Big Data and Its Business Impact: Benefits and Enhancement Strategies

This report examines the significant impact of big data analytics (BDA) on contemporary businesses. It delves into the core benefits of BDA, including improved competitiveness, cost reduction, and enhanced customer satisfaction. The report highlights how BDA facilitates faster and more informed decision-making by analyzing large datasets, identifying trends, and understanding customer behavior. It also explores how companies like IBM leverage BDA for service enhancements. The report further discusses the use of BDA in business enhancement, such as improving operational techniques, generating better revenues, and gaining a competitive advantage. The analysis covers various applications, including supply chain management, customer service networks, and online sales. The report concludes by emphasizing the importance of BDA in modern business operations and the potential for future developments in this field. This report is available on Desklib, a platform offering students access to past papers and solved assignments.

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BIG DATA AND ITS BUSINESS IMPACT
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1BIG DATA AND ITS BUSINESS IMPACT
Abstract:
One of the emerging technology, big data analytics have created a huge difference in the
business sector in the past few decades. The technology have helped in the development of the
revenue system of the business organisation such that they are being able to improve their
business in many ways. Renowned companies like IBM have adopted the technology for
providing its services as well. The impact of BDA in the contemporary business includes in-
depth insight and faster decision making process as well, making the technology effective and
the business efficient. The report discusses about the benefits of big data in the business sector
along with how it affects the business.

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Table of Contents
Introduction:....................................................................................................................................3
Main benefits of Big Data Analytics in Business:...........................................................................3
Use of big data in business enhancement:.......................................................................................6
Conclusion:......................................................................................................................................9
References:....................................................................................................................................10

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Introduction:
With the advancement of technology, new and better opportunities have been obtained.
The emerging technologies such as the hybrid clouds, Artificial intelligence, virtual reality, and
big data has influenced the business sector in various ways. In recent times, several IT
companies invest a lot on maintenance and management of Big Data (Jeble et al., 2018). But
what is big data? Big data is regarded as large sized sets of data that can be computed or
analysed to reveal trends, patterns, linkages and associations. These data mostly focusses on
interactions and behavior of human beings. Having such a huge data volume, which may or may
not be organised, is very difficult to process or catalogue by using traditional techniques of
software and database management. In most cases, we would find that the data is too vast or is
too fast for processing capacity of any traditional software and this data size keeps on growing at
a very rapid pace. Hence efficient management techniques are required to manage such data.
Examples of such data used in recent times includes the data processed on social media sites and
in stock exchanges. In this report we will be discuss about the impacts that has been created by
the Big Data Analytics or BDA in the contemporary business sectors around the world.
Main benefits of Big Data Analytics in Business:
With the introduction of the information system and information technologies into the
business, a huge amount of data is collected and gathered in the information databases which is
then stored in the clouds. The estimated amount of data by the end of 2020 is estimated to be 44
Zetta-byte, which is a massive collection of data. With the emergence of the big data technology,
gathering of these data has become much easier. As per the studies, by the end of 2017 almost
53% of the company’s worldwide has already implemented big data in their business and the rest

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are in the process of adoption. There are innumerable benefits of using the big data analytics in
the business which includes the improved competitiveness of the business.
According to Thirathon, Wieder, Matolcsy & Ossimitz, (2017), Big Data is the collection
of data in a structured manner which helps in improvement of the accessibility of the data. Big
data analytics is a technology for storing, structuring processing and presenting the data such that
it is transformed into a sensible set information which can again be used by the business for the
various process which also includes decision making which is another crucial part of the
business.
Big data helps in cutting the cost of the business. With the introduction of the big data
into to the system, the number of employees involved into the system for performing the same
task as the technology will do has decreased, which has led to the cutting of cost for the
organization. The errors in the process and invoicing has been reduced to a greater extent along
with the automated schedule for the services.
Uses of technology reduces the human errors, we all are familiar with this fact. With the
emergence of the smart technologies like the big data analytics in the sectors of the business, the
errors due to the human in the industry has reduced as well. This is due to the accuracy of the
functioning with the BDA. With the reduced error the organizational efficiency is increased
which helps in evolving the business as well.
The platforms like HADOOP is used for the storage and process of large volume of data
or the Big Data in a more flexible and distributive manner. Moreover, Hadoop is a cloud based
tool which is capable of storing a huge amount of data. With the implementation of this tools, the
business can be benefited with the cost effectiveness (Chiang et al., 2018). Along with this,

