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4 Ways in which Small Data is better than Big Data

Blog: BPMWatch

Data analytics is vital for all kinds of business. But often business organisations are confused about what type of data to mine – Big Data or Small Data. While Big Data has emerged as the key word for business organisations, it is not wise to consider small data to be less insignificant. In fact, small data might have an edge over Big Data in a number of ways.

Here are 4 ways in which small data is better than Big Data:

1. Small data is specific and targeted

Big Data is concerned with huge volume of data that is impersonal in nature. Small data deals with specific and targeted data that is personal in nature. For instance, in an organisation, Big Data is useful for determining the overall sales results. Small data can be used to improve the factors that lead to increased sales performance and results.

The core of the matter lies in identifying the key performance indicators (KPIs) that can be effective for tracking individual statistics. The KPIs help to discover a whole range of sales insight that can be further broken down to the individual level. This data can be valuable for sales managers in eliminating guesswork, knowing what is exactly working and what not, and influencing the sales team to perform for better results.

2. Small data is actionable data

Big Data provides information on a huge scale. It is really not easy to deal with all the information that Big Data provides. This information is presented in the form of countless reports in an organisation. But if there is no specific plan about what to do with all these information, the data will not be of much help. It will not translate into positive results for the company.

In case of small data, the small chunks of information can be used for immediate action. They can be utilized for introducing or implementing swift changes in the organisation or the team.

3. Small data is customized

Today data is easily available from multiple sources. This is causing the volume of data collected to increase at a rapid rate. This high volume of data has to be utilised properly in order to reach the goals set by an organisation. Else it will result in more confusion than offering help. This is the case with Big Data. As it is mainly concerned with capturing as much data as possible from across an organization, it lands up collecting a huge volume of general data.

On the other hand, small data is used to generate specific information based on a specific need of the organisation. For instance, it may generate information that focuses on one’s job role. This approach to derive customized information through small data makes it more valuable than Big Data in some cases.

4. Small data provides insight in real time

Small data provides real time information that is helpful for determining statistics and trends. Real time information helps to take immediate action. Organisations can change or adjust strategies in real time. This enhances the chances of leveraging the data for better results. Thus, small data helps to arrive at a better decision based on the current performance and trends.

But this is not the case with Big Data. The information provided by Big Data is based on past performance. This diminishes the chance of real time changes or adjustments using Big Data.

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