Today, most business owners recognize data as the foundation of sustainable growth. However, despite the proven importance of data across all industries, many organizations still struggle to leverage their data in any meaningful way.
In most cases, the challenges have nothing to do with technology. While computers and data management practices have evolved significantly in the past few generations, humans have remained more or less the same as ever—a fact that has hampered the implementation of data-driven culture in countless enterprises.
Many business organizations are finding out the hard way that adopting new data management apps and Internet of Things technologies does very little good if the humans tasked with using them are still stuck in a culture more suited for yesterday’s challenges. Major stakeholders must seek solutions to counter the almost innate human resistance to change and the still-widespread lack of data literacy in the general labor pool. Additionally, they must also look inward and fight against the overreliance on intuition that often plagues business owners and senior managers.
Thankfully, there is no need to blunder around the dark to resolve these issues. We can look at the best practices used by some of the world’s top enterprises to address these very human roadblocks in your path to technology-enabled data management. Let’s explore some actionable tips to help you build a data-driven culture within your organization:
- Emphasize Data Literacy Training
If you’re not sure how to start, engage with a respected data analytics agency to learn about best practices for handling data in your industry. A few may be able to provide orientation and training programs to help employees understand how data is used in context. This will enable company personnel to see beyond their immediate responsibilities when they use your data management tools and enable the strategic mindset needed for better data analysis and interpretation.
- Lead by Example
Executives and senior managers are often guilty of paying lip service to data-driven decision-making, possibly because day-to-day accountability tends to decrease as one climbs a hierarchy. Unfortunately, when such behavior is ingrained, it dissuades junior managers and line employees from prioritizing good data handling in favor of emotional arguments and inter-organizational politicking. With that in mind, those who hold power in an organization must set a positive example by incorporating data into their own decision-making processes.
- Break Down Silos
Traditional organizations are notorious for over-compartmentalizing data, sometimes in the name of cybersecurity. In more cases, however, this is the result of interdepartmental rivalries and stakeholders attempting to protect their turf at a cost to the wider organization. Though some siloing of sensitive data is justified, you must make it a point to ensure that any data that is useful to a given department is immediately accessible to them, regardless of where that data is hosted.
- Establish Goals and Data Governance Policies
As alluded to in the previous tip, there’s a constant balancing act between maintaining proper data security and sufficient availability for whoever may need a certain piece of data. How this data governance is done should depend on your business’s needs. Regardless, the policies and procedures you enact need to be unambiguous and based on specific goals. Maintaining credible governance will help safeguard any sensitive information and help users be accountable when using your data management system.
- Use Data Management Tools with Real-Time Analytics
In many cases, it makes sense to ditch your Excel and GDocs-based databases in favor of purpose-built solutions that centralize your data and makes it immediately accessible. Adopting these customized tools will drastically reduce the occurrence of silos and redundant entries while offering fine control over user access. However, the biggest benefit from these systems is the immense time-savings that could be earned by having real-time access to data, empowering decision-makers to act on insights as they emerge.
- Support Data-Driven Decision-Making
You’ll need to encourage employees to use data responsibly by giving them training as well as the freedom to access the information they need. Most importantly, you must support attempts to transition to a data-driven model of decision-making, even if mistakes are made in the process. As with any major push towards a new culture, you must provide employees generous leeway to experiment and make mistakes so that they can develop the confidence necessary to navigate your new data management frameworks.
- Celebrate Successes Cautiously
Recognizing achievements that result from data-driven initiatives reinforces the value of data-driven decision-making. However, even with success, there will always be room for improvement. Make it a part of your emerging culture to continuously refine your data initiatives and to adapt your approach as market and technology challenges emerge.
Embracing Data: A Journey Worth Taking
Building a data-driven culture is not going to be easy, as many of the challenges are human rather than technological in nature. Fortunately, by reorienting your organization’s values and maintaining your course consistently, you’re bound to see more success in your new data management regime. Things may not be straightforward but so long as you remain consistent, your new culture will eventually unlock a new level of innovation, efficiency, and growth within your organization.