Benefits of Big Data

• As per Oxford English Dictionary, Big Data is “data of a very large

size, typically to the extent that its manipulation and management
present logistical challenges”.
• Big Data refers to technologies and initiatives that involve data that is
too diverse, fast-changing, or massive for conventional technologies,
skills, and infrastructure to address efficiently.
• But nowadays with the help of new technologies, it is very easy to
realize the value of Big data, for example, to identify shopping
behavioral trends of customers to improve stockage and pricing of the
items.
• Government processes also get benefits and banking institutions are
capturing data on customer interaction to model risk and fraud.
 What is Big Data?
• Big Data is a term that is concerned with the collection
of huge data associated with characteristics like large
variety, more velocity along with increased volume
simply known as 3 Vs. There are mainly three types of
Big Data – Structured data, Unstructured data, and
Semi-structured data.
• This voluminous structured, semi-structured, or
unstructured data is processed to gather useful insights
for subsequently making effective business decisions,
etc.
 Use of Big Data:
• Big Data is used for many things but some of the main usage
purposes are as follows:
• Bag Data enables you to gather information about customers and
their experience, then eventually helps you to align it properly.
• Helps in maintaining the predictive failures beforehand by
analyzing the problems and provides with their potential solutions.
• Big Data is also useful for companies to anticipate customer
demand, roll out new plans, test markets, etc.
• Big Data is very useful in assessing predictive failures by
analyzing various indicators such as unstructured data, error
messages, log entries, engine temperature, etc.
• Big Data is also very efficient in maintaining operational functions
along with anticipating future demands of the customers, current
market demands thus providing proper results.
 Benefits of Big Data in IT Sectors:
• Many old IT companies are fully dependent on big data in order to
modernize their outdated mainframes by identifying the root
causes of failures and issues in real-time and antiquated code
bases.
• Many organizations are replacing their traditional system with
open-source platforms like Hadoop.
• Most big data solutions are based on Hadoop, which allows designs
to scale up from a single machine to thousands of machines, each
offering local computation and storage, moreover, it is a “free”
open source platform, allowing minimizing capital investment for
an organization in acquiring new platforms.
• With the help of big data technologies IT companies are able to
process third-party data fast, which is often hard to understand at
once by having inherently high horsepower and parallelized
working of platforms.
 Benefits of Big Data in Business:
• Data quality has a direct impact on business process efficiency. In purchase to
pay process, poor quality vendor data can cause missing purchase contracts
or pricing information which can lead to delays in procuring vital goods.
• Many companies use big data solutions or algorithms to simply do what they
have already been doing, so that there is no data loss moreover if we run the
algorithm against the data set, the result might be the list of individual who
exhibits attributes of fraudulent behavior.
• In order to cash process, incomplete or inaccurate credit limits or pricing
information can lead to overall customer service loss or reduce revenue or
may increase service cost, with the help of big data technologies and the
ability to run various algorithms more quickly, the data can be updated at
regular intervals throughout the day.
• The systematic analysis of data or data profiling is used to assess the overall
health of the data which leads to proper business decisions in accordance with
the present situation because sometimes inaccurate data results in incorrect
management, which means business decisions are based on incorrect
information.
• For example, the more one can understand customers’ complex relationships,
preferences, and interaction history with the company, the more relevant and
timely business outreach.
 Benefits of Big Data
in Enterprise :
•Big data might allow a company to collect trillions or billions of real-time
data points on its products, resources, or customers- and then repackage
the data instantaneously to optimize the customer experience.
•The speed at which data is updated using big data technologies allows
enterprises to more quickly and accurately respond to customer
demands. For example, MetLife used MongoDB to quickly consolidate
customer information over 70 different sources and provide a single,
rapidly-updated view
•Big data can help enterprises to act more nimbly allowing them to
adapt to changes faster than their competitors.
 Benefits of Big Data in Other
Areas:
