Thursday, August 6, 2020

Fact-based “Smart Actions”

. That's a big part of what data has to do - be transformed into actionable insight. 

With the exponential growth of information and frequent disruptions, many businesses across the industrial sectors can’t make the basic right, as they come with “data baggage” which costs time and money to manage data and information in terms of process, integration, performance, risk management, data governance,, etc.

 Information is only as good as you can do with it. Some people don't even understand which use-cases they can take via the help of information. Organizations are looking at new initiatives to increase revenue growth and improve efficiency, refined business insight based on reliable information is the means to end - improving decision effectiveness, and achieving high performance. To operate a highly responsive organization, besides crafting a good strategy, the management needs to make fact-based “smart actions” in a consistent way.

Predictive Action - recommend differentiated treatments to segments based on the information and some type of behavioral/attitudinal: Information plays a significant role in varying business divisions. In the operational context of many organizations, data is collected as part of important business functions such as human resources, logistics, quality control, and accounting. With digital flow, both data and knowledge are being convergent in terms of what action ensues whereas information is divergent as the decision-making process essentially is. To predict and respond to the emergent business properties and make data more “visible” for shareholders, linking data management to the multiple business domains within the enterprise and their business partners for decisions, promotions, and even chart of accounts will create a richer value return from the enterprise transaction data and improve the overall business decision effectiveness.

Information Management is the business of the entire enterprise in order to take fact-based “smart actions.” Companies that have issues with cross-functional communication and collaboration will gradually become irrelevant if they do not embrace this necessity in the modern world to encourage cross-pollination. It's critical for leaders to communicate the real value of data in clear, actionable business terms. That's a big part of what data has to do - be transformed into actionable insight. For example, when you talk to your customers, it's pretty easy to glean what they are looking for in your products/services. It is then that decides your next move, or broadly, your strategy, in light of all the other factors - especially competition, is to be implemented to out beat competition.

Institutional Action - prediction and differentiated action embedded in repeatable processes: Data, any data, is only as good as what you can do with it, no matter its volume, source, variety, rate of growth, etc. it’s important to drive data-driven behavior, it’s even more critical to embed predictive actions into repeatable business processes to improve business efficiency and speed. Driving institutional action varies from a functional level to a large-scale organizational level. Business management shouldn't just practice transactional activities, it needs to create important digital indexes, leverage good mechanisms to lead the large-scale digital transformation.

There's a wealth of existing experience to tap into in this respect. Companies can improve customer experience or make marketing campaigns based on all kinds of data. This would likely involve analyzing your existing customers to come up with a customer profile; it would also include a robust measurement strategy that creates a feedback loop to data collection, reporting, refined segmentation, etc The goal is to streamline organizational processes, direct information fluidity, take institutional actions, set performance metrics, and harness customer-centricity, etc.

Optimized Action - recommend modifications to strategy, given a finite set of resources, based on learning from predictions, measurements, etc: Predictive Analytics provides the management practice in the hope that they will somehow be easier and will make their users happy. The organizational resource is limited, so information empowered management can adjust the business strategy based on predictions and measurement, etc. They should have a process-oriented perspective, seize the opportunity to take a fresh look at relevant information, processes, evaluate their management approach, and take optimized actions.

Enterprise view and data-based analysis enable the business management to refine and optimize actions, processes, and information interactions at various levels of an enterprise influenced and informed by enterprise goals and objectives. To avoid duplication, you must also be aware of the integration of a single functional capability into a holistic portfolio of digital capabilities across all enterprises, to build unique and sustainable business advantage.

Data is invaluable, however, people are still the master to run a highly responsive and high-performance business. Having data and analytical tools don’t always provide any insight or help to take the right actions associated with their outputs. It takes the proper balance of knowledgeable people building the appropriate framework, working with varying shareholders, including customers, to develop a clear strategy, foreseeing and applying the emerging trends, and driving “smart actions” - that’s where you win the competitive advantage.


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