In the recent years, the explosion of numerous data sources has resulted in companies looking to different ways to exploit raw data for competitive advantage by creating insights that will add value to their customer offerings. In as much as exploiting such data has a number of advantages, negative effects are also abound if the collection and storage of such is not done with effective governance and privacy procedures in place. It is to this effect that companies should first and foremost develop a comprehensive Data Strategy and communicate the same with their consumers or at the very least; their shareholders.
A good Data Strategy should always be driven by the business. It should be tailor-made to the organization by being tied to the corporate vision and strategy which will provide the framework of what the business wants to achieve and how data can help to get there. This in turn means that organizations should therefore invest in smart strategies that will help focus on finding the exact specific pieces of data that will best drive the business long-term strategic growth and generate real value.
The data strategy should not only cover the information requirements of the organization, but also how the organization will incorporate governance and data management policies to keep the information secure and ensure both quality and integrity. The strategy may lay out points in how they will:
- Determine what data they will collect to define how they will use that data.
- Source and gather the data such as:
- Purchasing data
- Using internal data
- Putting in place new collection methods
- Turn the data in actionable insights by applying analytics that can inform decision making, improve operations and generate value.
- Ensure data governance by addressing data ownership, privacy and security issues to be at par with the proper legal and regulatory obligations.
An example of a data strategy document can be found on :
With the massive growth in Big Data, the importance of data across every aspect of business will increase. Those companies that view data as a strategic asset and develop data and analytics strategies are the ones that will succeed in this new data-driven world.