Big Data’s Person of the Year: The Chief Data Officer
The nominations are in and – Who are we kidding? The results aren’t even close. The winner of Big Data’s Person of the Year is…The Chief Data Officer (CDO). Clearly congratulations are in order! But let’s step back for a second and take a look at the marketplace that’s made this all possible.
According to a recent study by the International Data Corporation (IDC), worldwide revenues for big data and business analytics will grow from $130.1 billion in 2016 to more than $203 billion in 2020, at a compound annual growth rate (CAGR) of 11.7%. And, if you want to talk REAL BIG numbers, get this – IDC projects that the world will create 180 zettabytes of data (or 180 trillion gigabytes) in 2025, up from less than 10 zettabytes in 2015.
This explosion of data, along with massive projected industry growth, has already begun to create an environment in which enterprises are learning to monetize their data. Enter the CDO.
More than ever before, an offensive strategy is needed to increase the value of big data to the business organization. While earlier iterations of the CDO were more intently focused on data regulation and strategies surrounding compliance, the role is increasingly shifting toward driving innovation and increasing revenue streams around big data valuation.
Rather than maintain the status quo as purveyors of data governance and data quality, CDOs will inevitably begin to focus more on driving digital transformation within their organizations. While a certain degree of attention will still undoubtedly be allocated toward risk mitigation when it comes to handling large amounts of data, the need to foster a data-driven culture will begin to take precedence in order to further big data initiatives.
According to a Gartner press release detailing their most recent Chief Data Officer survey, survey respondents indicated that “for the first time, more than half of CDOs now report directly to a top business leader such as the CEO, COO, CFO, president/owner or board/shareholders.” This means that in short order, CDOs will become critical components in enterprise big data strategy – especially when it comes to driving the use of data as a business asset. And, according to Gartner – “By 2021, the office of the CDO will be seen as a mission-critical function comparable to IT, business operations, HR and finance in 75 percent of large enterprises.”
So, it looks like your resident Chief Data Officer is ready to make their mark in corporate history. And with that many predicted zettabytes of data on the horizon, it’s probably safe to say that the role is here to stay. But what exactly will these individuals (and their teams) be responsible for when it comes to driving digital transformation within the organization? Good question. Let’s distil.
Gartner found that 71% of their survey respondents are acting as thought leaders on emerging digital models. Not only that, but they’re also helping to create the digital business vision for the enterprise. Having someone with a hand in the latest strategies surrounding data monetization is crucial when it comes to deriving value from your big data.
