Importance of Data Management in Business

In Fact, What is Data?

By data, we understand any information that describes entities. It could be raw data and also any insights that are generated from existent data. Raw data is the kind of data that we don’t know how to interpret or it could be interpreted in many ways. At least we would like to have this data in the original form and to deal with it in the future. When the time comes.

Data in Business

In the business are a lot of data sources. Companies have different departments. Every department generates during the lifetime a lot of data. Every business process generates events even stakeholders don’t collect them. Examples are customer calls, leads communication, hiring interviews, website clickstreams, customer interaction during purchase, etc. All these events might be collected in separate sources - CRMs, spreadsheets, specialized software, etc. Certain events occur through different company departments. The right company strategy should assume Data increases over time.

Old World Behaviours

Before the information revolution businesses don’t care about data so much. Company strategists have made decisions based on their own understanding of the situation. Middle management makes every day’s decisions based on own experience, or even self-interests. As we can’t predict the future it isn’t possible to argue that a certain decision is not correct. Where is the proof? Where is that data?

Everything is Online

Nowadays every business is an actual online IT business. Despite do we understand this fact or not. Digitization of business models occurs now and will continue further.

In the online environment, every business is too close to the customer. Everyone competes at the global stage. A US company competes with India’s company or Ukraine’s company.

Competition is high. And it will be higher. Inventing products is cheaper and faster than at any time before. An unknown small team can disrupt an established market.

Data-driven Decisions

The digital business generates data naturally. The business makes noise. Generated data is useless when there aren’t ways how to use them.

Actually, the understanding of data nowadays is something that differentiates successful companies from usual. Listen the noise could be not an easy task. Often there are not all parts of the puzzle to have the right understanding of data. Doing data management in the right way gives the company a competitive advantage.

Decisions made by deep analysis of data lead to wins in tacking business battles.

The current state of data management - AI, and more technically Machine Learning, Deep Learning, gives the ability to find insights faster, more accurate than human expert's knowledge.

Making data-driven decisions the business moves faster, increases the innovation adoption speed. Business gets sight in business environment darkness.

The right data tool is like a pilot’s dashboard. Inspect business metrics on them gives knowledge on how to drive to success.