Sybase, recently acquired by SAP in May of 2010, just released in conjunction with the University of Texas a study on the use of data in 150 Fortune 1000 firms. Ecrmguide.com has quite a nice review of the report.
A couple of intriguing quotes from this report.-“The significance of this research is that to the best of our knowledge it is the first study that has quantified the relationship between improvements in data and key performance metrics of businesses today. Most studies focusing on the benefits of data quality report the percentage of firms that have seen a specific type of benefit after investing in data improvement1. They tell us neither the magnitude of the effect on performance nor what it takes to improve the attributes of data. While large-scale investments in Information Technology have certainly helped improve basic data access and quality, our findings suggest that there is still room for major performance gains through additional investments in better data.”
Payoffs of effective data strategy:
- Productivity of employees
- Return on Equity (ROI)
- Return on Invested Capital (ROIC)
- Return on Assets (ROA)
We can’t agree more. A must read.