‘Smart Data’ can have Profound effect on ERP Business Solutions
For companies that move large volumes of their data to the cloud in an effort to bolster their ERP business solutions, a revolution is on the horizon. Cloud computing already offers the corporate world an opportunity to process data and channel it into intelligent business decisions, but the data landscape is beginning to change – according to Cloud Times, the era of big data is ending, and in its place, “smart data” is taking over.
Erik Greuter, a marketing expert at document security software firm DocTrackr, expounded upon this evolution of data. The sheer volume of information to be found online today has become overwhelming. Every single minute, the world produces 204 million new email messages, 100,000 new tweets and 48 hours of new video. It’s impossible for any corporation, no matter how much computing power it has, to process everything. For companies that try to do too much, the side-effects can be drastic – in a rush to utilize as much information as possible, analysts can err by finding misleading and meaningless connections between data points, making poor decisions about their companies’ futures.
In the future, corporations can improve their operations by honing in on specific data points that directly impact them.
“Smart data is created by algorithms that can cut down data to its most important points, grading information’s usefulness by its age for example,” Greuter writes. “Even without employing these algorithms, companies big and small can measure an increasingly large number of variables that actually matter to their businesses. The increase in analytics tied to website interactions, customer behavior, and even data and documents is greatly increasing business productivity.”
How can companies apply smart data?
According to McKinsey and Company, there are many ways that effective data use can positively impact technology companies. First of all, by moving into the cloud and making information accessible via cloud ERP, IT officials can make data more transparent, enabling visibility for employees, business-to-business clients and consumers. Secondly, internal use of company data can streamline operations such as managing product inventories or counting employees’ sick days.
Furthermore, companies can use data to segment their customer bases and provide each subset of their clientele with products and services that are specifically tailored to them. Analytics can improve corporate decision-making about product marketing and customer service.
Ultimately, cloud computing and ERP will help companies shape their futures. Collecting big data is one thing, but collecting the right data and making shrewd decisions is more important.