With the arrival and full realization of the Information Age, data really has become the new currency, and whether you are an individual or a business, we are all getting wise to the fact that data has significant intrinsic value. We are witnessing an exponential increase in the volume of data generated by everything being measured, monitored, observed and recorded all around us, and that pace does not show signs of slowing anytime soon. Every day we add to this data mountain, creating new data – whether we are aware of it or not. We give some data explicitly – but more often we now generate data implicitly, simply by our interactions with people, devices, and even locations.
This RMS article was previously published in Property Casualty 360
The effective use of data is so important to every insurance business — especially as big data and analytics are seen as a “silver bullet” for transformation. But to get on this transformative journey, your approach to data in your business may have to change. The traditional view of data focuses mainly on data collection and storage: how to collect, store, access and arrange the data, with rules and procedures to achieve this.
There is a tendency to separate data from analytics. If you think of data analytics, the image may be of the hard-pressed team of analysts and IT specialists, working to tight deadlines, “mining the data” to deliver the core reports that the business needs.
If any of the above rings true, you may need to change your mindset. First, for data collection and storage, the cloud has revolutionized the way data is stored, accessed and managed, offering high capacity and high availability, all typically on a pay-as-you-use basis. Historically, this is where much of the investment in this area went. But with the cloud, the burden has lifted as businesses now do not need to become experts in data storage or to plan, build and manage data centers, which were seen as critical in-house infrastructure in the past.