06 April 2022
A new investigation of data or analytics leaders find that only 26.5% believe they have created a data-driven organization.
NewVantage Partners’ Data and AI Leadership Executive Survey found that less than half (47.4%) responded that they compete on data and analytics. Only 39.7% said they manage data as a business asset of the company, and only 19.3% have established a data culture.
For the fourth year in a row, more than 90% of executives (91.9% in 2022) cite culture as the biggest barrier to achieving this business outcome. Only 8.1% cite technological limitations as the main obstacle.
A new investigation among CIOs, CDOs and VPs in data-centric roles at cloud software provider Domo, the top cultural or behavioral challenge to effective data use is that too few people in most Organizations understand how to access or use useful data to make meaningful decisions.
The Domo study pointed out that the two most common explanations for the large data decision gap were the disconnection of BI tools from business processes and lack of training.
A investigation C-level executives from credit reporting agency Experian last fall found that 44% of respondents say a key indicator of being a data-driven organization is a high level of trust in the data quality, followed in the top-three by the presence of easy-to-use data management tools (40%) and quick and flexible access to data that can be adapted according to needs (39%).
In a column for harvard business review, Randy Bean, founder of NewVantage Partners, said organizations can accelerate the journey to becoming data-driven by focusing on three principles:
- Think differently: “There is no shortage of analytical algorithms. These must be accompanied by critical thinking, human judgment and a vision for creative innovation.
- Fail fast, learn faster: “Companies that are primed for faster iterative learning – fail fast, learn faster – will gain knowledge and knowledge before their competitors.”
- Focus on the long term: “Becoming data-driven is a process.”
DISCUSSION QUESTIONS: What advice do you have for retailers and brands looking to become data-driven organizations? Is the main barrier the company culture or is it more about data quality, lack of training, technology or some other process issue?
“What advice do you have for retailers and brands looking to become data-driven organizations?”