Today’s businesses produce enormous amounts of data. Simple BI solutions are no longer sufficient for many organizations, especially when they are collecting millions or even billions of rows of data. Big data solutions can assist in tackling this data mountain, but they only represent a small portion of the overall picture. Here’s where Actionable data comes into the picture.
When we say data must be “actionable,” it refers to insights being presented in a fashion that can be used quickly to derive business choices. This means that the information must be accurately presented, displayed in the right context, and placed where those who need to see it can see it. Companies can utilize this information to make better decisions. Such data can be helpful for organizations to understand whether they’re enhancing corporate productivity and optimizing marketing initiatives in the right way.
Data that is actionable is provided in a way that can truly help people make better decisions. The information is what enables firms to act. Not all data can be used; much of it cannot. Each BI tool’s principal objective is to convert the unfiltered, raw data it gathers into usable information that fosters insight.
How can Actionable data help your company?
Actionable data can assist firms in various ways, including decision-making, product and service development, marketing strategy development, customer needs identification, revenue growth, cost reduction, and operational efficiency. Businesses are operating in the dark without meaningful data. Companies that use the correct data effectively can gain a competitive advantage.
Making data actionable is a continuous effort. Although BI systems make every effort to make data as usable as possible, end users still need to put in some effort.
What does actionable data look like?
To modify how your BI tool functions, it’s critical to understand how actionable your data is and why it is or isn’t. Something needs to be changed if your BI tool’s data cannot be used for action.
Actionable data does not always appear the same. According to its intended use and target audience, actionable data can take various forms. But, certain tips can be used to figure out whether the data your BI tool produces is usable.
Actionable data is precise.
Data must be accurate to be usable. For obvious reasons, incorrect data shouldn’t be used to drive insight. Users frequently struggle to recognize that their data is inaccurate, leading them to make poor decisions.
BI tools have numerous safeguards in place to ensure that the information reaching the end user is accurate. They include functions like data cleansing, which aids in removing outliers, incorrect data, and formatting errors, and data validation, which ensures that data is formatted in a way that a BI tool can comprehend. These tools can frequently function without human intervention, but occasionally they do.
Garbage in and garbage out is the guiding principle used in data systems. This implies that your BI tool will produce inaccurate information if your input data is inaccurate. Make sure you’re utilizing accurate data if you want your BI tool to produce accurate results.
Actionable data is obtainable.
The data should be visible to and usable by those who need it. Even though it might appear easy, doing this in larger businesses can be challenging. We advise utilizing a cloud-based program like Domo that enables workers to access information anytime and anywhere.
A BI tool should be quite easy to access this data. Many BI tools available today are sophisticated software programs that need to be used correctly by someone with technical knowledge. A simpler BI platform like Domo is perfect for businesses that want everyone in their organization to view actionable data.
Actionable data is timely.
Data should be as accurate a representation of reality as feasible. Data must be current in order to drive insights and aid users in making informed decisions. Outdated data is useless for solving problems, as the situation represented by the data does not reflect the current status of the situation.
Actionable data is easy to understand.
Data can be displayed simply for people who aren’t data professionals to grasp with the help of dashboarding and other data visualization tools. Yet, BI technologies frequently let individuals making dashboards decide how that visualization should be presented.
Data visualizations are inappropriate for the type of data they aim to depict and are all too frequently used by dashboard developers. As a result, the data and its display don’t match up. In such cases, it’s not the data’s fault that the information is difficult to grasp.
Anybody who creates dashboards must understand the best ways to show data aesthetically and statistically. Data isn’t as useful for taking action as it could be without that understanding.
How can I make my data more actionable?
The tools required by many organizations to transform data into useful insights are already in place. They possess reliable and practical BI technology, the data specialists required to use it effectively, and staff members knowledgeable enough to appropriately use the information they get.
But, very few companies truly use the data to make it useful. Here are a few tactics to improve the utility of the data your business gathers.
Data must be provided with context to be useful. Benchmarking is crucial for KPIs and other helpful indicators, enabling staff members to contrast present trends with earlier ones. Users can use different comparisons for different sorts of data to emphasize comparisons.
