Better use of data within a company will substantially boost performance, according to a study by software company Sybase, a unit of Germany’s SAP. According to the study, named “Measuring the business impacts of effective data,” a 10 percent increase in the availability of data will boost sales per worker on average by 14.4 percent.
The study, conducted with the University of Texas, assesses the impact of IT improvements at 150 of the biggest US companies across different industry sectors.
Next to rising worker productivity, it cites strong potential improvements in return on equity. “Increasing both the quality of data and the ability of sales people to access it by just 10 percent more than existing levels in the business, the average Fortune 1000 company can increase ROE by 16 percent,” the study said.
In addition, the researchers concluded, return on assets could be boosted by 0.7 percent through a 10 percent improvement in “intelligence and accessibility” of data.
“The results of this study underline how important it is to make data efficiency a company priority,” said Raj Nathan, senior vice president and CMO at Sybase. ,
He added that companies need to deploy new ways to deal with growing data volumes. Said Nathan: “This study proves that even practical improvements in data efficiency lead to measurable financial profits.”
The first parts of the study are available at: