Big Data

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Apartfrom the benefits of big data on human resource, product development,operations, and marketing, big data has given the management theability to make real-time decisions. Faster decision making iscritical for business because at can affect the profit margin andcompetitiveness of an organization. With the rise in Internet usage,a lot of data is generated that is useful to an organization only ifit can be stored and analyzed. The process of analyzing the data mustalso be in real-time so as to make a company more agile than theircompetitors. In an airline, every minute matter because it affectsthe cost of service delivery as well as the customer experience. Timelost during the waiting of a plane translates to an increasedoperation cost.

Inone of the U.S. airline, a study performed found that 10 percent ofthe flights had a delay time of about 10 minutes while 30 percent ofthe flights had about 5 minutes gap between their estimated arrivaltime and the actual arrival time (McAfee et al., 2012). Afterdetecting this challenge, the airline consulted one the companiescapable of offering big data services known as the PASSUR Aerospace.Decision support technologies were provided by the carrier so thatthey could correctly estimate the flight`s arrival time and makeinformed decisions. A wide range of information is collected afterevery 4.6 seconds yielding a flood of digital data. Sophisticatedanalysis coupled with pattern matching allows the company to obtainreal-time information about the flights. Such a system can save theairline several million a year. Thus, big data enables betterprediction and yields better decisions that are likely to profit anybusiness. The case is similar to the one provided because it improvesthe organization’s ability to make an informed decision in all thedepartments.


McAfee,A., Brynjolfsson, E., Davenport, T. H., Patil, D. J., &amp Barton,D. (2012). Big data. Themanagement revolution. Harvard Bus Rev,90(10),61-67.