Collecting and using data in business can be the turning point to success for many organisations. However, building the perfect data strategy can seem like an impossible task that is as attainable as boiling the ocean.
It can spell disaster if the aim is to collect as much data as possible without a clear plan of what to do with it. This approach has your company spinning its wheels endlessly without going anywhere.
Thankfully, with proper planning, implementation, and execution, it can be simple to build a data strategy that works for your business needs.
What Is Involved In a Data Strategy?
An effective data strategy is a long-term plan outlining how an organisation handles data, from collecting, organizing, storing, sharing, and using it for current and future business purposes.
Finding more efficient ways to manage business data is the foundation of success and operational security. This way, a company can use the information to make better organisational decisions and avoid data security issues.
Does Every organisation Need a Data Strategy?
It can be obvious that large corporations require an effective data strategy. However, small and medium-sized businesses can be more vulnerable by believing they don’t need anything in place.
When a business collects, stores, uses, and shares data, proper processes should be in place to handle these steps. Without regulatory guidelines on managing their data, business processes are inefficient, stored data is vulnerable to breaches, and the information is not valuable to the organisation.
Therefore, if you aren’t sure what your goals are for the data or what you want to accomplish, you risk boiling the ocean by trying to achieve an impossible task or making it unnecessarily complicated.
The 7 Elements For a Well-Defined Data Strategy
Building a data strategy does not have to be unattainable, regardless of your business’ size. Using these seven elements, an organisation can easily reach its goals for optimal data handling.
- A clear vision of data management
- An achievable business objective
- Regulatory principles, management perspectives, and organisational values
- Clearly defined roles and responsibilities
- Concise data goals
- Short and long-term objectives
- Methods of measuring success
A Clear Vision Of Data Management
We believe that success begets success; a successful data strategy should continue to roll into iteratively more successful cycles. We also believe that strategy isn’t something mysterious, or conceived in ivory towers – it should be collaborative, creative, and inclusive.
Each data management element should clearly define its purpose and how it will benefit the organisation.
An Achievable Business Objective
Maintaining an achievable business objective is beneficial for any organisation. This way, key decision-makers can see short-term results and work towards long-term goals. In addition, there is improved focus and motivation within an organisation when the target is attainable.
Your successful data strategy should completely align with this business objective.
Regulatory Principles, Management Perspectives, and organisational Values
It’s critical with any organisational process to impose responsible guidelines for fair business practices, especially when handling sensitive data. In an age of data privacy fears and governance demands, the need to manage customer preferences is critical.
In addition, management perspectives and organisational values will determine how the data will be helpful in decision-making processes. Consequently, all departments should carry the same visions and ethical standards when handling all data types.
Clearly Defined Roles and Responsibilities
Unfortunately, almost half of all employees at an organisation have access to data they don’t need to perform their job. Therefore, a proper data strategy will include clearly defining roles and responsibilities along the data roadmap.
This way, the chances of a data breach will remain minimal, and various departments will know precisely who handles which process. In addition, these defined roles and responsibilities take the guesswork out of data handling and eliminate duplicate tasks, creating a more efficient workplace.
Concise Data Goals
If your company is gathering as much data as possible but has no set goals on what to do with it, they are wasting precious resources. Successfully collecting and storing information is only part of the data strategy.
Do you want to decrease the visitor bounce rate of your website? Is the marketing team curious about which products are most popular? Having a precise answer you want to reach will help devise concise data goals to get you there.
Short and Long-Term Objectives
An effective data strategy will include both short and long-term objectives. Although data management deals with the big picture, short-term goals for handling data have their place.
For example, a short-term goal could include analyzing existing data in multiple ways to get results to suit various departments’ needs. Alternatively, long-term goals will cover large-scale objectives, such as increasing their profit margin over the next year.
Methods of Measuring Success
Key performance indicators (KPIs) are the building blocks for effectively measuring success when building your data strategy plan. However, it can be challenging to determine if the data is useful for the organisation’s decision-makers without a way to analyze how practical your process is.
Strategy fails in the large majority of cases because it’s either unrealistic, poorly considered, or is not executed in a manner that works in the real world. Our strategic framework adopts the strengths of the agile manifesto whilst ensuring that your marketing program recognises rapid, measurable growth.
Wrapping Up: Developing an Effective Data Strategy Is Possible
No matter what size an organisation operates, using an effective data strategy is beneficial and necessary. However, this task does not need to be as complex as many make it out to be.
Following some basic principles, developing a proper data strategy will provide an organisation with vital information. It can help find ways to increase revenue, decrease costs, minimize risks, and alter current processes in less time.
We’ve got the experience, people, and tech to deliver both the strategy and execution for you to experience enduring growth.