When it comes to data analytics, even government agencies undergo difficulties and several challenges, both technical and managerial. A KPMG report that elucidates the development and maintenance of citizens' trust in data analytics reveals some astonishing facts about the same. It points out that citizens are likely to share sensitive information to the government if they are using analytics to provide better services.

Governments must first determine the type of data that is necessary for the operations. For analytical tasks such as constituent segmentation, measuring program effectiveness, only internal data may be required. But, for other tasks such as revenue projection, fraud detection, data from the external partners outside the agency is essential for maximum effectiveness.

In addition to the above, the quality and accessibility of the data is a critical challenge. Many government agencies have only legacy data storage in management platforms that were not meant to be utilized for modern, advanced data analytics. High scope for improvement exists for agencies to modernize their platforms and do so with their cloud-based tools. Stovepipe data systems that do not interact with each other are also another apparent challenge. The trend at present is to implement the integrated systems during significant modernization efforts or to construct bridges by using master data management tools to get a unified view of the citizens. Yet another gap that the agencies need to bridge is the skills gap. To bridge this gap, governments should invest more in hiring and training data scientists to analyze the collected data effectively.

Check Out: Top Data Analytics Solution Companies

Use of Big Data Analysis by Government Agencies:

Government agencies work with a wide range of commercial partner firms that help in overcoming data analytics related challenges. These firms are mainly linked with government agencies to solve technical data management challenges. There are many types of data analytics tools that can determine who is who, who is acquainted with whom, and who has a family or business connections with whom. Tools that can evaluate these factors can help fight theft and establish relationships among different entities.

Tools that can visualize the data show charts and graphs on maps to initiate better understanding. Unstructured data analysis tools have the option to sift through video files, social media, IoT sensor readings, and other data sources to recognize those pieces of data that the agency is interested in or to dig deep into the process of working a case on a citizen or a business.

Cognitive analysis based on AI will assist government agencies by providing advanced analytics for both structured and unstructured data. It functions based on ML and intelligence that becomes much smarter by using frequently.

State and the local governments have innumerable opportunities to apply data analytics to enhance the lives of the citizens they serve. Nevertheless, these institutions are also presented with challenges while utilizing such tools for the analysis of data. By tackling the obstacles, optimal efficiency can be derived from these applications, and full use of big data can be made.

See also: 

Top Artificial Intelligence Companies

 Top Big Data Analytics Companies