As per Oxford English Dictionary Big data is “data of a very large size, typically to the extend that its manipulation and management present logistical challenges”.Big Data refers to technologies and initiatives that involve data that is too diverse, fast-changing or massive for conventional technologies, skills and infrastructure to address efficiently.
But nowadays with the help of new technologies it is very easy to realize value of Big data, for example to identity shopping behavioral trends of customers to improve stockage, pricing of the items.Government processes also get benefits and banking institutions are capturing data on customer interaction to model risk and fraud.
Benefits in IT sectors:
- Many old IT companies are fully dependent on big data in order to modernise their outdated mainframes by identifying the root causes of failures and issues in real time and antiquated code bases.Many organisation are replacing their traditional system with open source platforms like Hadoop.
- Most big data solutions are based on Hadoop, which allows designs to scale up from single machine to thousands of machines ,each offering local computation and storage,moreover it is “free” open source platforms , allowing minimizing capital investment for an organisation in acquiring new platforms.
- With the help of big data technologies IT companies are able to process the third-party data fast, that is often hard to understand at once by having inherently high-horsepower and parallelized working of platforms.
Benefits of Big Data in Business:
- Data quality has a direct impact on business process efficiency.In purchase to pay process, poor quality vendors data can cause missing of purchase contracts or pricing information which can lead to delays in procuring vital goods.Many companies using big data solutions or algorithms to simply do what they have already been doing , so that there is no data loss moreover if we run the algorithm against the data set ,the result might be the list of individual who exhibits attributes of fraudulent behavior.
- In order to cash process ,incomplete or inaccurate credit limits or pricing information can lead to overall customer service loss or reduce revenue or may increase service cost ,with the help of big data technologies and ability to run various algorithm more quickly ,the data can be updated at regular intervals throughout the day.
- The systematic analysis of data or data profiling is used to assess the overall health of the data which lead to proper business decisions in accordance with present situation because sometimes inaccurate data results in incorrect management,means business decisions are based on incorrect information .For example the more one can understand about customers complex relationships, preference, and interaction history with company, the more relevant and timely once business outreach.
Benefits in Enterprise :
- Big data might allow a company to collect trillions or billions of real-time data points on its products, resources, or customers- and then repackage the data instantaneously to optimize customer experience .
- Speed at which data is updated using big data technologies allow enterprises to more quickly and accurately respond to customer demands.For example MetLife used MongoDB to quickly consolidate customer information over 70 different source and provide single , rapidly-updated view
- Big data can help enterprises to act more nimbly allowing them to adopt to changes faster than their competitors.
Benefits in Other Areas:
- Big data technologies used to predict the ‘buy’ and ‘sell’ decisions made on the shares of different companies for the customers.
- Hospitals are analysing medical data and records to predict those patients that are likely to seek re-admission within a few months of discharge.The hospital can the avoid costly stay of patients in hospital.
- Search-Engine retrieve lots of Data from different data bases in fraction of seconds using big data technologies .For example, Google uses MapReduce algorithm to search for a given query. MapReduce divides the task into small parts and assigns those parts to many computers connected over the network, and collect the result to form the final result.
- Financial Services organisation are using big data for data minning about customer interactions to slice and dice their users into finely tuned segments, this will help in creating increasingly relevant and sophisticated offers.
- Insurance companies are using Big Data analysis to see which home insurance application can be immediately processed, and which ones need a validating in-person visit from an agent.
- Web-based business are developing information products that combine data gathered from customers to offer more appealing recommendations and more successful coupon programs.