• Big Data technologies are used to predict the ‘buy’ and ‘sell’ decisions
made on the shares of different companies for the customers.
• Hospitals are analyzing medical data and records to predict those
patients that are likely to seek re-admission within a few months of
discharge. The hospital can avoid costly stays for patients in the hospital.
• Search-Engine retrieves lots of Data from different databases in a
fraction of a second using big data technologies.
• For example, Google uses the MapReduce algorithm to search for a given
query. MapReduce divides the task into small parts and assigns those
parts to many computers connected over the network, and collects the
result to form the final result.
 Benefits of Big Data in Other
Areas:
• Financial Services organizations are using big data for
data mining about customer interactions to slice and
dice their users into finely tuned segments, this will help
in creating increasingly relevant and sophisticated
offers.
• Insurance companies are using Big Data analysis to see
which home insurance applications can be immediately
processed, and which ones need a validating in-person
visit from an agent.
• Web-based businesses are developing information
products that combine data gathered from customers to
offer more appealing recommendations and more
successful coupon programs.
 Practical uses of big data across
industries
• Big data in healthcare
• When it comes to big data in healthcare, it plays a crucial role in improving patient care, optimising resource
allocation, and enhancing medical research.
• By analysing patient data, healthcare providers can identify patterns and correlations, enabling more
accurate diagnoses and personalised treatment plans.
• Additionally, big data analytics can help identify high-risk patients, monitor disease outbreaks, and improve
healthcare delivery.
• Big data in retail
• For retailers, big data provides valuable insights into consumer behaviour and preferences.
• By analysing customer data, retailers can optimise inventory management, target specific customer
segments, and personalise the shopping experience.
• Big data analytics can also enable dynamic pricing strategies, improve supply chain efficiency, and facilitate
demand forecasting.
• Big data in finance
• The finance industry heavily relies on big data analytics to assess risk, detect fraudulent transactions, and
optimise investment strategies.
• By analysing vast amounts of financial data, banks and financial institutions can identify patterns that
indicate potential fraud or money laundering activities.
• Big data in finance enables more accurate credit scoring, enhances fraud detection, and improves investment
decision-making.
 Classification of Data
• Data Classification :
• Process of classifying data in relevant categories so that
it can be used or applied more efficiently.
• The classification of data makes it easy for the user to
retrieve it.
• Data classification holds its importance when comes to
data security and compliance and also to meet different
types of business or personal objective.
• It is also of major requirement, as data must be easily
retrievable within a specific period of time.
 Types of Data Classification :
• Data can be broadly classified into 3 types.
• 1. Structured Data :
• Structured data is created using a fixed schema and is maintained
in tabular format.
• The elements in structured data are addressable for effective
analysis. It contains all the data which can be stored in the
SQL database in a tabular format.
• Today, most of the data is developed and processed in the simplest
way to manage information.
• Examples –
• Relational data, Geo-location, credit card numbers, addresses, etc.
• Consider an example for Relational Data like you have to maintain
a record of students for a university like the name of the student,
ID of a student, address, and Email of the student. To store the
record of students used the following relational schema and table
for the same.
 Types of Data Classification :
• 2. Unstructured Data :
• It is defined as the data in which is not follow a pre-defined standard or you can
say that any does not follow any organized format.
• This kind of data is also not fit for the relational database because in the
relational database you will see a pre-defined manner or you can say organized
way of data.
• Unstructured data is also very important for the big data domain and To
manage and store Unstructured data there are many platforms to handle it like
No-SQL Database.
• Examples –
• Word, PDF, text, media logs, etc.
• 3. Semi-Structured Data :
• Semi-structured data is information that does not reside in a relational
database but that have some organizational properties that make it easier to
analyze. With some process, you can store them in a relational database but is
very hard for some kind of semi-structured data, but semi-structured exist to
ease space.
• Example –
• XML data.
Difference between Traditional data and Big data

