People are already data driven by nature so why not bring that culture to your business?
It is not new that data is at the top of any important decision-making in people’s lives. To choose the clothes we are going to wear to work, we look at the weather forecast. If we’re going to look for a clinic, we look at what people say on Google and social media. A purchase from a company or a new product, let’s go to Claim here. People are already data driven by nature so why not bring that culture to your business?
To improve the performance of a company, nowadays, decisions have to be taken quickly and with the greatest possible assertiveness. This is the main reason to implement the Data Driven culture in your company, whether it is a large corporation or a small or medium-sized company.
For a company to implement this culture in its day-to-day, it must centralize its decisions in data. Leaving the feeling, guesswork, holistic and past experiences in the background.
I’m not saying not to use the experience of years of work or thousands of hours aside, but to use this baggage to make decisions based on what the data shows.
To be Data Driven is to use data extracted from your ERP, CRM, Project tools, inventory control, etc… Cross them with data from social networks, government websites, macro and micro economy data and a multitude of other sources to obtain insights, predict trends and be able to make more accurate decisions.
The main benefit of companies with a data-oriented business is the possibility of doing prescriptive and predictive analytics: with them, companies can sell more, offer a better quality service, help their employees stay informed and have a delivery with greater quality and speed.
Which customer is most likely to consume my product?
How can I deliver better quality?
How can competition threaten my business?
What are the risks of offering credit to a certain public?
How to reach a certain target audience with my marketing campaign?
What are the main difficulties in implementing a Data Driven culture?
The implementation of a Data Driven culture in an organization encounters some difficulties, in our journey of consulting and implementations, we found some difficult factors for the adoption of this culture:
To become a Data Driven company, management must be committed to storing and using data to generate knowledge for the organization.
Many want to be Data Driven, but few want to make data available to all employees. The democratization of data is a fundamental step towards implementing this culture. Making the information available to everyone and training them in how to use it is paramount.
As the data sources are diverse and the volume is usually considerable, it is necessary to standardize the indicators and measures used by the company. It is necessary that, for example, the concept of “sales value” is the same in commercial, accounting and production, so that decisions can be made more assertive.
Process change is generally a point of difficulty in any company. And implementing the Data Driven culture requires a change in the institution’s internal processes. The mindset has to be focused on data, so everything must start with management.
Being Data Driven will enable you to make decisions based on data, not just on the feelings or experience of managers. These will be better advised to be more and more assertive. Being Data Driven is an evolution process, it’s like being Digital these days, some companies are born digital, others need to go through this transformation, for survival, the analogy is the same for Data Driven, and the sooner we do the movement, the less difficult it will be and the less investment it will require.