Updated: Aug 2, 2022
The importance of data for companies continues to grow. In recent years, 90 percent of all data that exists has been collected. For our progress, especially at the present time, this is largely due to the development of artificial intelligence and also general machine learning. But still, in many cases, companies are lagging behind and do not yet fully comprehend how to use the data they have accumulated.
Processing, structuring and using the data can in many cases provide more efficiency, as well as reduce expenses. Why this has earned increasing relevance in all industries is obvious. Better ways of communicating one's own product, because everyone in the company knows what the target group and ultimately the end customer wants, can not only sustainably strengthen the company's growth, but also its competitiveness. Machine learning, artificial intelligence, and big data are buzzwords that are now, or should be, virtually no stranger to any company. But a sophisticated and fully planned data strategy is still foreign to many companies. You ought to address this and remedy the situation. After all, the strategic alignment of every department in the company according to the data that is collected and also processed in a structured manner continue to be an integral part of successful business management. In this article, we will take a closer look at the combination of IT and business and go into greater detail about the opportunities for the company itself.
Data strategy is incorporated into every department of the company.
A data strategy describes a company's precise planning and forward-looking approach to extracting and filtering required knowledge from its data. Of course, this also requires a human data analyst; today, we have not yet reached the point where the emotional intelligence of a human can be replaced by a machine.
Artificial intelligence, however, has the ability to produce insights from data that can greatly assist humans in their work. The goal of programming an AI is therefore to transfer human intelligence into an automated system and to make things easier and faster due to the existing capacities in data evaluation. In this context, the programming of the algorithms plays a major role. If this system of working out the data strategy has reached every department of the company, even large data sets can be analyzed, processed, and sorted within a very short time, so that general findings can be obtained in detail. Of course, experts here agree that this can be a long and sometimes complicated journey. For data to play a role in every business function within the company's industry and to be comprehensively available, it is important that the company not only adapts its systems or even its structures to it. It is also of significant relevance that the entire culture, the way of working as well as also the cooperation of the individual departments in the team are completely aligned to the data processing and the associated strategy on those.
Evaluating data correctly - Big Data and Machine Learning
For data to be analyzed, it naturally has to be available in the first place. Both from small data sets it will be difficult to draw insights and knowledge from them. However, even with very large data sets, it may not be easy to program artificial intelligence or general machine learning in such a way that the algorithms can be improved.
This is where Big Data can help, allowing data not only to be processed more effectively, but also to be analyzed. Without machine learning, it is nearly impossible to extract the knowledge from these data sets as an AI could. So data has a better idea comes from the fact that it can organize itself and be summarized and structured in entirely new ways that are initially unthinkable to humans. Thus, data driven thinking gives companies better knowledge generation, as data can be evaluated and prioritized in a more targeted way through the addition of artificial intelligence.
Strengthen competitiveness through better data processing
As the generation of knowledge through machine learning and Big Data has already arrived in many industries, it is also becoming an important topic for the competition. By enabling the company to save resources due to better data processing and the general data-oriented business philosophy, it offers a great advantage. Not only for the economy of the company, but also for the environment, the data-driven way of acting contributes to the sustainability of the company. Wastage of goods, overproduction, or the general responsibility of the company with regard to sustainable action can thus be controlled mechanically. This creates an advantage over the competition in all sectors of the company and also saves money and other important resources.
Machine learning: How algorithms drive businessesforward
Even in the catering industry and in large kitchens, this technology is already meeting with a positive response. The findings of the algorithms enable the companies to evaluate, on an industry-specific basis, what capacity utilization they can anticipate. In the process, the emotional or even the error-prone analysis by humans is excluded. Just because there was a lot of activity last weekend does not mean that there will be more orders next weekend. When it comes to production, ordering goods and allocating companies' resources, artificial intelligence can bring enormous benefits.
Data protection and anonymity - DSGVO compliant data processing
"Data has a better idea" shows that it is easier to analyze data using machine and artificial intelligence. When we align our insights according to data analysis, we get more targeted information about possible opportunities that drive the business. Plus, you keep track of everything that's going on in the company.
However, it is of course very important that not only the technological component is coherent, but also the legal one. When implementing business intelligence in the company, it must be legally guaranteed that the data is processed and analyzed anonymously and that the respective settings of the user are accepted.
Benefits of data for the company - Business Intelligence
As we have already clarified, the targeted use of data has become virtually indispensable for companies and offers a great advantage over the competition. If we combine IT and business, make data work for us and use business intelligence, we can also see progress in productivity within the company. Risks, cost and customer analyses can also be carried out in a targeted manner and market opportunities can be better identified and seized.
Moreover, the employee does not become superfluous, but rather on the contrary very much in demand and relevant in everyday operations. His tasks may shift to a supervisory position. However, he is primarily responsible for the advantage that the knowledge and findings are made accessible and understandable to everyone.