Value in the Data
![james-rundle-waters james-rundle-waters](/sites/default/files/styles/landscape_750_463/public/import/IMG/283/261283/james-rundle-waters.jpg.webp?h=4a6b0616&itok=EjSrsvc6)
I was having a conversation with a senior executive at a tier-one bank not too long ago, and the subject of big data came up. They're at a transition point, he said, where they've done the groundwork, and now they're moving to a stage where they actually want to be gaining some monetary advantage from all of the insights now. The implicit idea being that, while this analysis was all very nice, and interesting, and it kept quite a few PhDs occupied, the bills were coming due soon so could it be hurried along a little?
It's one in a number of conversations I've had lately around development and that much-loathed word, innovation. It's easy to get carried away with the new technology, but there has to be some kind of commercial benefit at the end of the day. While Goldman Sachs might be happy to call itself a technology firm, the executive said that his bank was not, and that they were a business first and foremost.
Separately, I ended up talking to a Canadian chap over the weekend who works in IT infrastructure supply for the medical sector. I started trying to relate financial services to big data and he just cut me off with a laugh, saying that if finance thinks it has big data, it has no idea. Of course, not long after this, he started cheering on Samoa in the rugby (the game on the television was England versus Australia), so take that with a pinch of salt.
The point is that, focused on technology as we are, it's easy to lose sight of the bigger picture. In GS, technology is the largest division, in JPMorgan, tens of thousands of people are employed in tech-related roles. It's big, but it's not the business. Without the actual money related parts, there wouldn't be technology divisions to speak of.
But when it comes to deriving value from data, perhaps, a greater degree of clarity is required. Data is the lifeblood of an organization, the oil in the engine. What data do you want to analyze? What questions do you want to ask it? What results do you want to find? What do you want to do with those responses? And, critically, how will that be turned into actionable intelligence to more efficiently run the business?
These are all basic questions, but often won't be used as guiding principles for data work. And the vendors love that, so when you speak about value, be precise, or you'll struggle from the word go.
Only users who have a paid subscription or are part of a corporate subscription are able to print or copy content.
To access these options, along with all other subscription benefits, please contact info@waterstechnology.com or view our subscription options here: http://subscriptions.waterstechnology.com/subscribe
You are currently unable to print this content. Please contact info@waterstechnology.com to find out more.
You are currently unable to copy this content. Please contact info@waterstechnology.com to find out more.
Copyright Infopro Digital Limited. All rights reserved.
You may share this content using our article tools. Printing this content is for the sole use of the Authorised User (named subscriber), as outlined in our terms and conditions - https://www.infopro-insight.com/terms-conditions/insight-subscriptions/
If you would like to purchase additional rights please email info@waterstechnology.com
Copyright Infopro Digital Limited. All rights reserved.
You may share this content using our article tools. Copying this content is for the sole use of the Authorised User (named subscriber), as outlined in our terms and conditions - https://www.infopro-insight.com/terms-conditions/insight-subscriptions/
If you would like to purchase additional rights please email info@waterstechnology.com
More on Trading Tech
Waters Wrap: The changing definition and perception of blockchain
Anthony says that questions of definition and perception are helping kill DLT projects in the capital markets—oh, and a lack of proven implementations.
BlackRock to integrate Aladdin and Preqin to create new private markets platform
CEO Larry Fink calls combining the two platforms “maybe the biggest opportunity in 10 years.”
Ace high or busted flush? Digital Asset’s mixed fortunes mirror DLT adversity
The vendor hoped to remodel post-trade using blockchain technology—and it still might—but its bumpy progress raises questions over the future of DLT in finance.
This Week: BlackRock/Preqin, Trading Technologies, FIA Tech and more
A summary of some of the past week’s financial technology news.
Adaptive’s Aeron goes live on Microsoft Azure Marketplace
The messaging software used for building bespoke trading platforms is now available on Microsoft’s marketplace, making it accessible through major cloud providers.
Bloomberg, industry bodies push back on Cboe’s proposed OEMS rule change
Some industry bodies disagree with the options exchange’s proposal to carve its Silexx OEMS out of the SEC’s definition of an exchange facility and place it into a separate business line.
Waters Wrap: CME, Google and the pursuit of ultra-low-latency trading
CME Group and Google have announced Aurora, Illinois, as the location for the exchange’s new co-location facility. Anthony explains why this is more than just the next phase of the two companies’ originally announced project.
WatersTechnology latest edition
Check out our latest edition, plus more than 12 years of our best content.