BOSTON—A new study finds the value of data has increased dramatically among the business community, bringing about the rise of a new title: the chief data officer (CDO).
The Experian report, which interviewed more than 250 chief information officers (CIOs) and CDOs from large organizations, found that data is a critical asset that has been largely untapped until this point. Ninety-five percent of CIOs believe data is changing the way their organization does business, the study found. In addition, four out of five see data as a valuable asset that is not being fully exploited within their organization.
To create that ownership, the role of the CDO is growing among U.S. businesses. The data finds:
- Sixty-three percent of organizations without a CDO would like to see the role created in the future.
- The creation of the CDO role is being driven by three main drivers: a need for a consistent approach to de-risk data driven projects, growing costs due to poor data quality, and increasing regulations.
- Seventy percent of respondents view the CDO as being a “trusted advisor” of data across the enterprise.
“CDOs should approach their position as a consultant,” said Eugene Kolker, CDO of Seattle Children’s Hospital, Foundation, and Research Institute. “Outreach and education about the importance of data and analytics to the enterprise is critical. CDOs can aid building a vision of people, process, and technology, along with a culture that embraces using data and analytics to address business needs, enable growth, and empower innovation.”
Business leaders finally are learning that to gain valuable insights from information, they need to create a culture around data, said Thomas Schutz, senior vice president and general manager of Experian Data Quality. “Businesses need evangelists for data and individuals with the intelligence to not only ensure information assets are governed, accurate, accessible and complete, but also promote the use of data for good across the business. The rise of the CDO puts that concept front and center. We at Experian anticipate the CDO role will continue to grow and with it, the concept of data helping businesses and consumers.