Big data: analytics' pot of gold

Inside the Enterprise: Can analytics boost the economy, and is IT ready to provide the resources to do so?

Dealing with larger volumes of data ranks highly on most IT directors' lists of priorities for the coming year. But research by economists suggests that big data could do more, and deliver a significant boost to the economy over the next five years.

There is little point in IT building sophisticated new analytics tools, if the business lacks the skills needed to interpret the results, and turn the data into decision making.

The report, from the Centre for Economics and Business Research (and funded by SAS, an analytics tool vendor), suggests that improved use of "big data" could boost the UK economy by 216 billion, and create some 58,000 jobs.

Calculations by the Cebr suggest that big data delivered economic benefits of 25.1 billion last year, with the contribution rising over the next few years as more firms adopt advanced analytics techniques. This would equate to a boost of about three per cent of GDP, something that will be very welcome given the UK economy's current fragility.

The idea behind the calculations is simple enough: if businesses have access to better information, they will be more efficient, and more profitable. The Cebr splits the benefits into three main areas: business creation, efficiency, and innovation.

Big data, for example, should help companies start up, because they will be better placed to identify and target their markets. Companies should become more efficient, for example through better customer intelligence, or streamlining the supply chain; these efficiency gains should contribute 149.5 billion to the economy by 2017.

And innovation should, the researchers suggest, also gain from big data, because it can improve research and development as well as the creation of new markets. Gains, the researchers say, will apply across all sectors of industry, and the public sector.

Featured Resources

B2B under quarantine

Key B2C e-commerce features B2B need to adopt to survive

Download now

The top three IT pains of the new reality and how to solve them

Driving more resiliency with unified operations and service management

Download now

The five essentials from your endpoint security partner

Empower your MSP business to operate efficiently

Download now

How fashion retailers are redesigning their digital future

Fashion retail guide

Download now

Recommended

Six ways boards can step up support for cyber security
Business strategy

Six ways boards can step up support for cyber security

22 Jul 2021
Department of Health and Human Services must improve cyber security info sharing
Security

Department of Health and Human Services must improve cyber security info sharing

30 Jun 2021
JEDI contract's future becomes murky after AWS court win
Policy & legislation

JEDI contract's future becomes murky after AWS court win

11 May 2021
Trump's election defeat isn't going to get Huawei back in the UK
Security

Trump's election defeat isn't going to get Huawei back in the UK

17 Nov 2020

Most Popular

The benefits of workload optimisation
Sponsored

The benefits of workload optimisation

16 Jul 2021
RMIT to be first Australian university to implement AWS supercomputing facility
high-performance computing (HPC)

RMIT to be first Australian university to implement AWS supercomputing facility

28 Jul 2021
Samsung Galaxy S21 5G review: A rose-tinted experience
Mobile Phones

Samsung Galaxy S21 5G review: A rose-tinted experience

14 Jul 2021