Data-driven decision involves making business decisions using business insights, facts, metrics, and data. This method of decision-making allows your business to make informed and verified decisions that align with your company’s goals and visions for the future. Below we will break down the 5 essentials of data-driven decision-making to make sure your business is set for success.
Define Organizational Objectives
Data-driven decision-making at its core should align with your organization’s growth and goals for the future. It gives companies the power to review key insights gathered from functions, operations, and departmental ventures. What can you do with the data that you have collected? Identify what is most important to achieving your company’s overall goal and start collecting from there.
Gather and Organize Data
To ask the right questions, it is essential to gather the proper data. Businesses should prepare data sources with high impact and low complexity and prioritize sources to switch to the largest audiences in order to achieve the greatest impact. Data collection can be started by implementing a business dashboard in your company to manage the data you will collect.
Analyze Data and Trends
Once your data has been collected, review your business insights and visualize the data you have collected. By creating a visually impactful presentation, you are more likely to influence the decisions of senior leadership and staff throughout the company. Presentations like graphs, charts, and maps let you see and understand all trends and outliers in your data.
Develop Insights
As you review your data, it is important to use critical thinking to find those business insights and communicate them in a thoughtful and engaging manner. Using intuitive approaches, such as visual analytics, allows you and your company leaders to ask and answer questions related to your business goals and how they coincide with the data collected.
Re-evaluate Often
Businesses are constantly changing and goals may shift. It is important to go back and review your initial assessments of data. You may also find that some of the metrics you were reviewing at first may not apply as your company grows. Do not be afraid to revisit your company goals, patterns, and perspectives. This will help your company continue to track the most beneficial data for goals and growth.
Ready to learn more about which data insights your company should be tracking? Contact our team of experienced and knowledgeable professionals to learn about how Credence Global Solutions can transform your business today!
