Using Data and Analytics to Improve the Organization
Harvard Business Review published an article called How to Integrate Data and Analytics into Every Part of Your Organization. To have a successful D&A function, the article states “D&A should be the pulse of the organization, incorporated into all key decisions across sales, marketing, supply chain, customer experience, and other core functions.” This is like the “IT “Is” the Business” approach that we read about in The Built-to-Purpose IT Organization. The “IT “Is” the Business” approach to D&A will be effective only if the entire organization supports the D&A strategy.
I think that building a strategy about how D&A will be used to improve the organization and getting top leadership on board with that strategy is an effective way to implement D&A in an organization. How to Integrate Data and Analytics into Every Part of Your Organization says that “developing a strategy across the entire enterprise that includes a clear understanding of what you hope to accomplish” is the best way to build effective D&A capabilities. Communicating this strategy to top leadership is the best way to get the entire organization on board with the message. Once top leadership adopts a strategy, the rest of the organization will follow.
Companies can optimize business outcomes by incorporating D&A with teams of data and software engineers who are skilled in the use of big data. Companies should measure the ROI of incorporating a D&A function in their organization and implement one if it is feasible. What types of companies can benefit from the implementation of a D&A function? How accurately can the ROI of a D&A function be measured?