Use of Big Data is increasing by the hour and so is the investment in this area for Data Analytics. There are slew of startups and existing Analytical players like SAS, SPSS, R, RStat, E-Views, TreeNet who are building deep algorithms, forecasting and mining tools that can provide business insights from Big Data.
With a deluge of data that flows from Web and other sources, we are now entangled with much wider and deeper silos of information at our disposal. Mining this information with analytics is the need of the hour for many companies to stay competitive and also to improve their processes and overcome their structural inefficiencies.
Today’s Big Data analytics provides a slew of statistical techniques and usage of algorithms to provides for State of the current business and assessment and prediction on future growth models for their products and services either on Cloud or their SMAQ clustered of servers.
A host of Statistical techniques and algorithms are being customized and build with various Visualization techniques for Segmentation of profiles be it homogeneous or heterogeneous data sets (K-Means, Discriminant Analysis, Bayesian Belief Network etc) Forecasting future events which are both qualitative and quantitative (Monte Carlo simulation, Markov Chain), Predicting modeling with probabilities on outcomes (Linear Regression, Bayesian techniques), Descriptive modeling on trends on population (Structured Equation Modeling) are some of Statistical techniques that may sound Greek and Latin to most common readers who are not Data Scientists ( A new term getting in vogue for folks who have good grasp of understanding and usage of Statistical techniques and Econometric modeling which were earlier called as Operational Research folks).
Data driven decisions are not new in many enterprises be it in CPG (Consumer Packaging Group), Financial Services, Healthcare, Retail, Media and so forth, but they had only scratched the surface in the past because these techniques required special silos for storage, computation and analysis.
Big Data Analytics are used to correlate and identify patterns to study Customer behaviors, Brand preferences, Loyalties and Reward program usages to strategize and position their products and services appropriately on a ongoing basis. Business mining, Data Analytics, Visualization will become a key arsenal and core requirements in their Managers job profiles in understanding and implementation them.
Business leaders of many US Companies are proactively taking this discerning note from McKinsey Consulting group that by 2018, there will be a shortage of 1.5 million managers who would not have the skills to utilize Analytics in their business repertoire in their job profile. Many companies are planning to reposition and retrain their employees to meet the new challenging job environment.
On the other hand, IT Consulting companies are already gearing up with resources and processes of this positive note that by 2018, BI Analytics space alone would generate an additional US$20. 3 billions. Major Educational institutions to keep up with growing demand in the Global market have already started offering Business Analytical courses as a core requirement in both Graduate and Undergraduate degrees. Not to be outdone, many Institutes have created Certification Courses on Business Analytics.
I believe the mantra today on Big Data appears to be how business wants model and build their data requirements, similar to looking at Glass that is either half full or half empty philosophy.
“We capture what we model or We model what we capture”
Conclusion: Imagine building a Eureqa like program, which keeps iterating with different data points until it finds an equation that matches its relationship. Human mind is not capable of modeling or figuring it out or just like Einstein's e= mc² what 'c' is. Often many complexities outrun minds capability to understand it. Big Data analytics comes handy to unravel and demystify it.