| | JULY 201919E ERGYTech ReviewAs Rockefeller's main source of wealth was oil, the 21st century magnates are focused on a completely different type of resource--data. In 2006, oil and energy companies dominated the list of top six most valuable firms in the world, but in 2017, the list is dominated by data firms like Alphabet, Amazon, Apple, Facebook, and Microsoft. The amount of data in the world is projected to be at 44 zettabytes, that's 21 zeros, by 2020. Businesses collect data on consumer preferences, behavior, consumption patterns, and it's easy to collect! People readily provide intimate details and do not think twice about it. Think about how easy and enticing it is to like social media posts, pictures, ads; follow your favorite celebrity or brand on Facebook or Instagram; stream your favorite shows and music on Amazon. While behind the scenes, each "like", share, post, stream is collected and stored away in a digital profile that defines you as a consumer. While your company may not be in the social media or retail space, there is still an opportunity to capitalize on the data resources currently at your disposal or to capture new data and expand your existing resource pool. We see the power behind data when we read stories about Target's success with predicting consumer pregnancy and improving target marketing ROI. As CIOs, we are responsible for helping our organizations understand the possibilities with data and for utilizing data to improve value proposition. In the same way that crude oil becomes more valuable when it is transformed into gasoline, data must be refined and transformed into useful information. We can't be effective at increasing shareholder wealth without identifying and tracking the right metrics.Identify Winning MetricsKey Performance Indicators are metrics that companies use often to measure, manage, and communicate results. There are two types of KPIs: Leading Indicators and Lagging Indicators. Many organizations will focus on revenue, profit, and growth as key measures of success; all lagging indicators that tell a story about what has happened. While these are important metrics, Data as a Business ResourceBy Jamie Adams, CIO, MsparkCIO INSIGHTS
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