Data Management a Priority for APAC Data Leaders

Global data executives are continuing to invest in data management and cloud in 2023, according to a new report by Informatica. In its third year, the global CDO survey of chief data officers and chief analytics officers found that more than two in three data leaders (68%) are predicting an increase in data management investments in 2023.

This year, the study examined 600 in the United States, Europe, and Asia Pacific (APAC). In the APAC region, seven markets including Australia, China, India, Japan, Korea, Malaysia, and Singapore were surveyed.

Data management not optional

The figure of those who plan to increase their data management investment in the APAC is slightly lower at 64%, though still noteworthy given the uncertain macroeconomic environment ahead. As a region, 67% of those surveyed predict an increase in their cloud spending, with Singapore data leaders saying they plan to invest more than their regional counterparts in both data management capabilities and cloud.

However, data fragmentation and lack of cooperation across the business remain an issue, with more than half of APAC data leaders (56%) managing more than 1,000 data sources. These leaders say they are unable to scale data delivery when and where needed, comparatively higher than the 26% recorded in the U.S. and Europe regions.

Perhaps unsurprisingly, APAC data executives ranked data quality and master data management capabilities as highly sought-after data management capabilities to invest in this year.

“Asia Pacific and Japan data leaders continue to be at the forefront of global data leadership as our new study found that they are placing greater emphasis on adopting new technologies in the new year to drive their data strategy to improve business agility,” said Richard Scott, group vice president for Asia Pacific at Informatica.

“In today’s complex multi-cloud environment and ever-evolving market dynamics, customers will desire to invest in data management solutions that support and align to their overall organizational strategy, driving clear business outcomes from their IT investment to enable success in 2023 and beyond,” said Scott.

Key challenges and trends

Data leaders do face challenges, says the report. A substantial aspect of this comes from within: 29% cite a lack of support from leadership as the reason they can’t act on their data strategy. Data leaders are confident in getting the job done, though, with a vast majority (87%) saying they feel empowered to execute their current data strategy.

Control of the budget has an impact on the ability to execute the data strategy, with 83% of data leaders who fully control their data budget being more effective in achieving their data strategy goals. And more than 3 in 4 (76%) of those who reported being very or completely aligned on their data and business strategy also had complete control of their budget.

Perennial challenges such as data fragmentation and lack of cooperation across the business remain an issue. As data sources grow, many are responding by adding tools in an attempt to increase visibility, leading to an unsustainable and costly fragmentation of data capabilities across toolsets. Indeed, fully half of data leaders (50%) predict they will need five or more separate tools to support their data management priorities.

In 2023, data leaders are investing in capabilities that will promote better control, trust, utilization, and a unified understanding of their data. Data quality, data protection, and democratizing and sharing data via self-service data marketplaces (39%) are three top priorities.

Act today

From this study, it is evident that businesses need to operate at a faster pace than ever. Data leaders in the APAC region know that, and are looking to change and adapt quickly as data strategies evolve rapidly. They are exploring new trends such as data observability, applied AI, and turning to data mesh data – bringing strategies and tools together to achieve business priorities and measurable outcomes.

If there is one takeaway, it would be that businesses that plan to invest in strengthening their data capabilities might want to do so earlier rather than later. While the majority (73%) of those who are currently “very” or “completely” aligned on data strategy predict an increase in data management investments, just half (53%) of less-aligned peers say the same. This means that as technology evolves and strategies mature, a company that wants to keep up will need to act now – or risk falling behind.

Regardless of what 2023 might bring, savvy organizations must not shirk from making the necessary data-centric investments.

The study titled “CDO Insights 2023: How to empower data-led business resilience” can be accessed here (free registration).

Paul Mah is the editor of DSAITrends. A former system administrator, programmer, and IT lecturer, he enjoys writing both code and prose. You can reach him at [email protected].​
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