The majority of Canadian executives surveyed said that they were still relying more heavily on human judgement than on data and analytics when making big decisions. An interesting insight, given that according to our previously conducted CEO Survey, 54% of private company CEOs stressed the use of technology in assessing and delivering on stakeholder expectations.
Organizations that combine the powers of mind and machine can enable their decision making,, take timely action and gain a competitive advantage. It’s true, however, that the usability of each method depends largely on the sector. For example, in the survey, insurance companies were found to rely heavily on machine algorithms, while asset management companies continue to rely mostly on human judgement. Other industries, such as banking and capital markets and the retail and consumer industry, prefer a balance of the two. Overall, the goal across the majority of sectors is a more holistic approach, leveraging the capabilities of machine algorithms and human judgement to create better outcomes.
CEOs have acknowledged the potential power of data and analytics in increasing their competitive advantage and strides for growth. So why aren’t all companies in Canada adopting data analytics to help make their decisions? Reasons for non-adoption have been attributed to a lack of resources, budgetary restrictions, and a lack of courage among leadership. Read more about our findings in our Global Data and Analytics Survey 2016, Big Decisions.
The Women Presidents’ Organization would like to thank PricewaterhouseCoopers for providing this week’s sponsor blog content.