evelson, July 20, 2015

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Topics:
big data ,hype cycle ,analytics

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