More and more companies are realising the benefits of becoming data-driven decision-making organisations.
So says Julian Ardagh, CEO at E-Intelligence, who says these businesses are in sharp contrast to those that make decisions based on self interests, hunches and speculation. "Data technology, such as that produced by E-Intelligence, has made it easier for any company to become a data-driven decision-making organisation," he says.
For Ardagh, in the wake of the recent Western economic crises, and their impact on other economies worldwide, business managers have to work in an exceedingly accountable environment. "Decision-makers in organisations have little to gain and a lot to lose by making decisions that are not data-driven," he explains.
"More and more organisations are realising this, which is why the culture of consulting mystics and speculation gurus was discarded. Technology makes it much easier to quickly collect, process and interpret large volumes of relevant data."
Benefits
Describing the benefits of a data-driven decision-making organisation, Ardagh notes that, for businesses, data-driven decisions deliver results, adding that organisations need to take into account all relevant information regarding their environment when they make a decision.
Data-driven decisions enable organisations to swiftly respond to and survive in the face of volatile dynamics common to numerous industries and markets, he says, noting that data mining and analysis enables a higher form of decision-making and responsiveness. "This invariably translates into higher efficiencies and achieved objectives. In addition, organisations can create better marketing campaigns, enter new markets or plan successful exit strategies, all with the help of data-driven decisions."
For decision-makers, data-driven decisions are safe, he says. "There's no practical way to completely avoid bad decisions. So if a manager makes a decision that does not yield the desired result, they can always back their decision with well-researched data. Ultimately, the benefits of data-driven decisions - whether they're improved productivity, higher customer satisfaction or enhanced competitive edge - cut across all levels."
According to Ardagh, South African companies are also transforming into data-driven decision-making organisations. "As a provider of data technology in the country, we're at the heart of this positive change. Our clients, who represent diverse industries, are using data technology. The businesses we serve are among the many that recognise the importance of data-driven culture. With our help, they are able to capitalise on the immense power of data technology. Out-thinking the competition and pleasing customers is then not so difficult."
And this is typical for any progressive company. Customer experience is now the centre of attention for the CIOs of almost every business, and South African businesses are no different, he adds. The modern business scenario is such that customers are always connected to their service providers. Whether a company is serving consumers or corporations, data-driven technology and decisions are crucial for customer satisfaction.
Challenges
On the challenges, Ardagh says access to efficient data technology is perhaps the biggest concern for businesses. While there are a lot of analytics applications out there, he explains, it can be difficult for an organisation to find one that really adds value to the business.
Staying focused would be another challenge, he adds. Since effective data technology makes it possible for an organisation to make a lot of decisions very quickly, it should be able to prioritise decisions and manage them appropriately.
"Implementing a data-driven culture is yet another challenge faced by organisations. In many ways, it is a delicate transition that needs to be handled accordingly. The workforce needs a seamless transition from one culture to the next."
Share