Data-Driven Innovation: Big Data for Growth and Well-Being

“A new OECD report on data-driven innovation finds that countries could be getting much more out of data analytics in terms of economic and social gains if governments did more to encourage investment in “Big Data” and promote data sharing and reuse.

The migration of economic and social activities to the Internet and the advent of The Internet of Things – along with dramatically lower costs of data collection, storage and processing and rising computing power – means that data-analytics is increasingly driving innovation and is potentially an important new source of growth.

The report suggest countries act to seize these benefits, by training more and better data scientists, reducing barriers to cross-border data flows, and encouraging investment in business processes to incorporate data analytics.

Few companies outside of the ICT sector are changing internal procedures to take advantage of data. For example, data gathered by companies’ marketing departments is not always used by other departments to drive decisions and innovation. And in particular, small and medium-sized companies face barriers to the adoption of data-related technologies such as cloud computing, partly because they have difficulty implementing organisational change due to limited resources, including the shortage of skilled personnel.

At the same time, governments will need to anticipate and address the disruptive effects of big data on the economy and overall well-being, as issues as broad as privacy, jobs, intellectual property rights, competition and taxation will be impacted. Read the Policy Brief…