Demand for data is growing, but so are data supply chain challenges

Data suppliers are unable to efficiently deliver relevant data to a growing number of data consumers, according to a 451 Research survey.

55% of those surveyed report that data is often stale or out-of-date by the time it is consumed or analyzed. Lack of automation and data security challenges are root causes of the friction, and unless resolved, organizations will struggle to be successful with DataOps and cloud migration.

The report also finds privacy, security, and governance challenges to be particularly troublesome, with 84% of respondents reporting that data privacy and security requirements will limit access to data at their organizations over the next 24 months.

“The findings show that as data workflows and processes have become more complex over time – and as organizational demand for data grows – there are clear points of friction in the data supply chain,” said Paige Bartley, Senior Analyst, 451 Research.

“Chief among them is data suppliers that have limited resources, skills shortages, and little automation being tasked with trying to deliver a steady stream of relevant data to a growing number of data consumers.”

Data supply chain challenges

To better understand the friction in the data supply chain, the survey asked about specific pain points that data suppliers and data consumers face, finding that:

• 55% of all respondents either “somewhat” or “completely” agree that data is often stale or out-of-date by the time it is consumed or analyzed.
• 84% of respondents believe data privacy and security requirements will limit access to data at their organizations over the next 24 months.
• Among data suppliers, 38% report “lack of personnel or skills” and 29% report “not enough automation available” as top pain points.
• 90% of organizations report not having an “optimized” DataOps strategy. While 85% say that their strategy is accelerated, emerging, or nascent, few believe they have achieved DataOps maturity.
• For respondents from organizations slower to adopt cloud-based technologies, the top three reported barriers to adoption have to do with security (43%), compliance (40%), and data privacy (35%).

Notably, the report finds that regulation is actually a driver for improvement: organizations subject to data privacy and protection regulations, such as GDPR, are more likely to report having a cloud-first strategy, face fewer challenges with data access and use, are more likely to have a dedicated data engineering team, and more frequently provide self-service analytics programs.

“The disconnect between data suppliers and consumers highlights the pressing challenge for businesses and the public sector to improve speed and access to data,” said Matt Carroll, CEO of Immuta. “The findings make it clear that insights and business value cannot be quickly and easily generated from data unless it can be shared, modeled, and analyzed in a frictionless manner.”

The survey results underscore the growing need for organizations to develop a DataOps strategy that focuses on security and automation to unlock the full potential of data. For organizations looking to address data supply chain challenges, the report recommends improvements across the gamut of people, processes, and technology.

“This report validates what our customers have experienced,” added Carroll. “The good news is, by understanding these pain points, organizations can address them and move forward to maximize the value of their data. Investing in automation and scalability removes hurdles to cloud adoption and opens the door for more efficient data access and use to improve business outcomes.”