Data-Driven Decision Making Culture

“The more companies characterized themselves as data-driven, the better they perform ed on objective measures of financial and operational results. In particular, companies in the top third of their industry in the use of data-driven decision making were, on average, 5% more productive and 6% more profitable than their competitors” (Brynjolfsson and McAfee 2012).

The evidence is clear: Data-driven decisions tend to be better decisions. Leaders will either embrace this fact or be replaced by others who do. In sector after sector, companies that figure out how to combine domain expertise with data science will pull away from their rivals. We can’t say that all the winners will be harnessing big data to transform decision-making. But the data tell us that’s the surest bet.

Read HBR Article

Big Data: The Management Revolution by Andrew McAfee and Erik Brynjolfsson