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November 9, 2011

Organisational challenges, not technology, threatens more rapid analytics adoption

44% of organisations report cultural barriers to enterprise-wide analytics adoption

By CBR Staff Writer

Organisational challenges, more than technology hurdles, are creating hindrances for companies in fully integrating analytics across their enterprises, according to a new research by MIT Sloan Management Review and the IBM Institute for Business Value.

The research, "Analytics: The Widening Divide," surveyed over 4,500 executives, managers and analysts from more than 120 countries and 30 industries.

For 44% of organisations, cultural barriers to enterprise-wide analytics adoption, such as the requirement for new leadership competencies and organisational resistance to new ideas, are the primary barriers. Only 24% cited technology as the major concern.

The study carried out in 2010 found organisations fall into one of three levels of sophistication. They include Basic users referred to as Aspirationals, the more Experienced users, and the most advanced users referred to as Transformed.

The more sophisticated users, by expanding their deployment of analytics, are growing much faster than their peers.

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