New Insights from Info-Tech: Overcoming Barriers to AI Investment Through Effective Data Operating Models

Why Organizations Struggle with AI Investments



The rapid acceleration of AI adoption and analytics capabilities has been observed across organizations globally. Despite the enthusiasm and investment, many organizations encounter significant obstacles in executing their data strategies. These challenges primarily stem from unclear operating models, siloed decision-making frameworks, and an overreliance on generalized maturity frameworks. Without addressing these foundational issues, organizations risk undermining the potential benefits of AI initiatives.

The Blueprint for Success



According to the insights recently published by Info-Tech Research Group, poorly designed data operating models stand as one of the most substantial barriers to delivering business value. The firm's new guideline, Establish the Target Operating Model Needed to Execute Your Data Strategy, aims to assist data and IT leaders in designing operational frameworks that align stakeholders, balance competing priorities, and create scalable models to empower AI and data-driven decision-making.

Nysa Zaran, a research director at Info-Tech, points out that leaders frequently shift from strategy to execution without adequately addressing critical decisions regarding capability ownership, governance, and collaboration. When operating models remain undefined or misaligned, organizations face challenges such as inconsistent data quality, stalled initiatives, and increasing costs.

Core Elements for Effective Operating Models



The firm's findings highlight that success in data strategies is contingent upon balancing three critical dynamics across the entire data ecosystem:
  • - Proximity to the Problem Space: Leaders need to be close to the data problems their organizations are facing for effective resolutions.
  • - Control Over Meaning and Access: Clear delineation of decision rights and data ownership is vital to prevent ambiguity and misalignment.
  • - Cost-Appropriate Scalability: Organizations must evaluate their scaling strategies to ensure they align with business objectives and resource capabilities.


Topics Business Technology)

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