Skills, Tools, & Techniques versus Operational Knowledge
Operational Knowledge serves as the conductor for an analyst’s array of skills and capabilities. Analysts can learn all of the skills, tools, and techniques necessary for becoming a Data & Analytics professional but without the proper details, construct, and framework they will quickly find themselves producing underwhelming value.
Before going any further we must define operational knowledge. As a warning I am a fan of simplification and sometimes I’m guilty of over simplifying.
With the disclaimer out of the way we can tackle the definition of operational knowledge.
First, start by thinking about a task that is common for most people like baking a cake. Everyone knows that cakes have ingredients and must be cooked in an oven for a prescribed amount of time. This could be considered the hundred thousand foot view of making a cake. However, to have operational knowledge of making a cake you would need to know what type of cake you’re making, the list of ingredients, the measurements for each ingredient, the order and process for combining those ingredients, the process for preparing the baking container, the temperature to bake, and the amount of time to bake.
With this amount of knowledge we have a granular view of how to make a cake. You might even say this is a scientific or mathematical level of knowledge. There are various types of ingredients constrained by precise measurements of volume. There is an order of operation that must be followed. In order to achieve the appropriate level of taste, texture, and safety; temperature and time constraints must be adhered to.
We could keep going deeper into the details of baking a cake but hopefully you’re starting to understand the level of detail associated with operational knowledge.
Now we are going to shift our focus away from baking cakes into more of a business setting. Imagine that you work for an international news media organization and have been there for 10 years. You started as an intern in the analytics department and worked your way up to a senior level manager position.
When you first started as an intern, your operational knowledge of how this organization functioned would likely have been at the million foot view. You would know that they have websites that publish articles, that there are reporters/writers, and there’s some level of editing. However, as far as the mechanics of the business processes and how they all fit together your knowledge would have been lacking.
As you spend time in the organization you learn the business model, the relationships between functional areas, the various types of services and products, who their customers are, and details of the P&L. This knowledge helps bring you down from that million foot view to a much more granular level.
Similar to the example of baking a cake; within this organization you now have a detailed understanding of business processes, how to service customers, how revenue is generated, and how costs are mitigated. You understand what data is generated by business processes, what the challenges are, how data must be organized into information, and how to measure performance and communicate it to stakeholders. When decision makers come to you with questions or problems your operational knowledge allows you to speak from a position of authority to provide answers or develop a plan.
Notice how the development of operational knowledge has increased the value potential of the intern turned senior manager. By achieving a detailed understanding of the processes associated with the organization the now senior manager is able to think through and navigate a wide array of scenarios with a high degree of insight and effectiveness.
An important point I want to highlight is that we have not yet talked about Data & Analytic skills, tools, and techniques. While it is important for Data & Analytic professionals to be proficient in these areas the greater importance is their ability to learn and utilize operational knowledge. Skills, tools, and techniques are always changing. Data & Analytic professionals will always be learning new methods of practicing their craft. However, the application of Data & Analytics within the context of operational knowledge will not change.
Remember to not only focus on developing your knowledge of skills, tools, and techniques but also to work in developing your operational knowledge.
Thanks for reading.
