What Is The Semantic Layer And Why Does It Matter?
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Businesses that are able to scale their use of data, AI, and analytics are set to emerge as winners in the dramatic wave of digital transformation that's sweeping through every industry today. This is one lesson that I place above all others while working with leading companies to define data strategies and unlock the value of cutting-edge technology trends.
But no matter how advanced the technology is that you use to uncover them, insights are useless if they are communicated in languages no one understands or if they are left siloed and out of reach of most business users.
This understanding is what has prompted the development of what has become known as the "semantic layer." This is a level of abstraction specifically designed to cover the "last mile" of data analytics. In other words, once we have solutions in place for data gathering, capture, and analysis, how do we ensure it is standardized, easily understandable, and available wherever and whenever it is needed?
Research shows that companies that invest in getting this aspect of their data operations right are consistently outperforming competitors that don’t. In fact, one recent survey by DBP-Institute with 100+ Enterprise data leaders found that companies using a semantic layer generate 4.2x improvements in results while expending half of the effort on their data and analytics activity. This covers accelerating time-to-insight, improved uptake in usage of self-service data tools and a reduction in overall costs.
Significantly, those surveyed reported a 46 percent reduction in hours taken to implement their data and analytics projects.
The report linked above contains thoughts and insights from a number of industry leaders on the benefits of implementing a semantic layer approach to data and analytics. In my experience, one of the clearest advantages is the impact it has on culture and data literacy across an organization. One of the biggest barriers to adoption or generating buy-in – from boardroom level to shop-floor – is often that those who could benefit from using data simply don't know what is available, where it is stored or what tools are in place to put it to work! When they do find the data they need, they might not understand the formats that are used or the database structures which give it context.
Put bluntly, not everyone is a data scientist, and not everyone "speaks data". But for an organization to really make the leap to becoming a data-driven enterprise, everyone needs to be given the opportunity to use data to make better decisions. This is where the concept of the semantic layer really comes into play. It overlays business-oriented terms and definitions, pointing users to what they need in plain language and mapping familiar terms onto what lies beneath. They also ensure that when moving from dataset to dataset or tool to tool, the "armchair analyst" is able to work with common interfaces and receives a unified user experience.
The most advanced semantic layers can be thought of as lenses that offer automated translation and real-time insights into what exactly it is that the user is seeing when they peer into the data jungle. This translation can be done using machine learning algorithms that help to make sense of what is seen in the specific context of the person who is looking at it. After all, one man's (or woman's) earth-shattering insights may very well just be noise to somebody else. Semantic layers enable data strategies to serve up personalized insights – a game-changer as the volumes of data flowing through organizations continue to grow and grow.
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Where can I learn more about the semantic layer?
For those interested in understanding more about how their organization can incorporate semantic layers into their cloud data stack, Databricks, Snowplow, DAS42, and AtScale, among many others, are hosting the Semantic Layer Summit, which will take place on Wednesday, September 28.
The event will offer a chance to learn from leaders in the field including AtScale’s own CTO and founder, Dave Mariani, Bill Inmon – widely known as the "father of the data warehouse," Snowflake technical director Simon Field, and Jon Francis, Chief Data and Analytics Officer at General Motors. As well as many others - you can view the full speaker lineup here.
It will be a virtual event, meaning anyone can attend, and it's totally free of charge. Put plainly; it's a great opportunity to listen to and learn from some of the leading thinkers in the field of enterprise data, with an emphasis on the concept of the semantic layer. There will also be a networking area offering the chance to meet and form partnerships with like-minded individuals setting out on their own data journey.
Anyone interested in registering for the event, which takes place from 10 am to 5 pm EST, can do so by clicking here. In fact, it's worth registering even if you can't make it at that time, as it will give you access to all of the content on-demand after the event is over.
As the importance of data and analytics becomes increasingly apparent to every organization, so too will the importance of implementing frameworks and strategies for democratizing the use of that data. The semantic layer is a tried and tested approach that I believe just about any business can benefit from if they want to achieve faster insights, cut down the cost of implementing AI and analytics, and ultimately make better, more data-driven decisions.
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About Bernard Marr
Bernard Marr is a world-renowned futurist, influencer and thought leader in the field of business and technology. He is the author of 21 best-selling books (and winner of the 2022 Business Book of the Year award), writes a regular column for Forbes and advises and coaches many of the world’s best-known organisations. He has over 2 million social media followers, over 1.2 million newsletter subscribers and was ranked by LinkedIn as one of the top 5 business influencers in the world and the No 1 influencer in the UK.
Co-Founder & CEO at Klipfolio
1yIt's been about a year since you posted this Bernard Marr. I've just returned from dbt Labs's Coalesce conference, and the Semantic Layer was one of the hottest topics. It very well might be the solution to finally helping non-data BI users better understand and trust data, not to mention how AI/ML consumption will feed off of the context and relationships this layer adds. Thanks.
CRM & Lifecycle Manager @ Severalnines
2yGood Read
Founder & Host of "The Ravit Show" | LinkedIn Top Voice | Startups Advisor | Gartner Ambassador | Evangelist | Data & AI Community Builder | Influencer Marketing B2B | Marketing & Media | (Mumbai/San Francisco)
2yThese are great insights, Bernard Marr 🥳
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2yGreat article. I think companies might want to consider investing in teaching younger people how to communicate so they can understand as well. I know I sound old here, but I've talked to teenagers and they don't have a handle on a lot of basic sentence structures, so translating that to the workplace could be problematic as newer generations come into the workplace with a different set of language rules. Language is fluid and I see it changing dramatically right now and I don't know if big data is truly ready for it or capturing it properly. I'm sure there are plenty of smart people to figure this out, but just like learning any type of framework, you can teach business language like a more proper English as a framework for people who don't understand it. I just think it would be a good investment. Sorry for rambling.
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2yThanks for sharing