The Data-Driven SMB

This is the first article in a 5-part series, providing insight, advice, and guidance to small and medium-sized businesses, on how to become more data-driven in an increasingly digitalised economy. Complete our live benchmarking tool to compare your approach to data and analytics with small and medium businesses from across the UK.

 

During what continues to be the most unprecedented period of uncertainty for the global economy in more than a century, the power of data is proving transformational for many organisations across the UK. From accurate forecasting and scenario modelling, to understanding changes in consumer-behaviour and shifts in employee working habits, the way organisations manage their data has become a key differentiator between those who have remained operational during the pandemic, and those who have unfortunately succumbed to it.

 

The harsh reality of this has hit few harder than small and medium-sized businesses (SMBs), many of whom have been forced to accelerate their digital transformation initiatives as a means of survival. As a result, many business leaders have had to rethink their approach to decision-making, in a more contextual, connected and continuous manner, driven by data.

 

In fact, a recent Gartner report¹ found that 65 per cent of business decisions being made today are significantly more complex than they were two years ago, with expert analysts warning that the current state of decision-making is unsustainable.

 

Why is this?

 

Historically, decision-making among many business leaders has been based on gut feeling, with two-thirds of organisations stating their decision-making process is rarely data-driven². This has stemmed from multiple factors, ranging from a lack of data literacy and in-house expertise to limited investment into new technologies which effectively manage the proliferation of data – with the C-level preferring to allocate resources elsewhere.