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Importance of Data Science

25/01/2023

Importance of Data Science

 

Today large volumes of data are being generated every second from sources such as eCommerce, Social Media, IoT (Internet of Things), surveys, smartphones, and others. This trend is expected to accelerate in the future. Data may be structured, semi-structured, or unstructured. Examples include text, images, audio, video, and more.  The volume of data is too much for humans to handle. Data Science is the technology that processes raw data into information offering business insights. Today there is a huge demand for data science professionals. They are offered handsome salaries because of the complexity of their job as well as the shortage of professionals with the needed experience as well as expertise. Data Science professionals include Data Scientists, Data Architects, Data Engineers, Data Administrators, and others. 

 

The concept and idea of Data Science were first heard of in 1960 by Peter Naur. Just having data is not enough. It can be understood only by machines and not humans. Thanks to Data Science raw data is converted to a format that humans can understand. Various domains such as Statistics, Machine Learning, Computer Science, Predictive Analysis, and others are involved in the technology of Data Science. Data Science can be used in virtually any field. Examples include manufacturing, finance, banking, healthcare, education, logistics, travel, transportation, and more. Tools and technologies from different disciplines are applied in the implementation of Data Science.

 

Knowledge of Mathematics and Statistics is important to implement Data Science in any organization. The activities of data science professionals are to create algorithms to understand and analyze complex as well as large volumes of data. Complex data are presented in a compact and easy-to-understand format. For your information, this technology belongs to the field of Big Data. Data Scientists present useful and valuable data insights to people in a simple as well as effective manner. Artificial Intelligence, Information technology, data mining, and software development are some of the elements of Data Science. Note that proper utilization of data can determine the success or failure of any organization. This is where data science has a major and indispensable role to play.

 

Benefits of Leveraging Data Science

 

  • Ability to Forecast Market Trends in the Future

By examining purchase data, search engine queries as well as major influencers can help find out the products and/or services folk want. Being up-to-date with the actions of the target market, enterprises can implement business decisions to be ahead of the existing competitors.

 

  • Improve Efficiency of Manufacturing

Employing data science enables manufacturing firms to find out major as well as minor inefficiencies in their respective manufacturing processes. The machines used in manufacturing obtain a large amount of data in the product lifecycle. The data thus collected may be too much for manual human analysis. In such a scenario, algorithms can be developed to clean, organize as well as interpret the data in a short span of time and precisely to obtain insights. The result is that manufacturing companies can manufacture more volume of items at a lesser cost. Benefits include increased market share and enhanced sales ramping up revenues as well as profits.

 

  • Help the Finance Department

Data Science aids internal finance teams to make reports, delivering accurate forecasts as well as analyzing financial trends. The assets, debts, and flow of money within an organization can be tracked by which financial experts can identify trends whether there is growth or decrease in terms of finances. Risk management can be carried out to compute the viability of business decisions. Data Science used in the finance domain of any enterprise provides useful insights and helps make wise business decisions. 

 

  • Significantly Boost Existing Levels of Security

Data Science is effective in implementing the privacy and security of any organization’s data. Many financial institutions implement sophisticated machine-learning algorithms to identify fraud. The latter is implemented by examining deviations from any individual’s usual financial activities. The algorithms identify fraud in lesser time and with superior precision compared to human workers as they leverage much larger amounts of data. Customers’ private data such as social security numbers, credit card details, contact information, health status, and others are protected.  Using Data Science as well as human skills organizations are able to achieve higher levels of privacy and security. People will have greater faith and trust in companies leveraging Data Science. The outcome is loyal customers and an increasing number of customers in the future. Privacy and security of their confidential data are paramount to customers.

 

  • Better Insights Regarding Existing and Future Customers

By examining customer-specific data, firms get to know about their needs, preferences, purchasing and browsing behavior, demographic information, and much more. Data Science helps in comprehending your target audience, what motivates your clients, and their purchasing habits. You can tweak your products and/or services to address changing and evolving customer needs and preferences. Data about other products and/or services in the market can help make suitable changes to your offerings to make them better than the competition. Data insights thanks to Data Science can help you offer superior user experience, and personalized offerings and implement superior sales as well as marketing campaigns.

 

  • Minimize Risks

Data Science helps enterprises anticipate and prevent possible cyber-attacks. It is extremely useful to protect against fraud. Incidents of fraud or business downtime can adversely affect a business’s reputation and financial standing. It is imperative to leverage the talent of data science specialists to avert such scenarios or reduce their impact on your business. Incorrect data or missing data may be overlooked by human employees. Data Science algorithms can detect problems/issues in existing data. The former is useful to prevent compromising business performance.

 

  • Improve Advertising Efforts and Results

Data Science is superior to human efforts for designing and implementing effective and efficient advertising campaigns. As you may already know without advertising customers may not be aware of the existence of your company as well as your products and/or services. Advertising results in brand visibility and opportunities to make a sales pitch. Data Science analyses large volumes of data quickly and accurately to find out what drives customers purchasing decisions. The former can also identify which customer segments are likely to make more purchases and what they are looking for in a particular product or service. Advertising can be done via many channels such as social media, print, email marketing, and others. Data Science can skillfully analyze available data to determine the most profitable and potent advertising platform/channel.

 

Other Data Science Benefits

 

Airline companies come to know when to schedule their flights to ensure maximum occupancy and the shortest routes. They come to know when demand is high for flights and when are idle times. Accordingly, they can schedule flights. Shipping companies use Data Science to shorten delivery times and decrease shipping costs. Energy companies gain insight into when energy consumption is high and when it is low. They can arrange for backups during periods of high use. The companies can shut down unused units during low consumption periods. The major entertainment company namely Netflix leverages Data Science to identify the viewer’s preferences in terms of movies and/or TV shows. As such it is able to offer personalized recommendations for each user’s entertainment. In the healthcare domain, implementing data science algorithms helps in drug discovery and in diagnosing diseases as well as disorders.  They make the job of healthcare providers and researchers easier and more convenient. The result is improved and customized healthcare.  Inventory management is made more efficient thanks to data science. The inventory company comes to know when there is more inventory arriving and when the storage space is lying unused. Accordingly, it can take steps to optimize inventory management. The Weather department uses massive volumes of data. Humans find it overwhelming or even impossible to analyze the data both due to its size and complexity. Data Science technology can analyze the available data to make quicker and more accurate weather forecasts. Thus, natural disasters can be predicted earlier and their adverse impact mitigated. 

 

Conclusion

 

If you are still using human employees and manual methods to process data then it is the right time to adopt data science technology. It will definitely save you time, money, and effort both in the short term and long term. Remember that your competitors may already be implementing data science in their operations. Using data science will make you competitive and improve business performance as well as other critical parameters. If you have employees skilled in data science start using their skills. Otherwise, outsource the task to an outsourcing firm. Conduct background checks to ensure that the firm’s data science skills are sound as well as up-to-date. Have patience because introducing data science in your day-to-day operations may take some time. Keep in mind that the wait is worth it because current data science technology offers a host of major benefits. 

 

About Us

Focaloid is a stellar software development products and services company catering to clients in the US & UK. We have the necessary expertise and experience in Data Science. For your information, Focaloid has a team of talented and seasoned professionals with extensive expertise in Data Science. Over time we have established a mature outsourcing model which is productive, efficient as well as effective. You can safely rely on us to deliver outstanding software solutions and services within stipulated deadlines. Contact us at the earliest to know how we can help you. We are committed to superior client satisfaction and mutual growth.

 

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