The article illustrates the importance of big data to businesses on a daily basis, it explains that the data allows us to have a better understanding of situations and therefore create better decision making processes and improves performances.
There is a link between big data and analytics; they are close in relationship. However the three key differences are 1) Volume 2) velocity and 3) variety.
The article also assesses whether big data can realistically improve business performances. To evaluate the value of being data-driven, they led a team at the MIT Centre for Digital Business, working in partnership with McKinsey’s business technology office, the aim was to test the hypothesis, the hypothesis is that it is expected that data-driven companies performer better. Interviews were held with executives at 330 public North American companies about their organisational and technology management practices, by conducting this research they were able to discover information which indicated how important the data is the relationship which stood out was : The more companies characterised themselves as data-driven, the better they performed.
So there’s plenty of evidence to show that big data has a positive effect on company performance, the question now is to whether more companies will increase the data they collect, and what effect this may have.
To be continued
McAfee, A., & Brynjolfsson, E. (2012). Big data: the management revolution. Harvard business review, 90(10), 60-66.