Data driven decision making business is the process of using customer, website visitor, and prospect information to optimize experiences, personalize communications, segment audiences, and make predictions about future behavior.
Traditionally, the marketers have worked on assumption and generalization – but often, this leads to wasted time and budget and requires some of the major trial and error methods. Instead, data-driven decision-making relies on the qualitative and quantitative data to inform decisions; delivering stronger results and connections, eliminating guesswork, and revealing the best performing channels to enable budget optimization.
5 Steps to get started on Data-Driven Decision Making
Set meaningful goals
This is one of the very first and basic step in becoming more data-driven is making a conscious decision to be more analytical and setting goals. Establishing realistic Key Performance Indicators (KPIs) and metrics can get your organization up for success. Identifying the business questions that you want to answer to achieve your organizational goals will not only make the next steps more structured but also reduce wasting resources.
Once you have all the necessary goals set, the next step is to collect the right data. Be prepared to collect the raw data from the various sources and once you have an idea of the breadth of data sources, start the process of cleaning and data preparation. Some sources you can find a goldmine of data are Excel and CSV files, surveys, customer feedback systems, website analytics, helpdesk ticketing system, and social media analytics.
Once you have the appropriate data you need, the next steps are to take a look at the historical data and try to identify trends or patterns. Using a powerful business intelligence system can help to make the extraction of meaningful insights and analytics report a more seamless experience? Visual elements like graphs, charts, can help the team more effectively see and understand trends and outliners. You can even compare data over the last few quarters to see what call wait times look like or how many abandoned calls have affected the CSAT score.
Draw Conclusions and Strategize
Visualizing your data is crucial to DDDM as it brings life to your findings. Using a stacked bar chart for comparative analysis or a map chart data visualization to see what areas of the country you get most tickets from can help you to find the latest trends that can help to answer to longer wait times. With the help of these quantitative analytical reports, you can create a stronger and data-backed plan of action to put your decision into practice. It is also essential to foster an environment for collaboration, hence sharing your dashboards and reports are imperative.
Measure Success and Evolve
The process of being data-driven does not end at only drawing conclusions. Great leaders learn from their efforts and initiatives. They measure both failures and successes. With the help of imperative data-analysis and repeating all the above steps, you can easily use data to create new and better KPIs or set higher benchmarks for the existing ones.
Related : 7 Excellent Decision Making Techniques
Closure – Data Driven Decision Making
With a goal to successfully move towards the initiatives of digital transformation, companies need to do their due diligence and make data their best friend. If embraced by everyone in the organization, real time data become a crucial enterprise asset. After all, nothing is more persuasive than hard facts when it comes to the decision making process. While being getting started on the data-driven business decision-making journey can seem daunting at first but with the help of a great team and systems, it could be the technique you need to fuel up the growth.
(The images used in the post are extracted from unsplash)