5 Secrets of Successful Data Led Organizations
“The benefits of a data-driven culture is to examine and organize the data with the goal of better serving one organization’s customers and consumers,” says Alan Duncan, Vice President Analyst, Gartner. “It also bolsters and speeds up business decision-making processes.”
Data-driven organizations are known to consistently outperform those that do not, making informed, efficient decisions that increase profitability and reduce costs.
Effective data analysis can provide companies with an enormous competitive advantage, as corporate managers are able to get fresh insights about trends and customer behaviors that may otherwise be impossible. Using business-critical, real-time insights to identify key business challenges that impact an organization, which must be addressed, becomes a lot easier when data is on hand.
Gartner predicts – “By 2023, data literacy will become an explicit and necessary driver of business value, demonstrated by its formal inclusion in over 80% of data and analytics strategies and change management programs.”
Here are some characteristics that today’s successful data-driven companies have adopted:
Creating a Data Driven Culture
Every organization has different levels of expertise and people from widely different backgrounds but ultimately all should be united by the same goal. Even though there may be people who will not understand what the others are doing but they should know they are the same team, and that’s where the culture comes in.
Focus on strategy while building a data driven culture is the need of today’s time. We need to establish a set of practices that brings together data, talent and tools in such a way that data becomes a default backbone of company operations.
Many times, CEOs tackle data solely from the perspective of a business strategy, but implementing a successful strategy is not possible unless a company’s culture has already bought into the idea of being data-driven.
To help foster this culture, data needs to stay available, and employees need to feel encouraged to incorporate facts and statistics into their reports, status and information provided at all times.
Data Accessibility to Everyone
Next, is making data relevant and available for everyone. Sometimes even the best data-driven companies still reside in silos making the data hard to access. Organizations cannot ignore the importance of data-driven culture in today’s accelerating and fast-paced world.
Leaders Leading by Example
Organizations that are data-driven have at the helm strong leadership. It is a leadership that inspires and promotes a data-driven culture. Such leaders make it their priority to provide data, tools, and training to their employees so that they can be data-driven. Leaders of data-driven organizations ensure to garner support from rest of the organization, and the senior management team to deliver results.
It is one thing to require that your people work with data, but it is quite another to show that you have the ability to drive decision-making and critical thinking using it. When CEOs and other corporate leaders set an example, they are also more likely to make the technology and human capital investments needed to power a data-driven organization.
Successful business leaders have quickly jumped on the bandwagon and have invested in training and showcasing how data is driving important business decisions.
Creating a Strategy
A thoughtful strategy is, of course, crucial for the success of almost every enterprise effort, and data initiatives and analytics are no different. However, there are still a number of companies that are yet to achieve their data and analytics goals, and an increasing proportion admits that a lack of a strategy in these areas is a major barrier to success.
To drive revenue in an organization it is imperative to be data driven as well as insight driven. Implementing a data-driven plan can help businesses make more informed decisions and turn customer insights into profits.
Businesses that are successfully driving data have identified creating a strategy as the most critical element to meeting their company’s objectives.
Treating Data as asset that provides ROI
Business leaders must see data as a raw material to power analytics and decisions. Data should be treated as an important company product that needs to be packaged and distributed among groups throughout the enterprise.
A product manager’s responsibility to consumers is to build a variety of revenue streams through channels, segments, and markets. In the same way, the owners of each data domain act as product managers for data, and their effectiveness is tied to revenues, satisfaction, quality, and other such measures.
To be data-driven, organizations must rethink their approaches to using data in ways that go beyond technology. Becoming a data-driven organization also requires changes to the culture of the organization, the operating model, and the realization of real business value via use cases. Becoming a data-driven business requires having a coherent, holistic data strategy applied throughout an organization.
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