Bridging the gap between traditional and data driven companies
Data can be a huge asset to organisations – providing they are able to use it.
When you look at lists of the largest companies in Finland, they are virtually unchanged from 50 years ago. Hence many companies are lagging behind in data driven transformation.
In the U.S. and Asia, lists of the most valuable and fastest growing companies have been completely transformed in recent years. The six largest companies in the world – Apple, Google Alphabet, Amazon, Tencent and Alibaba – are all digital platform businesses.
Platform economy is changing the rules. More and more digital native companies are entering the market, wiping out established competition. What does this mean to traditional companies? The answer is simple: data driven transformation or die.
Many leaders understand this and are taking decisive steps toward data driven transformation. Unfortunately, there are also scores of leaders who think that nothing could drive them out of business after decades of thriving. Leaders who shy away from change and choose to build barricades to protect their current investments.
Traditional companies aren’t equipped to predict
Traditional companies face numerous challenges when trying to compete against digital native companies. A digital platform business has all its data in one place. It can run an immeasurable amount of predictive models that help management see what customers want and where the company should go.
Traditional companies, in comparison, often have poor quality data, which is scattered in tens if not hundreds of different information systems across the organisation. Moreover, traditional companies use most of their data solely to look back. Gazing in the review mirror tells you very little about the road ahead.
The only way for a traditional company to compete with digital native businesses is to start transforming into a data driven company.
The most important prerequisite to creating a data driven organisation is understanding how crucial the commitment and outlook of top management is. Data driven transformation is not an ICT department’s challenge, or a data warehouse drill, it is a transformation that changes the entire organisation.
The AI-driven solution that transforms data into valuable insights: Tieto Data Platform
Tieto Data Platform enables putting your business data into productive use. It is utilised to collect scattered and valuable data, store and curate it into data pipelines, so that you can utilise it in creating AI-driven analytics that lead to valuable business insights.
Technology alone, however, only takes you so far. You also need a holistic playbook about how to proceed. We have built a working model starting from forming a company’s data strategy that supports the business needs and roadmap.
Tieto Data Platform consists everything you need to start data driven transformation: it is technology, a mode of operation and a team. We help our customers create a Data Ops team to administer, own and ensure good quality data, and help the entire organisation utilise the data asset and benefit from it.
Data driven transformation is not about small tricks. Ultimately, it is a question of survival. It is about leading business processes with data, understanding customers more intimately, and delivering products and services that meet and exceed customer needs – and in doing so, keeping the company in business in the digital era.
Want to know more? Visit our website.