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HADOOP is well known for providing high speed data services to the system. Thus the entire
time taken for the input, processing and obtaining the final result becomes much faster and
accurate. The Hadoop technology is one of the best known platform for the big data analytics
and can be obtained by the business as well.
The big data helps in achieving an increment in the sales and loyalty. The search customs
of the customers leaves digital footprints for the company which helps in identifying the
shopping preferences of the customers. This helps the business or the organization to understand
what actually does the customer wants. The search preferences of an individuals and the
suggestions are made on that basis as well (Erevelles, Fukawa & Swayne, 2016). This enhances
the customer’s satisfaction regarding the websites as they get exactly what they are looking for.
With the acute usage of the big data the employers can hire right employee. The
technology helps in sorting the employees according to their resumes and the key skills. The
right employees gets hired for a particular position in the Company. The traditional process of
sorting and shortlisting the employees was time consuming and required more than one
employee for doing so. With the BDA in use, the procedure is much less time consuming and the
cost of training and employing people for doing so is reduced as well.
With the right usage of the big data technology, the correct focus can be laid upon the
local preferences. Starting from the small business to the giants, every organization has an areas
where it should focus its preferences. Big Data Analytics helps in emphasizing more upon the
likes and dislikes of the clients. This is for each and every client of the organization. Once the
preferences of the clients are understood along with their personal searching and other data, a
competitive advantage can be obtained from the over the other companies with similar working
domain.

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There are many other benefits of using the big data analytics which are in use and which
are yet to be uncovered by the developers and experts and can add up to more benefits to the
business organizations. In the following section we will discuss about how business can be
enhanced with usage of the Big Data Analytics.
Use of big data in business enhancement:
All though all there are numerous benefits of big data that has been acknowledged, one of
the biggest question still arises, how can big data analytics improved the performance of the
business? Studies shows that almost all the business giants in the contemporary world works as
the data driven institute making use of a large number of structured as well as unstructured data
which has to be processed on a regular basis such that a decision can be obtained from it. The
process of decision making plays a key role in the business and a small mistake in that sector can
result in catastrophe. The operational techniques have been improved with the implementation of
the BDA in the larger business organization. This has resulted in generating better revenues for
the organization.
As discussed earlier in the section above, with the appropriate usage of the Big Data in
the system, we can gather some important knowledge and understanding regarding the business
and its customers (Govindan et al., 2018). Understanding helps in development of the business
and the organization. Several business operators have accepted the fact that with the involvement
of the Information Technology and Big Data Analytics in the business information distribution
and the communication has evolved and become much easier amongst the companies worldwide.
The renowned companies like IBM, collects the customer data for enhancement of the
business process. The process introduced by IBM is a cooperating and reacting method which

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was solely developed for the retired personnel or the senior people across the globe. They
collected the customer data in order to provide them emergency services like health care, fire
alarms and many other. This was done with the help of the sensor technologies placed by the
company or the organization in their homes. They are used to give out data like, heat,
Clamminess, level of oxygen, water, electricity and many other entities such that any
abnormality can be reported to the business at the earliest of the notice and the services can be
provided to the customer as early as possible.
One of the other technology that holds hands with the big data analytics is the Business
Intelligence or BI. This is also the process that is used for enhancing the business process such
that a better decision can be taken on the behalf of the business which may lead to the prosperity
of the business. All the big data analytics and business intelligence are two different tools used in
the contemporary information system across the world, they have different job roles to play. The
job of the business intelligence is to enhance the process of decision making by carrying the data
to the functions used for processing, whereas the job role of the big data is to process the data
such that a structured data set can be obtained for the analytics. If the two technologies are
working simultaneously within a system, it will multiply the rate of production of the company
by a lot more times.
The Airline companies’ makes usage of the big data technology to identify the right
estimated arrival time of the flight such that the airline employees and workers along with the
customer inside the plane can prepare themselves for the landing. At present the organizations
are laying their main focus on the trends of recognizing the patterns of their customer’s purchase
with the help of the BDA, such that a competitive advantage can be gained.

