Importance of Data and a Data-Driven Enterprise in Today’s World

In today’s world, where electric vehicles (EV) sales constitute 10% of the global auto share, data is the new oil. However, oil in its crude form has no value and needs to be transformed into gas, plastic, or chemicals to extract value. Similarly, your data in its raw form does not provide much utility unless it is aggregated, cleansed, and analyzed to extract valuable insights.

Per IDC, worldwide data is expected to grow at a CAGR of 61% and reach a total size of 175 zettabytes by 2025. Interestingly, unstructured data is growing much faster than structured business data.

This explosion of data compels organizations to make “data” their main priority and adopt a data-driven culture. For instance, a study by McKinsey Global Institute asserts that data-driven enterprises are 23 times more likely to acquire customers, 6 times as likely to retain customers, and 19 times as likely to be profitable. But what exactly makes an organization data-driven?

Becoming a data-driven enterprise requires bringing disparate data sources together and unlocking business insights that help you make data-driven decisions and minimize reliance on gut feeling and intuition.

Data-driven organizations embrace the culture where employees use data to start, continue, or conclude every major and minor business decision. Moreover, business leaders in data-driven organizations understand the benefits of drawing data insights and using them to make wise business moves.

It is crucial to count on knowledgeable data professionals and technology tools that can uncover the actual value of business data and provide insights into the best ways to collect, store, analyze, and protect it. Moreover, one needs to change the organization’s culture and make data a vital component of every business aspect. After all, a data-driven organization is one where data and analytics are considered as an opportunity for differentiation from competitors in all business activities.

Traits of a Data-Driven Enterprise

Benefits of Data-Driven Decision-Making

From improving customer experience to creating new business opportunities, data-driven decision-making offers many advantages for businesses. Listed below are some of the many benefits for businesses governed by a data-driven culture.

• Improved customer experience
  Organizations can use customer data to determine consumer preferences. For example, treating every customer interaction with your business as a data point can help you create a very personalized and frictionless customer experience.

 

• Identify new business opportunities
  Data can reveal insights that help businesses create additional revenue streams by innovating and developing products and services that meet customer demands. For instance, insurance companies can provide wealth management services along with Insurance products and services by capturing more holistic financial data of the customer.

 

• Processes improvements and increased sales
  Every business wants to maximize revenue growth. Data plays a crucial role in identifying and translating data into revenue opportunities in a competitive global marketplace. For instance, Etsy – a US-based e-commerce company – saw its number of visitors from mobile devices grow. Thus, they began optimizing their pages to make them faster, easier, and prettier from any phone. These optimizations also allowed Etsy to handle the 244% growth it had on its mobile platform.

 

• Create a first-mover advantage
  Data and analytics can help organizations respond to market changes faster. Businesses can predict future trends, identify customer behaviors, and detect new business opportunities more quickly by harnessing data analytics. This creates the potential for obtaining market advantage.

 

• Improved efficiency
  The ability to make informed decisions based on the very latest up-to-the-moment information will result in improved operational efficiency and decreased expenses.

How Celsior can help you

Celsior, a division of Pyramid Consulting, delivers business technology solutions and helps clients build a data-driven enterprise — Working together to co-create or validate a realistic plan that considers the adjacent technology considerations and brings the expertise and frameworks to get it done quickly. At Celsior, we partner with you to:

• Understand business and technology innovation.
• Build new feature capabilities, increase business agility, scale to meet market/geo demands, improve customer experiences, and disrupt the market with new products or services.
• Co-create or validate a realistic strategy and treatments of your data.
• Eliminate data silos and effectively democratize data access. The outcome is to get to a single source of truth that can unlock business insights and enable informed business decisions.
• Analyze the data and feed the results back into the business through dashboards that the executive team can access the data in a timely and self-service manner.
• Benefit your business through keeping information up-to-the-minute and accessible to business leaders.

When tasked with the decision to adopt a data-driven culture, executives often cite a lack of guidance as one of their primary impediments. Celsior with its Information Integration and Insight solution stack can help ensure business leaders understand the benefits of building a data-driven enterprise and provide a roadmap to build one.

About the Author
Anil Chorey
Global Practice Lead
Data and Cloud Solutions
Celsior
anil.chorey@celsiortech.com