2 Years From Now (Part 1)

Recap of the Gartner Data & Analytics Summit 2022

Contents of Part 1:

  • Summary of the Key Takeaways and Predictions
  • Intro: The new reality of the industry events is ROI driven
  • Data Fabric is CDO’s Best Friend

     

Summary of Key Takeaways and Predictions

  • By 2025, 80% of organizations seeking to scale digital business will fail because they do not initiate a modern approach to data and analytics governance. (Gartner ID G00761782).
  • In the S&P 1200, financial performance is related to the strategic use of D&A. There is a strong positive correlation between the percentage of companies with Low/Medium/High performance to the corresponding percentage of companies with Low/Medium/High D&A mentions in their financial reports.
  • Even though 72% of D&A leaders are heavily involved or are leading digital business initiatives, they are uncertain as to how they can build a trusted data foundation to accelerate them. (Gartner ID G00757755).
  • Data fabric lets the CDO focus on reaching digital business goals by directly addressing many technical data management requirements. (Mark Beyer, Gartner Data & Analytics Summit, Orlando, Florida, 22-24 August, 2022).
  • By 2024, 30% of organizations will invest in data and analytics governance platforms, thus increasing the business impact of trusted insights and new efficiencies. (Gartner ID G00766474).
  • Active metadata improves data literacy, sets organizational social networks, and reveals business patterns faster than data itself.
  • Metadata is the key to self-learning and augmented data governance.
  • Governance is about control only IF you play defensively.
  • To scale analytics self-service, organizations should change from the “don’t share data” mantra to the “must share data unless” model.
  • 75% of data collected by enterprises remains unused. (CIO.com, March 2022)
  • By 2025, active metadata-assisted automated functions in the data fabric will reduce human effort by a third while improving data utilization fourfold. (Gartner ID G00763301).
  • By 2024, organizations that adopt aggressive metadata analysis across their complete data management environment will decrease the time to delivery of new data assets to users by as much as 70%. (Gartner ID G00736613).
  • By 2022, cloud database management system revenue will account for at least 50% of total DBMS revenue. (Gartner ID G00740723).
  • By 2024, widespread cloud adoption will raise the CFO’s influence over the CDO decisions due to the explicit linkage of the workloads to costs, distupting the CDO role. (Gartner ID G00738930).
  • Early signs of a need to re-engineer decision-making: 75% agree that there is a greater expectation to explain or justify decisions using data. 70% think that the decisions derived from their reports can be automated.
  • 95% of decision processes that currently require human involvement, will be at least partially automated by 2025. (Gartner ID G00757755)
  • ROI models frequently fail to estimate the business impact of the D&A initiatives. Instead, Gartner offers to use the Risk Opportunity Appetite, Return model. ROAR is a framework and tool for assessing “net business value” to rank, prioritize and select the best group of data and analytics initiatives optimized for business value and alignment with strategic priorities. (Gartner ID G00723114).


The new reality of the industry events is ROI driven

Like my 5500 fellow attendees, this was my biggest conference since COVID-19 in person, spreading over two big Disney resorts in Orlando. It was too tempting just to spend time on the exhibit floor and in coffee corners, taking in the reality of what was happening right there in the new reality of a more digital post-pandemic world. That was  what I usually did in industry events. Still, I browsed the agenda and was overwhelmed by a dramatic change: on the one side, many tracks were dedicated to a very down-to-earth practical execution guide coaching style – “set your MDM practice in 90 days or less”; and, on the other side, a higher percentage of the long-term inspirational sessions touched on decision-making automation, the ability to plan the future under external uncertainty, like society polarization, with practical guides. It seemed like Gartner made a massive effort to do their research and consulting not only qualitative but also quantitative and actionable.
There was a leading common thread of active metadata management enabling connected governance, allowing better, faster analytics and decision making, with aspirations for future automation. The connection and impact of each of those steps on the business were also referred to.
I will dive deeper into each of those topics in this blog.