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A person or an organization can use big data in several ways. One such use is in the arena
of supply chain management system. This would greatly help in checking the sudden rise in
revenue of the company. It would also help in scanning the customer’s services network of the
company and help in interfering in the ideas of health care of billions including both company
employees and the customers. Big data analytics would also help in proper planning and
forecasting or preparation for various projects in order to gain more successful results in online
sales and management issues. The major advantage of using big data is the fact that it gets access
to the feedbacks and comments of various customers and also the information from the various
advertisements. Al of these helps the company to make right decisions (Mashingaidze &
Backhouse, 2017). The company can also listen to the ideas of the customer and support them by
making certain changes to their services in order to help them. This helps them to gain an
advantage in the commercial market.
There are some companies that cannot dominate the idea of big data analytics. This is
because they lack the skills are the software base or technologies required to do so. These
companies lack the procedures that are required to extract specific data from such a huge amount
of data.
There are however problems in using big data analytics with Hadoop. This is because
Hadoop does not cooperate or coordinate well with the previous ERP systems present in the
organizations. This is where integrated architecture is required as this is a scenario where big
data technologies need to be integrated with the real time systems.
There are several weaknesses in the arena of big data analytics. The organizations often
lack the skills, the technologies, knowledge, patience and experience in the field of big data
analytics which lead to loss of data. The data managers and the data suppliers of big data are

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finding motives of using big data and utilizing its benefits for the various companies. But the
weakness still exists in the big data environment and as a result, there is a need for suitable
technologies which would help in overcoming the issues of big data analytics.
Conclusion:
From the above repost it can be said that the big data analytics is the most efficient
technology that can be incorporated in the organization. With the help of the big data
technologies numerous benefits can be obtained in the business starting form the cost reduction
to several others like the enhancement of the security, increased revenue due to the decreased
time for the processing. The technology has helped in making the entire process of storing,
sorting and the processing of the data in the large as well as smaller business easier and quicker
which in return has helped in the easing up the process of decision making for the business
sectors. All though there are numerous benefits of the big data technology in the business sector,
its disadvantages cannot be neglected completely. The big data analytics is considered to be one
of the recent technologies that has been into the usage and is still in the process of development
which has made it quite unstable in certain sector of the business. Moreover, the lack of the
skilled labors for the usage of the technology in the most of the business organization has
resulted in loss of the data in many cases which is again one of the greatest disadvantage of the
technology. Apart from these, the big data technology can be termed as one of the technology
that can benefit the organization in many ways and within the coming years it is expected to
evolve further.

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References:
Jeble, S., Dubey, R., Childe, S. J., Papadopoulos, T., Roubaud, D., & Prakash, A. (2018). Impact
of big data and predictive analytics capability on supply chain sustainability. The
International Journal of Logistics Management.
Thirathon, U., Wieder, B., Matolcsy, Z., & Ossimitz, M. L. (2017, November). Impact of big
data analytics on decision making and performance. In International Conference on
Enterprise Systems, Accounting and Logistics.
Chiang, R. H., Grover, V., Liang, T. P., & Zhang, D. (2018). Strategic value of big data and
business analytics.
Erevelles, S., Fukawa, N., & Swayne, L. (2016). Big Data consumer analytics and the
transformation of marketing. Journal of Business Research, 69(2), 897-904.
Govindan, K., Cheng, T. C. E., Mishra, N., & Shukla, N. (2018). Big data analytics and
application for logistics and supply chain management.
Mashingaidze, K., & Backhouse, J. (2017). The relationships between definitions of big data,
business intelligence and business analytics: a literature review. International Journal of
Business Information Systems, 26(4), 488-505.