Date post: | 12-Apr-2017 |
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Data & Analytics |
Upload: | dez-blanchfield |
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© 2013, 2014, 2015 dez blanchfield - [email protected] - +61 414 464 356 - @dez_blanchfield
Putting Data On Your Balance Sheet
“..treat data as a perishable commodity..”
© 2013, 2014, 2015 dez blanchfield - [email protected] - +61 414 464 356 - @dez_blanchfield
BUSINESSES THATLEARN TO VALUE DATA GAIN SIGNIFICANTADVANTAGE OVERTHEIR COMPETITORS..
© 2013, 2014, 2015 dez blanchfield - [email protected] - +61 414 464 356 - @dez_blanchfield
• CIOs get Data but other board members may not understand it yet
• Data is rarely viewed as being part of a CEOs agenda
• Value of Data won’t be understood by CEOs until it’s monetized
• Data is often misunderstood by CFOs as a risk or cost
• Why? Because the value of Data is rarely expressed as a Asset
• Monetize Data by putting it on the balance sheet as an Asset
• Value you Data as an Asset and treat it as a perishable commodity
Why put your Data on the Balance Sheet
© 2013, 2014, 2015 dez blanchfield - [email protected] - +61 414 464 356 - @dez_blanchfield
• We’re all familiar with Physical Assets & Cash
• We’ve begrudgingly learned to manage Human Capital
• We’re still catching up with Intellectual Property
• Most of us of us have a handle on Customer Records
• Databases, Log-files, and Metadata are now on the radar
• But too few businesses value their Data as an Asset
• Yet we know information is valuable, and information is Data !!
Data is too often allowed to be a Lazy Asset
© 2013, 2014, 2015 dez blanchfield - [email protected] - +61 414 464 356 - @dez_blanchfield
• ROI estimations on the value in Data is not a trivial exercise
• Distinguishing cost of gathering & managing Data from cost of doing
business can be difficult
• Data does not have a physical presence & can have an infinite life
• Value of Data can quickly depreciate if is able to be readily outdated
• Some Data naturally depreciates in business value over time
• Other Data gains value by being put to unforeseen commercial use
Data is a difficult Asset to classify & value
© 2013, 2014, 2015 dez blanchfield - [email protected] - +61 414 464 356 - @dez_blanchfield
COMPANIES WITH ALMOST NO PHYSICAL ASSETS HAVE GAINED HIGH MARKET VALUE IN RECORD TIME BY VALUING DATA ASSETS..
© 2013, 2014, 2015 dez blanchfield - [email protected] - +61 414 464 356 - @dez_blanchfield
• Worlds largest taxi company owns no taxis ( Uber )
• Largest accommodation provider owns no real estate ( Airbnb )
• Largest phone company owns no telco infra ( WeChat )
• Worlds most valuable retailer has no inventory ( Alibaba )
• Most popular media owner creates no content ( Facebook )
• Fastest growing banks have no actual money ( SocietyOne )
• Worlds largest movie house owns no cinemas ( NetFlix )
• Largest software vendors don’t write the apps ( Apple & Google)
Digital Disruption Happened Through Data Value
© 2013, 2014, 2015 dez blanchfield - [email protected] - +61 414 464 356 - @dez_blanchfield
• Place value on Data immediately where it’s acquired or generated
• Data should be valued right down to the individual record
• Data value should be measured in real time where possible
• Once you quantify & value Data it becomes an Asset
• Once Data is an Asset it belongs on your Balance Sheet
• Appearance on a Balance Sheet legitimizes your Data value
• Every part of your business should have a Data strategy
Making Data A Business Asset Issue
© 2013, 2014, 2015 dez blanchfield - [email protected] - +61 414 464 356 - @dez_blanchfield
THANK YOU.Dez Blanchfield@dez_blanchfield
+61 414 464 356