 

Data Fabric is the CDO’s Best Friend

The Summit’s opening keynote was about Active Metadata and Connected Governance as underlying technologies to enable the Data Fabric concept. We are still very early in the journey of data fabric as a concept and not just a set of tools. Data Fabric is doing more with what you already have. If you have failed, don’t start all over. Data Fabric may make your failures useful.

Rita Sallam and Donald Feinberg talked about how a warehouse is defined as a compromise – IT definition for everyone equally unhappy. In comparison, Data Lake is an architecture that makes no one happy since it is built to self-serve. At the same time, Data Fabric makes both IT and consumers feel better – by upgrading the Service Level Agreement. (Gartner Data & Analytics Summit, Orlando, Florida, 22-24 August, 2022)

Data Fabric Learns and Blends the New with the Existing

 

(Diagram: Gartner Data & Analytics Summit, Orlando, Florida, 22-24 August, 2022)

As Mark Beyer said in his session about the business drivers for data fabric, “Data fabric lets the CDO focus on reaching digital business goals by directly addressing many technical data management requirements.” (Gartner Data & Analytics Summit, Orlando, Florida, 22-24 August, 2022)

What is measurable is manageable. It is only natural to think about data mapping as the first step to understanding what is in the organizational data repository, where it is stored, and how it is used. This is precisely what active metadata does.

An abundance of many different types of metadata significantly enhances the probability of success in a data fabric initiative.

The impact is measurable indeed. By 2025, active metadata-assisted automated functions in the data fabric will reduce human effort by a third while improving data utilization fourfold.  (Gartner ID G00757755)

Now imagine the implication on data science and data analysis: Gartner says that  much more than 80% of analysis resources is spent on finding the right and comprehensive data, something like 90%+. So if we cut the 90% by a third to 60%, we improved analysis and modeling time from 10% to 40% – a scale of 400% in the throughput of analysis capabilities in the organization!

Refocus Data Management Initiatives to Grow Benefits


(Diagram: Gartner Data & Analytics Summit, Orlando, Florida, 22-24 August, 2022)

By automating data mapping, we solve the data management challenge for CDOs so they can focus on the business.

 

Gartner Data & Analytics Summit



(Diagrams: Gartner Data & Analytics Summit, Orlando, Florida, 22-24 August, 2022)

Offloading data management distractions from business goals is the digital business priority for a data fabric.

So when should you start your data fabric journey?
The answer is ASAP!

 


(Diagram: Gartner Data & Analytics Summit, Orlando, Florida, 22-24 August, 2022)

As you can see in the diagram, 25% adoption of a technology or a concept is achieved within 16 years, as occurred for all previous tech trends in the last 50 years.
After 16 years, an innovation cycle starts with a new breakthrough.

The following diagram shows that this adoption has trade-offs with a competitive advantage. By the time of half of the maximum adoption (roughly 12% out of 25%), differentiation levels go down. So, even though data fabric is still in its embryonic stage, you should hurry up to enjoy its fruits on time.



(Diagram: Gartner Data & Analytics Summit, Orlando, Florida, 22-24 August, 2022)


Different industries adopt it differently.
Automotive, airplanes, etc., are early adopters. Finance and insurance are the last to go.
It is due to the stand-alone nature vs. the convoluted character of the data and analysis models.

 

Fast Adoption in Less Complex Models



(Diagram: Gartner Data & Analytics Summit, Orlando, Florida, 22-24 August, 2022)

In Part 1, we discussed the Data Fabric – what it is, who it is for, and the benefits and timelines for the adoption. 

In the next parts of the blog, we will cover Active Metadata, Connected Governance, how to start the ball rolling, and the future of decision-making.

Featured posts

Contact Us

Reach out to learn more or schedule a demo

Enterprise & API Access Plan

Please fill in your details and our team will contact you shortly!

Large Plan

Please fill in your details and our team will contact you shortly!

Mid-Size Plan

Please fill in your details and our team will contact you shortly!

Starter Plan

Please fill in your details and our team will contact you shortly!