How a unified data strategy helps improve business performance
Data drives the modern marketplace. Analysing vast amounts of information provides valuable insights into consumer behaviour and allows you to develop tactics that scale. But for a data strategy to work, it needs to be well thought out. It’s not enough to just implement a bunch of software, you need to make sure it’s going to benefit the business.
Increased competition in the market is forcing companies to increase their investment in technology. They implement sophisticated data collection and analysis systems in the hope of getting quick results. In practice, however, software constrains processes and reduces ROI. This is because of operational silos. This problem is illustrated by the concept of systems thinking. According to this concept, managers view various data processing systems as interconnected components. When professionals ignore this interconnectedness, organizations face the following difficulties:
- inconsistency across teams;
- fragmentation in the delivery of customer experience;
- reduced opportunities for revenue generation and growth.
Adhering to the concept of a unified ecosystem can significantly improve performance.
Today, most companies use similar technology solutions. The main tool is a CRM system, which also contains unprocessed data. Such a system should be seen as a strategic base that enables the structuring of incoming information. At the same time, the routing of leads takes place in isolation from the CRM, which reduces the effectiveness of the approach. The optimal solution may be marketing automation, which structures data collection and increases personalisation.
When used correctly, software solutions form an ecosystem in which each stage of the funnel becomes manageable and interconnected.
How to create a unified ecosystem
Reducing the limitations of data management will help to create an interconnected system. This requires a general rethink of how information is communicated within an organisation and processed by different departments. Moving to a unified ecosystem involves the following steps:
- Mapping data value streams. It is important to consider all information from the first customer interaction to the end of the customer lifecycle.
- Establish a cross-functional approach. It should involve service processes in different parts of the organisation.
- Implement closed-loop feedback mechanisms. This includes the use of tools to track incoming data.
- Review the incentive system. All teams must use a comprehensive incentive strategy with clear metrics for all stages of the sales funnel.
Implementing a single ecosystem requires controlled change management. The transition needs to be phased in, with risk mitigation and active engagement of all employees. Each team member must clearly understand the goals of the transformation and see their role in achieving the outcome.
