Data Strategy is Important!
Enterprises will always ponder into improving their business, they apply various strategies like cost strategy, product strategy, growth strategy, business strategy and more, but here, we are talking about Data strategy. Before going any further let us first understand what a strategy is about, a strategy is a thoughtful and rational plan concentrating to change the current state in order to reach a vision for the future.
Data Strategy is reading into the data to plan an action that is already visioned.
What is being referred to ‘data’ and ‘vision’ in here?
Data and Vision in Data Strategy
Every business company will have gathered data that represents the activity of workers, investments, plans, production cost, outcomes and financial account, every such activity and response related to the business will be gathered in data sets. Such intact collection of data is what is referred to ‘data’ in Data Strategy.
Huge technical fields like Data Science and Data analytics, which have become so much in-trend since past a decade works only to one goal and that is to improve a business. The main goal or focus these fields possess is to resolve the issues present in the businesses or enterprises, they use various methods and tools only to improve the business.
That is exactly what Data Strategy also does, its aim is to resolve the issues of a business. Business vision and Business strategy should be well defined before starting into Data strategy, further plan and activities will march towards reaching its vision.
How Important is Data Strategy?
Technology is swiftly developing these days, many businesses particularly the smaller and mid-sized companies tend to struggle in keeping up with innovations and as competitors. This usually leads such companies to overdo the data opportunities, fancy analytics and investments upon new technologies that mostly aren’t pertinent for their business. This will further lead to destruction of forcefully refusing to look into the fact of matter that is negatively affecting in reality. It really is necessary for businesses to realize the possibilities of and from data.
This is why Data Strategy is needed, to set out how a business wants to use data in practice, clarify their top data priorities and chart a course for reaching the goals. Also including the kind of data they need, placing the source of data, storing and analyzing it and so on. The data strategy helps a business to drill down to their core business necessities and create an achievable plan for the future.
5 Essential components of Data Strategy:
- Identification
Identifying the data and understand its meaning and value regardless of its structure, origin and location - Storing
Preserving the data in a structure and location that easily supports, can share access and easy processing. - Provision
Package the data so that it could be reused, shared and provide rules and access guidelines for the data. - Process
Move and combine data residing in disparate systems, and provide a unified, consistent view of data. - Govern
Establish, manage and communicate information policies and mechanisms for effective data usage
Data Architecture
A company’s data architecture defines the manner in which the data is collected, gathered, stored, modified, shared and absorbed. It includes the method of governing the structured formats like databases or file systems and the systems that connects data with business processes. The information architecture controls the processes and regulations that converts data into a useful information. Data architecture(DA) and Information architecture(IA) will be connected when the data will be transported, for an example, when DA feeds the raw marketing and sales related data into IA systems, like the marketing dashboards, in where such data will be integrated and look into to extract relation between the processes that took place in marketing and sales field.
Creating an inclusive and radical data strategy should be a prominent element of any business’s root of success, but it should not be done alone based on one stiff perspective, involving broader thinkers and creative minds will bring exemplary results. Data Strategy empowers today’s processes and solutions as well as holds accurate vision of plan for tomorrow’s concern. Data Strategy could be treated as a sub part of data analytics, while it has its own way of dealing with data accordance to a proper vision.
Learn to strategies the data with Learnbay
A Data Scientist should consistently work towards expanding intelligence by engaging in latest technologies, Learnbay can you to do it with its analytics and Data Science courses.
Learn more of Data Strategy with these blogs:
https://towardsdatascience.com/how-to-create-a-successful-data-strategy-1293bacf463c?gi=e7b20cd07ba6
