UAE firms face AI-driven data management hurdles

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Professor Misiek Piskorski, Dean at IMD, highlights digital strategy and innovation at the UAE pavilion in Davos. (WAM/Representational image)
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  • In a rapidly evolving digital landscape, 91% UAE business leaders are facing critical challenges in aligning data strategies with their business goals, says a latest report.
  • Only 44% of UAE businesses are confident in their data's accuracy, leading to increased investment in data training and governance to address these concerns, it adds.

DUBAI — In an era where data is hailed as the new currency, businesses worldwide are navigating the complex landscape of achieving success through analytics.

Today’s businesses face a myriad of challenges, ranging from market uncertainties to dynamic consumer behaviors. Analytics emerges as a guiding force in navigating these challenges, offering insights that enable proactive decision-making.

By leveraging data-driven analytics, companies can predict trends, optimize resource allocation, and enhance overall performance. Whether it’s forecasting demand, streamlining operations, or personalizing customer experiences, analytics serves as a compass that steers businesses toward success in an ever-changing environment.

In the UAE, a key player in the global business arena, this journey presents both opportunities and challenges.

Salesforce released a report revealing a significant concern among UAE business leaders regarding their ability to align data strategies with business priorities. An overwhelming 91 percent of analytics and IT leaders struggle to match data strategies with business goals. This challenge is compounded by rapid advancements in AI, with 87 percent of UAE business leaders expressing concerns about missing out on AI’s benefits.

The ‘State of Data and Analytics Report’ includes key trends from over 10,000 analytics, IT, and business leaders across 18 countries, including the UAE.

AI Advancements and the Demand for Trusted Data

As AI advances, there is an increased demand for trusted and secure data. Generative AI, in particular, is gaining momentum, prompting companies to harness its iterations. This puts pressure on data management teams to ensure high-quality data. A striking 94 percent of UAE analytics and IT leaders acknowledge that AI advancements make data management a top priority.

Data Accuracy and Quality: A Winding Path

The full potential of data heavily relies on its accuracy and quality. However, the report highlights a concerning statistic – only 44 percent of UAE business leaders are confident in their data’s accuracy. The primary hurdle identified by business leaders is the lack of data training. Analytics and IT leaders, conversely, point to the difficulty in ensuring data accuracy and quality as their foremost data challenge.

UAE analytics and IT leaders are leveraging data culture and governance to overcome these challenges. The report indicates that 87 percent of these leaders use data governance to ensure and certify baseline data quality. Additionally, 81 percent plan to invest more in data training to strengthen internal data culture in the coming year.

Wendy Batchelder, Chief Data Officer at Salesforce, emphasizes the pivotal role of data management in the AI revolution. She notes, “The AI revolution is a data revolution, and a company’s AI strategy is only as strong as its data strategy, with trust at its core.”

Professor Misiek Piskorski, Dean at IMD, highlights digital strategy and innovation at the UAE pavilion in Davos. (WAM/Representational image)

Batchelder highlights the importance of strategic use of data governance and investment in a robust data culture for the successful implementation of generative AI.

Thierry Nicault, Salesforce’s Area Vice President and General Manager for the Middle East, acknowledges the eagerness of UAE business leaders to maximize AI potential. He views their concerns positively, indicating an awareness of the necessity for quality data in powering AI systems. Nicault expresses Salesforce’s commitment to working with customers to harness the correct data, enabling them to fully leverage AI for more innovative and efficient operations.

As the UAE grapples with the challenges outlined in the State of Data and Analytics report, the road ahead requires strategic investments in data governance, training, and cultivating a robust data culture.

Businesses must recognize the symbiotic relationship between data and AI, understanding that the strength of their AI strategies is intrinsically tied to the quality of their data strategies.

In pursuing digital transformation, the UAE business landscape stands at a critical juncture, where mastering the art of data management will be vital to unlocking the full potential of AI and driving business priorities with unparalleled precision.

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