61% of C-suite executives believe their organisations to be highly data driven: Report

As per PwC’s Using advanced analytics to make Big Decisions report, India scores higher as compared to their global counterparts with 61% of India leaders believing that their organisational decisions are highly data-driven compared to the global benchmark of approximately 40%.

Gerard Verweij, Partner – Global Data and Analytics Leader, PwC, said, “Globally and also in India, companies that rank high on usage of predictive and prescriptive analytics envisioned cost reduction and increase in market share as the likely positive outcomes from the next big decision.”

Sudipta Ghosh, Partner & Leader – Data and Analytics, PwC India, said, “Taking big decisions is getting increasingly complex. To stay as leaders, organisations need to depend on data and analytics enabled decision making process. Advanced analytics will play an increasingly important role in unlocking the value of data by generating insights. However, organizations will need to invest in creating the right structure, processes and culture for making this happen”

Key insights of the survey:

1) Cost reduction and market share gains are the big focus areas for Indian firms while leveraging advanced analytics solutions

Companies that rank high on usage of predictive & prescriptive analytics envision cost reduction and increase in market shares as likely positive outcomes from the next big decision. 80% of respondents anticipating cost reduction as an outcome perceive their firms to make use of advanced analytics. The percentage stands at 71% for an increased market share as a likely outcome.

2) C-Suite Executives are more confident of their firm’s Data and Analytics maturity as compared to mid-level executives

While C-suite Executives consider their firms to be highly data-driven and users of Predictive or Prescriptive analytics (59%), among the next tiers of management such as Business Unit & department heads the percentage falls to 46% suggesting a gap in the extent to which analytics is actually being leveraged for decision making across different levels

3) A significant role for machine learning algorithms is emerging

Indian leaders score 43.65% for using machine learning algorithms as compared to 41% to global leaders. On the human judgement parameter the India leaders score 56.34% as compared to 59% for global leaders. These statistics clearly demonstrate that the faith that Indian leaders prefer using analytical tools and techniques while taking important decisions rather than simply relying on their instincts.

4) New age companies and start-ups are better equipped than established players in their usage of advanced analytics for decision-making

Companies with relatively smaller revenues and start-ups in particular indicate predictive and prescriptive analytics to be deeply embedded in their operating model & processes (75%) with 15% more respondents believing their firms to be using advanced analytics than more established firms in their industry.