In Ocient’s latest “Beyond Big Data” report, the dual forces of opportunity and challenge shape the current landscape of data analytics and IT infrastructure. While 100% of organizations recognize the value of scaling their data analysis for business outcomes, nearly 36% struggle to fully harness their data’s potential due to complexities in data management and analysis processes. As data volumes grow, so too do the challenges associated with transforming raw data into actionable insights.
Here’s what the report can tell us about the current state of data management and what might be coming down the line.
See also: How Multi-Tech Data Platforms Enhance Data Management
Tackling Cost and Complexity in Data Management
The report highlights a significant shift in how organizations approach data analytics, driven by the unpredictable costs that often hinder innovation. With 68.3% of respondents regularly surprised by their data analytics spending and 40% feeling constrained by budget limits, the financial aspect of data management remains a critical barrier. In response, there has been a notable increase, from 35% last year to 41% this year, in organizations transitioning away from outdated systems to modern platforms that better support advancements like GenAI. This movement is not only about keeping up with technological advancements but also about seeking more predictable and manageable costs associated with data analytics.
Shifting Trends in IT Infrastructure
The adoption trends of IT infrastructure are also evolving. The dominance of cloud-only solutions is waning, with only 25% of respondents continuing to invest exclusively in cloud architectures, down from 35% the previous year. This shift reflects a growing preference for on-premises and hybrid models, where organizations can maintain greater control over their data and better predict operational costs. The report also introduces new concerns around energy consumption, with 53% of respondents now viewing the energy demands of data and AI workloads as a primary concern. This shift towards energy-conscious IT is driving more companies to consider sustainable technologies and practices that align with broader environmental goals, such as reducing carbon emissions and achieving net-zero targets.
Navigating the Technological Landscape: Implications for Businesses
The findings from the “Beyond Big Data” report offer a clear snapshot of the current environment for businesses striving to stay competitive in a rapidly evolving technological landscape. These insights are not just about understanding the status quo but about recognizing the shifts that dictate how businesses must adapt to remain at the forefront of innovation. Here’s what the current environment looks like and what it demands from companies.
Rapid Technological Advancements
The push towards adopting modern platforms that support GenAI and other advanced analytics tools indicates the rapid pace at which technology is advancing. Businesses are expected to keep up and be agile enough to pivot as new technologies emerge. This requires an ongoing investment in tech upgrades and a willingness to phase out legacy systems that no longer serve the company’s strategic interests.
Increased Demand for Flexibility
The shift from cloud-only infrastructures to a more balanced approach with on-premises and hybrid models reflects a broader demand for flexibility in data management. The need for greater control over data security, compliance, and cost management drives this trend. Businesses must adapt to this demand by evaluating their infrastructure choices through the lens of flexibility and control, ensuring they can quickly respond to changes in market conditions or regulatory environments.
Financial Pressure and Budget Constraints
The unpredictability of costs associated with data management and analytics is a significant concern. It pressures businesses to find more stable and predictable cost structures to manage their budgets more effectively. This financial pressure is accelerating the search for innovative solutions that can reduce operational costs, such as more energy-efficient data centers and AI-driven analytics that streamline operations.
Sustainability as a Strategic Imperative
With a significant uptick in concerns about the energy consumption of data and AI workloads and a strong commitment to carbon neutrality, sustainability has transitioned from a corporate social responsibility initiative to a strategic imperative. Businesses must integrate sustainability into their core operations, not only to meet regulatory and consumer expectations but also to benefit from the associated cost savings and improved brand reputation.
The Growing Importance of Data Governance
As businesses collect and utilize more data, the importance of robust data governance grows. This involves not only the security and compliance aspects but also the efficient management and utilization of data. Effective data governance ensures that businesses can maximize the value of their data assets while mitigating risks related to data breaches and compliance violations.
Overall, the “Beyond Big Data” report captures a landscape where data analytics is increasingly seen as both a strategic asset and a complex challenge to be managed. It underscores the ongoing need for organizations to balance innovation with cost, control, and sustainability. The upcoming year promises further developments as companies continue to navigate these challenges, potentially leading to more diversified data management strategies and continued investment in sustainable IT solutions.
Elizabeth Wallace is a Nashville-based freelance writer with a soft spot for data science and AI and a background in linguistics. She spent 13 years teaching language in higher ed and now helps startups and other organizations explain – clearly – what it is they do.