• 1. Traditional data: Traditional data is the structured data that is

being majorly maintained by all types of businesses starting from very
small to big organizations.
• In a traditional database system, a centralized database architecture
used to store and maintain the data in a fixed format or fields in a file.
• For managing and accessing the data
Structured Query Language (SQL) is used.
• Traditional data is characterized by its high level of organization and
structure, which makes it easy to store, manage, and analyze.
• Traditional data analysis techniques involve using statistical methods
and visualizations to identify patterns and trends in the data.
• Traditional data is often collected and managed by enterprise resource
planning (ERP) systems and other enterprise-level applications.
• This data is critical for businesses to make informed decisions and
drive performance improvements.
Difference between Traditional data and Big data
• 2. Big data: We can consider big data an upper version of traditional data. Big
data deal with too large or complex data sets which is difficult to manage in
traditional data-processing application software. It deals with large volume of
both structured, semi structured and unstructured data. Volume, Velocity and
Variety, Veracity and Value refer to the 5’V characteristics of big data.
• Big data not only refers to large amount of data it refers to extracting
meaningful data by analyzing the huge amount of complex data sets. semi-
structured
• Big data is characterized by the three Vs: volume, velocity, and variety. Volume
refers to the vast amount of data that is generated and collected;
• velocity refers to the speed at which data is generated and must be processed;
and
• variety refers to the many different types and formats of data that must be
analyzed, including structured, semi-structured, and unstructured data.
• Due to the size and complexity of big data sets, traditional data management
tools and techniques are often inadequate for processing and analyzing the
data.
• Big data technologies, such as Hadoop, Spark, and NoSQL databases, have
emerged to help organizations store, manage, and analyze large volumes of
data.
The main differences between traditional data and big data as follows:

• Volume: Traditional data typically refers to small to medium-sized datasets that

can be easily stored and analyzed using traditional data processing
technologies.
• In contrast, big data refers to extremely large datasets that cannot be easily
managed or processed using traditional technologies.
• Variety: Traditional data is typically structured, meaning it is organized in a
predefined manner such as tables, columns, and rows.
• Big data, on the other hand, can be structured, unstructured, or semi-
structured, meaning it may contain text, images, videos, or other types of data.
• Velocity: Traditional data is usually static and updated on a periodic basis. In
contrast, big data is constantly changing and updated in real-time or near real-
time.
• Complexity: Traditional data is relatively simple to manage and analyze.
• Big data, on the other hand, is complex and requires specialized tools and
techniques to manage, process, and analyze.
• Value: Traditional data typically has a lower potential value than big data
because it is limited in scope and size.
• Big data, on the other hand, can provide valuable insights into customer
behavior, market trends, and other business-critical information.
 Traditional Data Big Data

Traditional data is generated in enterprise level. Big data is generated outside the enterprise level.

Its volume ranges from Gigabytes to Terabytes. Its volume ranges from Petabytes to Zettabytes or Exabytes.

Traditional database system deals with structured data. Big data system deals with structured, semi-structured,database, and unstructured data.

Traditional data is generated per hour or per day or more. But big data is generated more frequently mainly per seconds.

Traditional data source is centralized and it is managed in centralized form. Big data source is distributed and it is managed in distributed form.

Data integration is very easy. Data integration is very difficult.

Normal system configuration is capable to process traditional data. High system configuration is required to process big data.

The size of the data is very small. The size is more than the traditional data size.

Special kind of data base tools are required to perform any databaseschema-based
Traditional data base tools are required to perform any data base operation.
operation.

Normal functions can manipulate data. Special kind of functions can manipulate data.

Its data model is strict schema based and it is static. Its data model is a flat schema based and it is dynamic.

Traditional data is stable and inter relationship. Big data is not stable and unknown relationship.

Traditional data is in manageable volume. Big data is in huge volume which becomes unmanageable.

It is easy to manage and manipulate the data. It is difficult to manage and manipulate the data.

Its data sources includes ERP transaction data, CRM transaction data, financial data,
Its data sources includes social media, device data, sensor data, video, images, audio etc.
organizational data, web transaction data etc.