BENEFITS OF DATA DRIVEN DECISION MAKING.
With the ever increasing number of devices connected to the internet, one can only imagine the immeasurable amount of data that is generated by devices across the globe. According to IEEE (Institute of Electrical and Electronic Engineers), the number of devices was estimated to hit 50 billion in 2020. While this is a debatable issue given the disruption of manufacture and supply of devices caused by Covid-19, have you ever taken time to ask yourself how much data you and your family generate in a given day ?.
Some might argue that it is pointless trying to keep track of your data, but with the current buzz around data and related issues such as data science that impact our lives directly you need to be concerned.
A data analyst in any mid-level organization will tell you that keeping track of data from time to time can be overwhelming especially if the right infrastructure is not in place , but it is worth every penny as well. It this article I’ll be discussing the benefits of informed decision making based on data.
Providing useful insights and predictions.
In the current technology space every organization is trying to grasp the largest market share by trying to understand what the customer needs are and what they might be in the next few days so as to gain an edge over their competitors but how do they do that?
Data from departments such as sales and marketing if well analyzed is a very important tool in providing analysis on current market trends and coming up with predictive models that can help the stake holders to make a decision on how to tailor their products and services to suite the current and future interests of their clients.
Averting Future Losses.
Unlike in the past few years where decisions pertaining to investments were made on the mere basis of intuition past experiences the modern economies have made a great progress. With the availability of advanced analysis tools that can project with high accuracy on how the market is going to look like in the future it is easy to make the best decision in regards to capital investment and scaling plans for the future.
Accountability and Better resource management.
In organizations with solid and competent data management systems it is easy to keep track of the organization expenses and income this promote a culture of being goal oriented among employees and also the general confidence in decisions made by the executive.
Besides this when data is well accounted for it easy to track goals and aspirations of the organization, this can be beneficial in two ways; one is to tame overambitious leaders who may plunge an organization into financial problems by borrowing excessively as well as giving employees a sense of direction.
Overall confidence in the decisions made.
One of the toughest responsibility of being a leader in a managerial position is making decisions that affect the entire organization as well as the livelihoods of the people who rely on their jobs to take care of their families.
Having to decide how to invest an extra couple of more millions, not knowing how the economy may respond can be quite challenging, however with the support of data it may be easy too come to a decision that is not only reasonable but also reliable and one that you can be confident about.
isaactonyloi@gmail.com
