With big business becoming ever more competitive in this day and age, the ability to think outside the box to arrive at conclusions rival companies might not consider has become more important than ever. Previously, enterprises have always relied on executives with ability to instinctively come up with creative solutions when faced with dilemmas, but we’re fast reaching a point where this may not be enough.

We’ll probably never be able to replace human intuition completely, but as more enterprises come to realize the power of Big Data to drive their decision making processes, it could well be forced to take a backseat, according to Dr. Chongqi Wu, Assistant professor of management for the College of Business & Economics at California State University, in an interview with Smart Business Network Online. The value of Big Data lies not only in its ability to facilitate faster operations, but also as a fall back option for when things go wrong.

Big Data Guides Decision-Making

Early adopters of Big Data have found that by implementing advanced data analysis systems they’re able to capture and leverage information that gives them distinct advantages over rival companies that don’t have the same capability. As such, business intelligence software is set to become a vital component in enterprises’ decision making procedures.

Companies can derive unique benefits from Big Data-driven conclusions. While accuracy is the most commonly-cited advantage, equally important is the use of Big Data in hindsight to make adjustments or correct problems midway through an operation. According to Dr. Wu, Big Data can help company executives in cases when their intuition proves to be wrong, allowing them to avoid making further impulsive choices that could only make matters worse.

For Dr. Wu, the most effective use of Big Data lies in operational procedures. While there are many other potential uses, there is much less risk involved with operational processes that can easily be automated using Big Data. Strategic decisions however, will remain largely intuitive as Big Data can never replace the need for human rationalization in these kinds of situations. Even so, Big Data can help to guide these decisions by helping decisions makers to better predict the odds of success.