Big Data Drives Need for Big Integration
The big data phenomenon is no longer isolated to a few select industries. This movement has far reaching implications, with significant impacts on all operational fronts within every industry.
Data is growing faster than ever. By the year 2020, it is predicted that for every human being on the planet, roughly 1.7 megabytes of new information will be created per second. To put this into context, assuming an average email is 100 kilobytes, and there are 7.4 billion people on earth at that time, this would equate to 125.8 billion emails sent per second.
For tax teams, the implosion of data is both an opportunity and a challenge. On one hand more tax data, if analyzed properly, can result in more opportunities, such as reduced audit risk or increased tax cash. On the other hand, more tax data requires more resources to manage it.
One of the most difficult challenges associated with the big data phenomena is getting clean, real-time, and historical tax data. With many disparate data sources outside of ERP systems, such as accounting software, spreadsheets, and third-party government regulation and tax rate data, this becomes an even higher priority. In addition, tax law and regulatory changes drive significant, ongoing changes to customer data, and raises the question, is it accurate?
Data and systems are always changing, forcing business drivers to change. It’s not uncommon for companies to acquire, divest, and reorganize businesses, forcing the scope of the business to evolve. Therefore, project teams need to be ready to make iterations and tweaks to data integration projects to ensure they are aligned with the changing needs of the business. Understanding what leadership deems important and having its support is critical to the success of an integration project. Being able to explain how it supports agreed-upon corporate goals goes a long way toward solidifying resources required to implement integration projects.