Given all the focus on big data recently, I found this HBR post on data-driven decision making particularly timely.
Companies that regard themselves as data-driven are measurably more profitable than those that aren’t. The challenge for executives is transforming an organization from non data-driven to data-driven.
According to Thomas Redman who advises companies on their data and data quality programs, the data-driven:
- Make decisions at the lowest possible level
- Bring as much diverse data to any situation as they possibly can.
- Use data to develop a deeper understanding of their worlds.
- Develop an appreciation for variation
- Deal reasonably well with uncertainty
- Integrate their ability to understand data and its implications and their intuitions.
- Recognize the importance of high-quality data and invest to improve.
- Are good experimenters and researchers.
- Recognize that decision criteria can vary with circumstances.
- Recognize that making a decision is only step one.
- Work hard to learn new skills and bring new data and new data technologies (big data, predictive analytics, metadata management, etc) into their organizations.
- Learn from their mistakes.
How’s your organization rate?