Will Big Data Bypass Most CIOs?

We recently reported that IBM has opened a new lab with the goal of bringing R&D, analytics, and Big Data  directly to the CEO.

The initiative is called the IBM Customer Experience Lab and it aims to blend research innovation with business consulting to address the priorities of C-Suite leaders as they learn to tackle Big Data initiatives.

IBM Research scientists and business consultants will work with clients to deliver systems that learn and personalize the experiences of each individual customer, identify patterns, preferences and create context from Big Data, and drive scale economics.

The IBM Customer Experience Lab will provide CEOs, CMOs, CFOs ( Note there is no mention of CIOs), heads of sales and other C-suite executives direct access to a virtual team of 100 Researchers, supported by the expertise of thousands of IBM business consultants addressing the opportunities of the digital front office.

Please See IBM's New Big Data Lab to Bypass CIOs


Now a recent survey of CMOs has demonstrated that an increasing portion of CMO marketing budgets will be dedicated to using Big Data initiatives to reach new and existing markets more effectively. 

According to The CMO survey, CMOs reported that the percent of their companies’ marketing budgets allocated to big data will increase from 6% to 10% over the next three years. 

 The bigger the company, the larger this increase. Suvey results show companies with sales revenue of $10B or more will spend 13.7% of marketing budgets on marketing analytics in three years while companies with sales revenue of $25M or less will spend 9.2%.

When asked to report the percentage of projects in which their companies use marketing analytics that are available and/or requested, CMOs reported a dismal 30% usage rate.  This number has decreased from 37% in the previous years report.

So while companies are spending more on Big Data less of the money is actually being used throughout the organization.

According to IBM CEO Ginni Rometty,  she sees “big data” services as a strategic mandate for both IBM and their customers in 2013. Leveraging Big knowledge, analytical data tools, and services will enable customers to mine vast troves of information to make better and faster decisions.

Where is the CIO mentioned in either of these scenarios and conversations? The fact is they are not. Organizations such as IBM are learning that by providing efficient Big Data tools and consulting insights and services to an organizations' C-Suite members they can communicte directly with the appropriate department without having to directly involve the CIO - at least initially.

Similarly, CMOs from across many industries are recognizing that Big Data initiatives are invaluable marketing tools - the survey has identified 2 important trends. CMOs need to do a better job of utilizing the results of the Big Data initiatives, and that self service Big Data applications will become increasingly available to CMOs. These facts may lead the CMO to believe they do not need to roll out their Big Data application in coordination with the organizations' CIO.

Service Level Agreements, systems maintenance tasks, and planing and budgeting issues will eventually lead the C-Suite to seek qualified professional assistance.

Perhaps the CIO can help?



Source of survey information is  The CMO Survey,  Feb 2013 




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Bill has been a member of the technology and publishing industries for more than 25 years and brings extensive expertise to the roles of CEO, CIO, and Executive Editor. Most recently, Bill was COO and Co-Founder of CIOZone.com and the parent company PSN Inc. Previously, Bill held the position of CTO of both Wiseads New Media and About.com.