What is Data Driven Decision Making?
Data-driven decision making is the practice of collecting data, analyzing it, and basing decisions on insights derived from the information. This process contrasts sharply with making decisions based on gut feeling, instinct, tradition, or theory. Data-driven decisions are more objective and can be easily evaluated according to their impact on metrics. The 5 stages toward a data driven work environment include:
Data Denial
Organization starts with an active distrust of data and does not use it.
Data Indifference
Company has no interest in whether data is collected or used.
Data Aware
Business collects data and may use it for monitoring, but does not base decisions on it.
Data Informed
Managers use data selectively to aid decision making.
Data Driven
Data plays a central role in as many decisions as possible across the organization.
So . . .
What stage is your company in?
