As we spend increassingly larger amount of our time online, its resulting in exponentially huge amounts of data which can be meaningfully utilised for better decision making. This huge pile of data, better known as the Big Data, has the potential to transform the way industries function.
Huge amount of data is getting generated on a daily basis from internet traffic, facebook postings, tweets, photo & video uploads, medical interactions, traffic monitors, financial and legal transactions, chats, shopping behaviours and even climate and weather monitors. According to an estimate, humanity is generating about 2.5 quintillion bytes every day.
The big data with its ability to organize, analyse and interpret large swaths of data has made it possible for companies, universities, governments, and medical organizations to look at much bigger possibilities in the coming years. Possibilities we couldn’t even imagine a few years ago. Big Data has the potential to help us better understand complex phenomena like weather and traffic, reduce the cost of education, reduce healthcare cost while improving quality of healthcare outcomes, boost efficiency and productivity and even create more job opportunities by better matching demand and supply.
Here we have come up with a list of five industries where Big Data is going to create transformative Impact. In another 3-4 years some of these areas are going to look significantly different from today as they seriously embrace big data.
1. Pharmaceutical Industry: Big Data is already revolutionising the pharmaceutical industry. Pharmaceutical R&D suffers from declining success rates and a stagnant pipeline. When the cost of a successful drug is tied to the number of failed drugs that preceded it, reducing that failure with better prediction is the answer many drug companies are pursuing. By better predicting a compound’s behavior before it ever touches a cell, they are fast-tracking innovation. According to McKinsey, better informed decision making using big data could generate up to $100 billion in value annually in USA itself by optimizing innovation, improving the efficiency of research and clinical trials.
2. Insurance: One industry which has been yearning for an ability to get it predictive capabilities right was the insurance industry. With Big data, insurance industry can better predict everything from weather patterns to social media. New sources of data could help them streamline costs, be more targeted with the risks they want to underwrite, identify new customers, predict fraud or identify which claims have the potential to become very expensive. More and more insurance companies are using Big data on three critical areas of pricing, underwriting and risk selection.
3. Education: Big Data is revolutionising education by letting schools, colleges, universities and course designers analyse absolutely everything that happens from student behaviour to testing results to educational needs based on changing societies. More importantly Big data is going to sync learning more closely with the demands of the environment be it new skill requirements, job trends etc. Big data in the online learning space will give institutions the predictive tools they need to improve learning outcomes for individual students. It will help create more mass customised courses, make learning more real-time and experiential and make learning more interesting and meaningful.
4. Healthcare: The benefits of Big Data in Healthcare are immense. Healthcare pruduces a huge pile of customer health data every hour. Today, 80% of medical data is unstructured and clinically relevant.Big Data can help access and analyze this enormous data sets and improve our ability to anticipate and treat illnesses. This data can help recognize individuals who are at risk for serious health problems. Big data and can also help significantly cut down costs by eliminating duplication and other wastes in the care process . If the U.S. healthcare industry used big data creatively and effectively to drive efficiency and quality, the sector could create more than $300 billion in value every year.
Further, Big data allows innovation to take place at greater speeds. For example, the Human Genome Project, which took 13 years, could now be completed in hours.
5. Retail: Big data coupled with high-performance analytics can help retail companies tailor their offerings in a way that’s beneficial to both the company’s bottom line and the consumer. Big data helps retail companies easily answer questions like such as what products are selling, what’s the association of one product to another, what do my consumers look like, what’s the marketplace doing?
Not just these five industries, Big Data has application in almost every other industry. Companies of any size can employ big data by sharing a pool of scientists and resources, getting the expertise they need without venturing beyond their core competencies or taking on a big fixed expense. The question that most companies need to ask today is not whether they can afford to implement big data, but rather, whether they can afford not to.