Many chief information officers (CIOs) are set to invest in Hadoop technologies as a centralRead More
Hadoop ‘high on the CIO agenda’ for 2015
Many chief information officers (CIOs) are set to invest in Hadoop technologies as a central part of their analytics investments in 2015, according to new research from Deutsche Bank.
The company found many executives are shaking off early reticence towards the solutions, the Wall Street Journal (WSJ) reports, with 12 of the 26 CIOs interviewed by the bank suggesting Hadoop will figure into their plans for this year – either as proof-of-concept trials or full production.
For instance, one IT executive at a global telecommunications provider told Deutsche Bank said he was developing a new business intelligence system that would leverage Hadoop "as much as possible", while the CIO of a major retailer explained how he is testing Hadoop for analysing data throughout the firm's supply chain and security systems.
"CIOs are now broadly comfortable with the technology and see it as a significant part of the future data architecture," Deutsche Bank said in its report, adding it expects to see significant financial commitments to the technology throughout the 2015 fiscal year.
Companies that have confirmed increases in their Hadoop investments include utilities provider Crius Energy, which is aiming to use the technology to assist with customer retention in what is currently an extremely volatile market, with swift changes in the price of oil and gas.
Vice-president of IT at the firm Pradeep Tiwari told the WSJ's CIO Journal his company intended to adopt Hadoop to compare competitors' prices. This will help the energy provider offer customers discounts or loyalty rewards before they jump to a rival. He expects to have a proof-of-concept running within the next four months.
He added that so far, CIOs have taken a cautious approach to Hadoop because of a lack of qualified programmers with expertise in the technology – while training these professionals is also tough. But the results can often be worth the effort – and as more companies help their programmers gain Hadoop knowledge, this skills gap will close.
"[Hadoop is] not simple, but it is cost-effective and can handle a lot of data," Mr Tiwari said.