A joint research study between Splunk and Enterprise Strategy Group (ESG) surveyed 1,350 senior business and IT decision-makers across eight industries in Australia, China, France, Germany, Japan, the UK and the US. Results indicated that a more advanced data strategy was tied to improved outcomes including revenue growth, operational cost reduction, increased innovation, faster time to market, higher customer satisfaction and retention, and better, faster decision making across all industries and in all countries.
As part of the study framework, a maturity model was created to identify various stages of readiness.
- Stage 1: Data Deliberator- Organizations that are in the early phase of their data strategy implementation.
- Stage 2: Data Adopter- Organizations that are making good use of their data, but still have room for improvement.
- Stage 3: Data Innovator- Organizations which place the strongest strategic emphasis on data and have an advanced strategy in place to extract business value.
Based on this model, it was obvious that "an organization's stage of data use impacts its ability to not only glean insights from its data, but to convert these insights into concrete, data-driven decision-making and real-time action."
Further, the study noted that "Relative to the Data Deliberators surveyed, Data Innovators have added 83% more revenue to their top-line and 66% more profit to their bottom line in the past 12 months. The study found Data Innovators to be more likely to have a data-obsessed company culture and employ AI technologies for data analysis by acting on their data more frequently."
"Until now, it has been difficult for business leaders to put hard numbers around the monetary value of data," said Doug Merritt, President and CEO, Splunk. "This first-of-its-kind study proves that a holistic and sophisticated approach to data can help any organization become a Data Innovator, outpace their competition and become business and market leaders. Splunk is proud to help our 19,000+ customers bring Data-to-Everything and re-imagine business outcomes with the data that's already at their fingertips."
Probably unsurprisingly, this image from the study clearly shows that the more technically-focussed an organisation is, broadly the greater the data maturity.
Locally, within Australia, the survey observed somewhat higher levels of maturity than the global average.
- 74% of Australian organizations have reduced their volume of dark data (unknown and untapped data) over the past 12 months. This is more than any other country, showing a willingness for Australians to harness that potential and do something meaningful with it.
- Australian organizations (63%) were also most likely to report improved time to market or manufacturing time as a result of better data utilisation.
- Among companies that attribute an operational cost reduction to better data utilization, Australian organizations (3.81%) also reported the largest average decrease in costs over the past year.
Splunk has also made available a maturity calculator to assist any organisation identify their current level and gain insights into areas of improvement.