The Influence of Big Data : How Data Analytics is Driving Business Decisions

Big Data Influence : Data Analytics is Driving Business Decisions

Big data has completely changed the decision taking method in the businesses. Now we have the ability to collect, process and analyze large amount of data. By doing this, companies can get data insights. In this article, we will see the influence of big data and how data analytics is driving business decisions.

Influence of Big Data, Big Data & its business impacts

What is Big Data?
Big data refers to large, complex, structured and unstructured type of data which is difficult to analyze and process using normal traditional methods.  The data gets generated every day from different sources and it requires advanced technology to store, manage and analyze.

What are Big Data Technologies ?

Data Storage → It includes the infrastructure where data gets stored or managed. There are various tools available for this activity like Apache Hadoop, MongoDB, RainStorCassandra

 

Data Mining →   This refers to extract the required information from original data for analysis. It can be done by using RapidMiner, ElasticSearch, Presto

Data Analytics → It involves transformation of data to generate the required information for further decision making process. It can be done by using Kafka, Splunk, Apache Spark, KNIME (Konstanz Information Miner).

Data Visualization → It is the way of visualizing data through graphical representation. We can generate the graph, charts to view the results. It can be done by using Tableau, Plotly

Data Analytics is Driving Business Decisions, importance of data for decision-making

How Data Analytics is Driving Business Decisions ?

Data Analytics helps businesses to achieve better performance. By implementing it with business model, the cost can be reduced by finding the efficient way for doing business and storing large amount of data. Data analytics techniques can be used to identify patterns, insights and trends in data.

Data analytics uses Big Data and Machine Learning technologies to discover the patterns from data.

Here are a few ways data analytics is driving business decisions:

Identifying the problem and customer behavior :

Data analytics helps companies to understand their customers and identify the problem. By using this process, companies can create marketing campaigns, improve services. 

e.g. Shopping companies can use data analytics to recommend additional products based on purchase and browsing history.

Data Preparation and Business Operations for Product Development : 

Once problem is identified, it is necessary to know what data needs to be analyzed to improve the underlying issue. Data analytics helps companies in business operations by reducing costs and improving productivity. By understanding customer preferences, businesses can design products based on the demands.

Enhancing Risk Management and Making Decisions : 

Data analytics helps companies to analyze the risks and then take proactive steps to prevent them from occurring.  Data analytics helps businesses to make strategic decisions by providing insights into market trends.

e.g. Banks can use data analytics to detect fraudulent transactions and prevent losses.

Conclusion:

The high level of competition forces large businesses to use data analytics to improve their decision-making capacity. By using data-driven insights, businesses can make well formed decisions which can help in the growth, profitability and end user satisfaction.  Companies using big data and data analytics are in better position to compete in the digital market world.