Data security, artificial intelligence (AI), and data management remain key optimisation concerns for companies looking to retain the value of their data while mitigating the risks, writes Shenita Nathoo, senior solutions specialist: data and analytics at Altron Karabina.
Data and analytics. What a space. Gartner has predicted that data and analytics are perceived as a top priority for companies to achieve their customer service and support objectives in 2023. The firm said that understanding the customer has become a critical touchpoint at a time of intense economic complexity.
McKinsey spoke to senior leaders about data and analytics and discovered that these technologies have the potential to disrupt but are complex to achieve at scale. And Forrester predicted that for 2023, data and analytics teams are in for ‘a wild ride’. All three are correct – data and analytics are in for a wild ride as three key trends emerge in 2023.
Trend 01: data security
Yes, everyone knows about security. It’s as complex and layered a problem as loadshedding with just as many criminals involved. Data security isn’t something that should be looked at in isolation.
In 2023, organisations have to consider security from multiple perspectives across the touchpoints of people, infrastructure, networks, applications, databases and the general environment. It requires a holistic approach that ensures every part of the business environment is aligned with critical security frameworks and protocols.
Companies should also focus on understanding their security posture, utilising security frameworks bolstered by international standards of best practice, developing policies and control frameworks and driving awareness campaigns and educating their organisation’s employees on the importance of data security.
Ongoing monitoring and management of incidents are critical to ensure companies can be proactive when potential threats are identified or quick to respond when a breach is detected.
The classification of data is critical to ensure organisations understand what data is produced, consumed or shared in their organisation or with external parties; understanding what the sensitivity level of the data is, as well as who is authorised to view or use the data.
Companies need to ensure that compliance with policies and regulations is a priority to minimise undue risk to their organisation. Protection has to be embedded at every point along the data chain and so, data security in 2023 has to be centred around 360-degree security.
Trend 02: artificial intelligence (AI)
Of course, no conversation about data can be had without its fresh and shiny new companion, AI. This technology has undergone some impressive iterations recently – the arrival of ChatGPT and its extraordinary growth heralded a new era in man-machine interaction – and remains a solid counterpoint to the human in managing data volumes and insights.
The challenge this year isn’t going to be finding an AI solution, but rather finding one that fits the business. AI tools can automate processes and improve efficiencies while reducing risks and costs, but the value is found in AI that’s relevant. The right tools and solutions will augment existing processes and support employees and can be trained to give people more space to perform their roles effectively.
The key questions in 2023 are about how these models are trained, the information that they’re using and how to mitigate bias.
Companies can fully realise the potential of AI moving forward but they have to do so knowing that these models can absorb the wrong viewpoints and biases that can fundamentally impact the business and its people.
There are plenty of stories – the Microsoft chatbot and the Amazon resume selector – that underscore the importance of implementing an AI that can deliver on the right levels.
There are plenty of opportunities and great value that AI can bring to an organisation but understanding where and how to use it is important as this can be used for improved decision-making, identification of opportunities, identification of risk, improving efficiencies, optimising business processes, and improving customer engagement to name a few.
Trend 03: optimised data management
Finally, one of the most interesting trends around data in 2023 is how companies are going to approach its optimisation. Moving forward, companies want to see what the data can do for them. How it will fit within their business strategy, and how they plan to fully dig into its potential.
These demands are making it important that data is designed around where the organisation is going – it needs to come with the business and meet its strategic demands.
As data becomes increasingly integrated into strategy, companies will be better able to track its value. There has to always be justification for spend, particularly now as companies and countries face strong economic headwinds, so data, like anything else, is under pressure to prove its ROI.
Prioritising the approach to data management and data governance in an organisation provides assurance to an organisation that data is managed as an asset and can provide value and potentially be utilised as a form of revenue generation.
As a result, data as a service is rising in popularity, as are data management tools that are designed to support organisations in managing and securing their data while squeezing out every last droplet of value.
These three trends, shaped by demand and ROI and risk, will equally shape how data and analytics evolve over the next 12 months. Moving forward companies need to find the right strategies and partners to ensure that data becomes as inherent and integrated a part of the company as the coffee machine.