A recent Forbes piece set out to clear up some misconceptions that continue to plague the big data analytics space. Read on for more on these myths and why it’s important that companies be aware of them.
- Data analytics automatically leads to new discoveries. Of course, data analytics enables companies to uncover critical information and make better decisions as a result. However, the notion that this is somehow automatic or instantaneous must be dispelled, as it leads to unrealistic expectations particularly from knowledge workers or other non-technical users.
- Data analytics is too expensive. This myth is extremely unfortunate as it prevents countless companies from successfully availing of analytics.
- Data analytics is too time-intensive. More often than not, if analytics initiatives are eating up time and resources, it’s likely due to an incompatible solution. Rather than writing off the technology, companies should look for other tools that might help them realize their data analytics goals more effectively.
- You need to be an analyst to derive value. The citizen data scientist movement, which we’ve discussed in detail before at the APEX of Innovation, underscores that anyone can derive actionable insights from analytics.
- All businesses are driven by data. “Data-driven” is a popular buzzword, but data is only relevant when it makes sense to your business and services.
- There’s no reason to track bounce rates. Ignoring bounce rates is a mistake. Bounce rates can play an important role in SEO and how users perceive the business, and can also help companies identify errors that are causing people to leave the site.
- Machine-made decisions eliminate bias. This is a big one. Artificial Intelligence (AI) algorithms and other technologies are not inherently unbiased; in fact, they frequently reinforce prejudices already present in society. The industry as a whole must determine how to address this significant issue, but, until it’s resolved, it’s critical that this myth be dispelled.
- Data analytics leads to job loss. Through its relationship with AI, data analytics is often unfairly associated with job loss, but the opposite is true.
- The more data you gather, the better. The true benefit of analytics is separating the signal from the noise, and this can be difficult with a wealth of information. Rather than collecting all available information, companies should instead focus on quality over quantity and prioritize the data most important to the business.
- Analytics can drive your business. Data analytics gives you insights, but companies must integrate these insights into business processes and solutions in order to create added value and, in turn, enable them to reach their full potential.
For more on the importance of dispelling these data analytics myths head on over to Forbes.