Cloud1 Blog

Data Projects 2025: Rocket Fuel for an AI-Driven Future

Written by Harri Puupponen | Oct 2, 2024 6:00:00 AM

The development in the data field has been explosive. Historically, the biggest challenges for organizations have been siloing and management as well as data quality and governance. These factors have hindered the full utilization of organizations' data assets. In recent years, cloud data platforms have established themselves as the central repository and refinery for organizational data, laying the foundation for the next major step: the integration of AI with high-quality, validated data within the organization.

The goal of data initiatives in 2025 remains centered around data consolidation and management. However, the increasing pressure to accelerate processes and enhance cost-efficiency poses significant challenges for various data projects. Architectural concepts such as data mesh, data governance, data lakes, and data virtualization have historically been abstract or theoretical for many. With the introduction of Microsoft Fabric, these concepts have become everyday tools for building an organization’s data management infrastructure—provided they are used with the right expertise.

The New Face of Data Work

A modern data platform must provide high-quality, well-structured data for reporting, applications, and AI. The creators of these platforms need a deeper understanding of data structure, history, and reliability—simply moving data from one place to another no longer adds the necessary value.

While the idea of a perfectly centralized data dream is appealing, very few organizations can achieve it. Data platforms and silos often emerge organically, and combining them as needed remains a core challenge for data professionals. The real value lies in virtualized data platforms: solutions like Microsoft Fabric’s OneLake allow for managing even distributed data through a unified interface.

The role of data professionals is expanding, requiring not only an understanding of new technologies but also a stronger grasp of business needs. Traditional skills like SQL remain essential, but increasing demands for productivity are driving the adoption of new tools. In the coming years, we can expect to see the rise of Copilot solutions in data work and AI-driven design for data models.

Aiming for Enterprise AI and Hyperautomation

Over the next five years, we will witness AI becoming increasingly embedded in processes and business operations at deeper levels. What starts as simple, interface-level AI solutions will evolve into hyperautomation, where AI supports and guides traditional process automation.

In the era of hyperautomation, the importance of data will be paramount. AI’s growing autonomy, both as a decision-maker and as a provider of user experiences, demands comprehensive and high-quality data that transcends traditional organizational silos. Enterprise AI is not just a series of isolated pilot projects; it’s a strategic approach that embeds AI into the core of business operations.

To fully leverage AI, a high-quality data platform is essential, but it must also be paired with advanced processes and modern interfaces. This puts increasing pressure on data professionals, who must also identify where existing data falls short and guide the organization’s data journey towards real business value. The key question becomes: if the data is poor, what does that cost? And what will it cost to fix it? The ability to facilitate business conversations is critical as we move from data silos towards process improvement.

What Will the Future Data Projects Look Like?

In the future, cloud-based and scalable data platforms will become the norm. Their development will follow standardized practices, the scope of projects will become smaller,  and the focus will shift away from traditional IT infrastructure. 

Building data platforms will no longer be massive undertakings but rather routine operations, enabling a quicker transition toward meeting business needs. The focus will naturally shift more toward business and less on technology.

The volume of data projects will increasingly center around direct data initiatives: integrating data from various sources, processing it, and leveraging it effectively. Projects will focus on reporting, analytics, machine learning, and forecasting. At their core, these projects will emphasize a deeper understanding of business needs, leaving traditional technology projects behind as they move closer to the heart of business operations.

The number of data governance projects will significantly increase. These initiatives will aim to improve operational management and clarify roles and responsibilities related to data. The goal is to integrate data governance into the organization's daily operations, enabling more efficient decision-making and strategic planning.

The need for business transformation projects will grow as organizations strive to better support their operations through data management and data-driven decision-making. These initiatives will resemble organizational development projects rather than traditional IT efforts, focusing on improving processes, culture, and expertise.

Various regulations and legal influences will also shape data projects. These may relate to data itself (such as GDPR) or growing reporting requirements across industries, covering areas like NFRD, CSDR, SFDR, and others.

At the heart of all these project types is artificial intelligence (AI). Currently, there are numerous small AI-related projects and initiatives aimed at enhancing understanding and awareness of its potential. Pilots, exercises, training, organizational restructuring, change management practices, and strategy workshops are already common, preparing organizations for larger AI-driven transformation projects, which are expected to become more widespread in the future.

Increasingly, senior leadership is showing interest in these projects, or they are directly driven by leadership. Strong ownership from the top ensures their success and impact. Ultimately, these initiatives focus on developing business capabilities and improving efficiency—factors that can provide a significant competitive advantage for organizations.

  Daily Best Practices

  • Invest in Data Quality and Management: High-quality data is the foundation of all AI and machine learning activities. By improving data quality, you enhance your organization's efficiency at every level and unlock new opportunities. A solid understanding of business processes and data creates a sustainable foundation for the future. While many recognize this connection, success requires systematic effort and investment.

  • Break Down Silos: Promote collaboration across different business units and ensure the free flow of information across organizational boundaries. When people, processes, and data are combined flexibly to support more efficient operations, new insights and opportunities emerge. While advanced analytics and AI solutions can operate within silos, true impact is achieved when things are done more efficiently and in collaboration.
     
  • Develop a Comprehensive AI Strategy: Create a holistic plan that considers both business needs and ethical perspectives. Don’t forget the human aspect—develop your strategy through change management to support both the business and your staff. Determine what AI will mean for your organization and what considerations need to be addressed. Strategic thinking allows you to plan further and broader.

  • Stay at the Forefront of Technological Development and Invest in Skills: Implement and test various AI-based tools, such as productivity-enhancing Copilot technologies. When adopting new tools, focus on what they achieve and what learning is required to use them effectively. Continuous skill development is an investment in the future, both for individuals and the organization as a whole.

 

Looking Ahead

Traditionally conservative, the field of data has rapidly transformed into a critical area for business in recent years. With no signs of technological advancements slowing down, organizations must stay ahead to maintain their competitive edge. AI and data-driven work will play a pivotal role in this ongoing transformation.

Now is the time to welcome challenges, seize new opportunities, and build a future success story rooted in data and AI.

 

Would you like to talk more about the 2025 outlook and data projects? Get in touch, and let's continue the conversation!