With concerns mounting over stubbornly high inflation, interest rate hikes, rising debt servicing costs, and technological advancements in AI — business leaders are struggling to understand the current business climate and adequately prepare for challenges that may lie ahead.
It doesn’t need to be a struggle. There is a better, proven way to get ahead of uncertainty and make informed decisions about spend, business initiatives, and growth opportunities.
“When business leaders are unsure, or lack confidence because of unknowns, they usually hit pause,” says David Fussichen, CEO of Analytics8. “But this isn’t the first time we’ve faced disruptions; it certainly won’t be the last. How you react to it, how you set yourself apart from the rest, and how you put to test your resiliency will determine how you come out of it.”
In this blog, we cover:
As the current business landscape continues to shift, change, and keep us on our toes, companies have a few options:
Maintaining the status quo or pausing without insights is a strategy fraught with risk. The reality is: the most successful companies are using data and analytics to adapt and make strategic decisions to respond to the market.
“We should have all learned the importance of agility and adaptability during the pandemic, if not before,” Fussichen says. “Now is the time to improve on it and make decisions that will produce results, not risks.”
The first step toward resilience is building teams that are versatile and capable of handling a diverse array of tasks. Companies can’t afford to have idle teams or divisions because their specific skillset isn’t currently a priority. Successful businesses today are those that foster a culture of unity toward the corporate goals and where every team member is in it together.
The second step to agility and adaptability requires weaving data and analytics into the fabric of your decision-making processes, so you are less reactive and more prepared for change.
“Data isn’t just for your analytics team,” Fussichen emphasizes. “It’s a tool that should be utilized across the organization. When data is democratized, and everyone understands its value and how to use it, that’s when change becomes less scary. That’s when you get a true culture of agility and adaptability.”
“With the right data and analytics initiatives, we can turn uncertainty into an opportunity for growth and innovation. Analytics is not always about predicting the future, but it is always about being prepared for it,” Fussichen says.
As a leader, you hold the key to propelling data-driven initiatives throughout your organization. This is especially important during times of uncertainty. This responsibility goes beyond just providing access to appropriate tools and data — it also demands cultivating the right mindset.
Cultivate a data-driven culture with curiosity, flexibility, data literacy, collaboration, strategic adaptability, and clear success metrics for thriving in a dynamic business landscape.
How to prioritize data and analytics and embed data-driven decision-making into your organization’s fabric:
“Change is a constant in business,” Fussichen says. “The landscape will continue to shift, and the businesses that embrace this reality and use data to guide them through it will be the ones that thrive.”
Read Why Now is the Right Time to Update Your Data Strategy – And How to Do It
The potential is limitless with what you can achieve with data and analytics, but your starting points matters. Focus your analytics efforts on use cases involving your customers, your employees, and your supply chain to solve new challenges prompted by an unpredictable market.
“Using data-driven decision-making better positions you for success,” Fussichen says. “Nothing gives a leader more confidence than seeing the data behind what they’re doing and knowing whether something’s working or not. The same is true for your team.”
Focusing on customers, employees, and supply chain will allow you to (1) get a better understanding of the state of your business and (2) solve new challenges prompted by the uncertainty.
Tap into customer needs, harness the potential of ‘people data’ within your workforce, and leverage supply chain analytics to unveil new revenue streams and market opportunities.
The ability to analyze these areas depends on a robust data strategy and infrastructure. Ensure your data strategy is aligned with your business reality and requirements and that your infrastructure supports agile decision-making in a rapidly changing economy.
Start with a Data Strategy Assessment to align your strategy to your business goals
Three areas impact your operational efficiency: tech, process, and talent strategy. When you know the purpose for each and become intimately familiar with how they work together, you can start to identify areas where costs can be reduced without negatively impacting performance.
“In a volatile economy, it’s crucial to make every dollar count,” Fussichen says. “Organizations must concentrate on areas that yield the highest return on investment. Data leaders need to immerse themselves and understand completely what the organization-wide goals are, but also to understand individual business stakeholders’ goals and where they overlap.”
Steer your business toward success by clarifying goals, investing in the right data tools, prioritizing training, regularly reviewing your strategy, and measuring the return on your data investments.
Here are key steps to achieve operational efficiency in your data and analytics ecosystem:
When it’s time to make your proposal for IT transformation initiatives, Fussichen says you need the numbers to back it up.
“If you can show that the initiative is going to benefit not just the company, but multiple departments, it’s the first step toward getting buy-in and cross-department support.”
Read about 5 Ways to Optimize Data & Analytics Spend
Here are some important questions that data leaders should be asking to hone their data strategies — not just during times of uncertainty — but always.
Act on the answers to these questions, and you will be in a strong position to steer your organizations toward a future where data is a source of strength and competitive advantage.
“Investing in data and analytics isn’t just about the technology. It’s about creating a culture of curiosity, adaptability, and resilience,” Fussichen says. “It’s about making data a language everyone in your organization speaks and understands. When we achieve that, uncertainty doesn’t seem so daunting, but instead becomes a landscape of opportunities.”
Talk to an expert about your data and analytics needs.