For European Enterprises, the Future is Built on Analytics
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Insights
The highlighted focus on enterprise-wide analytics in Europe, as detailed in the ISG Provider Lens™ Analytics Services report, underscores the growing importance of data analytics in driving business and digital transformations. This trend is indicative of a larger shift towards data-driven decision-making within the European business landscape. The investment in upgrading infrastructure to support analytics tools is a significant one and it has the potential to streamline operations and enhance competitiveness for companies that adopt such technologies.
From a market research perspective, the adoption of advanced analytics and AI indicates a maturing market where businesses are seeking to leverage data for strategic advantage. The report's mention of service providers equipping enterprises with AI strategies and intellectual property assets suggests a collaborative ecosystem where technology partners play a pivotal role in enabling businesses to harness the power of data. This could lead to increased demand for specialized services in data science, engineering and management, thereby expanding the market for analytics services.
The recognition of companies as 'Leaders' or 'Rising Stars' in various quadrants of the analytics services market can serve as a benchmark for investors and businesses looking to understand the competitive landscape. Such categorizations can influence investment decisions, as companies named 'Leaders' may be perceived as safer bets due to their established market presence and proven capabilities.
The report’s implications for the stock market and investors are multifaceted. The analytics services market's growth trajectory in Europe could signal investment opportunities in companies that are positioned as 'Leaders' in the ISG report. These companies may experience increased business volume as the demand for their services grows, potentially leading to improved financial performance and attractive returns for investors.
Moreover, the designation of certain companies as 'Rising Stars' suggests that there are smaller players with significant growth potential. These companies could offer higher risk-reward profiles, which might appeal to investors seeking growth stocks. However, it is crucial for investors to conduct due diligence, as the long-term success of these companies will depend on their ability to scale, innovate and maintain a competitive edge in a rapidly evolving market.
For stakeholders, the shift toward decentralized and scalable data architectures like data fabric and data mesh could mean a realignment of IT budgets, with potential cost savings and efficiency gains in the long run. However, the initial investment in infrastructure upgrades may impact short-term financials, requiring careful consideration of capital allocation and return on investment.
Understanding the technical implications of the report, the transition from legacy systems to cutting-edge analytics infrastructure involves complex engineering challenges. The integration of data assets and the meticulous planning required for such an upgrade are critical for ensuring that the new infrastructure can fully support advanced analytics tools. This process is not just about technology but also about fostering a digital culture within organizations that can adapt to and maximize the benefits of these tools.
The strategic adoption of data fabric and data mesh architectures points to an industry-wide evolution towards more flexible, resilient and scalable data management solutions. For businesses, this means potentially greater agility and the ability to respond more quickly to market changes or new opportunities. However, the transition to these architectures requires a deep understanding of both the existing IT landscape and the new technologies to avoid integration issues and ensure seamless operation.
For the IT sector, the demand for such services indicates a robust market with opportunities for growth in the areas of data science, engineering and management services. This could lead to an increased need for specialized IT professionals and could drive innovation in the development of new tools and platforms to support these services.
Service providers can aid companies in upgrading their existing infrastructure to take full advantage of enterprise-wide analytics, ISG Provider Lens™ report says
The 2023 ISG Provider Lens™ Analytics Services report for
“European enterprises are facing significant challenges that require them to embrace an innovation mindset and culture that significantly pushes them to invest in digital capabilities, analytics and AI,” said Dorotea Baljević, ISG analytics lead in EMEA. “Providers can help them shift their approach at a considerably reduced cycle time.”
Enterprise analytics requires a substantial investment in upgrading existing infrastructure, the ISG report says. This involves careful engineering and integration of data assets, meticulous planning and technical expertise to ensure the upgraded infrastructure supports all the functionalities of analytics tools and provides the necessary foundation for data-driven decision-making.
Employing historical data and trends to forecast future infrastructure needs and associated costs can assist in better budgeting and planning, the report says.
“Chief Digital Officers are looking for solutions to help prioritize data-centric initiatives and align them with enterprise business objectives,” said Jan Erik Aase, partner and global leader, ISG Provider Lens Research. “Service providers can equip enterprises with the necessary foundation to build a robust AI strategy utilizing their IP assets such as accelerators, frameworks and platforms powered by digital technologies like AI/ML, deep learning, NLP and computer vision.”
The report also examines how enterprises are actively adopting data fabric and data mesh approaches in a strategic shift toward more decentralized and scalable data architectures.
The 2023 ISG Provider Lens™ Analytics Services report for
The report names Accenture, Capgemini, Cognizant, Deloitte, HARMAN Digital Transformation Solutions, HCLTech, Infosys, Mphasis, Orange Business, Persistent Systems, TCS, Tech Mahindra, Virtusa and Wipro as Leaders in three quadrants each, while Alexander Thamm, Fractal, Hexaware, Quantiphi, Reply, Tiger Analytics and Tredence are named as Leaders in two quadrants each. CGI is named as a Leader in one quadrant.
In addition, NTT Data is named as a Rising Star — a company with a “promising portfolio” and “high future potential” by ISG’s definition — in three quadrants, while ITC Infotech and MathCo are named as Rising Stars in two quadrants each.
A customized version of the report is available from Orange Business.
The 2023 ISG Provider Lens™ Analytics Services report for
About ISG Provider Lens™ Research
The ISG Provider Lens™ Quadrant research series is the only service provider evaluation of its kind to combine empirical, data-driven research and market analysis with the real-world experience and observations of ISG's global advisory team. Enterprises will find a wealth of detailed data and market analysis to help guide their selection of appropriate sourcing partners, while ISG advisors use the reports to validate their own market knowledge and make recommendations to ISG's enterprise clients. The research currently covers providers offering their services globally, across
A companion research series, the ISG Provider Lens Archetype reports, offer a first-of-its-kind evaluation of providers from the perspective of specific buyer types.
About ISG
ISG (Information Services Group) (Nasdaq: III) is a leading global technology research and advisory firm. A trusted business partner to more than 900 clients, including more than 75 of the world’s top 100 enterprises, ISG is committed to helping corporations, public sector organizations, and service and technology providers achieve operational excellence and faster growth. The firm specializes in digital transformation services, including automation, cloud and data analytics; sourcing advisory; managed governance and risk services; network carrier services; strategy and operations design; change management; market intelligence and technology research and analysis. Founded in 2006, and based in
View source version on businesswire.com: https://www.businesswire.com/news/home/20240130021560/en/
Press Contacts:
Will Thoretz, ISG
+1 203 517 3119
will.thoretz@isg-one.com
Philipp Jaensch, ISG
+49 151 730 365 76
philipp.jaensch@isg-one.com
Source: Information Services Group, Inc.
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