Big Data means 20x reduction in TCO

Big Data means 20x reduction in TCO

Total cost of ownership (TCO) is a financial estimate whose purpose is to help consumers and enterprise managers determine direct and indirect costs of a product or system. It is a management accounting concept that can be used in full cost accounting or even ecological economics where it includes social costs.

On the business value side of the equation, the principles relate directly to a philosophy that there is actually a ‘Return on Data’ (ROD) value that can be calculated. This can best be described as how well an organization can:

  • Understand the assets that it has, find them and quantify their impact.
  • Reduce the cost of and time it takes to retrieve information of value.
  • Feed business users with relevant information to solve problems dynamically.
  • Proactively identify patterns and trends that help make better decisions.

Organizations need to move past talking about Big Data and getting ‘active’ about managing it. We believe strongly that there is a strategy to turn Big Data into Big Business quickly and cost-effectively.

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