Also, it’s critical to consider external influences that could impact the accuracy of the data. For instance, a manager might discover that productivity measures in November decreased marginally compared to earlier months. However, it’s more likely that time off for Thanksgiving impacted the KPIs that month than it is due to some unidentified issue.
Although the context changed the insight a manager should derive from the data, it did not alter its accuracy. Context improves the overall image of the data, resulting in more insightful analysis.
Align it with your goals.
Understand the questions you want your data to answer and which data sources will be the best choices to provide the required insight. Everyone working with a BI tool must have a solid understanding of the questions to ask and the data to collect to receive accurate responses.
Asking the proper questions is made simpler by BI systems like Domo that provide powerful ad-hoc reporting features. Employees may easily pull together new data sources, analyze them creatively, and create new dashboards with ad-hoc reporting.
Make sure the right people see it.
Businesses frequently have access to useful data, but it doesn’t always flow where it should. Data must be accessible to those who can utilize it to be useful. This calls on top staff in some organizations to view their data more actively. In some cases, front-line employees require greater access to the data, without which the value of their work suffers.
Business executives are constantly looking for new ways to provide insights that make their decisions easier. Data is the foundation of every business, yet it is useless if it cannot be transformed into useful information. Businesses with superior consumer intelligence or more efficient operations will outperform your performance. Contemporary businesses require data analytics solutions that enable them to instantly produce high-quality analytics from every area of their operations without developing elaborate systems themselves. A workplace culture centered on actionable data will not only help businesses save time and money but will also provide them with an advantage over other companies in their sector.
Information And Insights
What is Information?
Information is a grouping of factual data that we can utilize. Data has been transformed and compiled so people can read and understand. Reports, dashboards, and data visualization are popular information formats.
The process of turning data into comprehensible knowledge is known as information. Analyzing and spotting patterns in the data you’ve gathered are known as data processing.
You can draw some inferences about how things function thanks to these patterns. Imagine that you take your data and give it meaning so it may be used to inform business decisions, such as finding trends, generating predictions, or selecting what steps to do next.
Let’s take, for example, and your company develops a social networking mobile app. A timeline that shows the days and months when mentions of that social app peaked or a pie chart that shows the percentage of people who mentioned it from different parts of the world are both examples of information. Similarly, a table of the percentages of favorable, neutral, and negative mentions over a specified period can also be considered information. Although this information is useful, it does not specifically explain what led to the variations in the data. Insights play a key role in identifying reasons behind the data.
What is Insight?
The meaning derived from the information collected is called insight. Deriving insight is the purpose of collecting information. It is possible to get insights by examining data and information to comprehend and come to conclusions that will help the company make decisions. These are the data’s final outputs in an appropriate format.
Insight is a more in-depth understanding of anything gained by examining facts and occurrences or transforming them into valuable knowledge that can aid your organization’s decision-making processes.
When knowledge completes a circle, insights are obtained. Without having access to the necessary information first, you cannot make an informed decision. As an extension, you won’t be able to make informed decisions in the future if those data are not linked together or properly evaluated.
Insights go beyond simply organizing facts into a tidy structure. They do more than simply summarize what has already transpired. They make it possible to use our knowledge of the past to imagine how things might change and how those changes would influence each of us individually. They also show new patterns, relationships, and possibilities.
Information & Insights: How do they work together?
A complete analytics package combines data, knowledge, and insight. In an organization, data is initially gathered in an unstructured way, then transformed into information that can be read. This information is then processed to produce insights that are extremely helpful when the company makes important decisions. If any of these are missed in the data lifecycle, it could impact how the business operates.
Business leaders are the driving force behind the future of any organization and actionable data is one of the key ingredients that help a management group make intelligent decisions at the right time and navigate their way to success. In most cases, actionable and insightful data play a major role in influencing the future roadmap of companies.
At Payoda, we beleive that data is a terrific raw material for any business. Whether you use it or not and how you use it would define whether you stay ahead of the competition or get outpaced by competitors. Suppose a company’s thought process is based on accurate and reliable actionable data. In that case, it’s bound to succeed and, in the process, save valuable time and money. Talk to our experts today to inevitably have a competitive edge over other businesses operating in the same vertical.