What are the most common data management challenges for small businesses?

Improper data entry Data duplication A lack of clarity on data model If the source/entry of data is not well managed, all the downstream processes are negatively impacted and lead to incorrect actions/outputs. A well defined process along with a documentation of solutions for top 10 most common errors will go a long way in minimizing the errors. When in doubt, reach out to the relevant SME for clarification before moving ahead with the task.

While clear data audits, and cleansing are essential, these are reactive and results of poor data architecture and standards. Data quality isn't just having accurate and consistent data, it's also about knowing what data you want, the best way to collect/store it, and how it will be used. Consider data types, required fields, and workflow automations throughout this process. It's always easier, from a quality and reporting standpoint, to use pre-set dropdowns and enumerations where possible. From here, not only can you report easier/more accurately, it reduces the possibility of inaccurate data, and allows for better workflow automations based off selected data points.

I agree with your breakdown of data quality. I find that most times for small businesses, KYCs are taken for granted. Key information about your customer's location gives you an idea of places where you make the most sales or the least which allows you to make better marketing decisions. So, whether it is not filling it out or filling it incorrectly can affect business negatively.

The most common data challenge QUALITY You need to get the The business / team to understand VALUE of data. If they understand the value and what it is used for, then there will be more effort to ensure that data entry is accurate. Ensure you have reporting built within your systems to check data quality and regularly run reports on these. Ensure data entry is a core part of the team's KPI's for bonuses etc. Showcase the power of data. The person entering the data may have no idea why it is so important. Never assume knowledge.

I've seen small businesses with potentially limited resources tackled this well by: Implement Simple Data Standards: Start with basic rules for data entry to ensure consistency and accuracy. Use Affordable Data Management Tools: Leverage cost-effective or free tools to help with data validation and cleansing. Regular Data Audits: Schedule periodic reviews of data to identify and correct errors, even if done manually. Employee Training: Train staff in data handling practices to prevent errors at the source. Prioritize Key Data: Focus on the most critical data elements for your business to manage resources effectively.

In today's world, even small businesses often attempt to leverage the best of breed SaaS solution for a specific need. That creates siloed information, data duplication, technical debt and suboptimal processes for your customers when not integrated correctly. And eventually, it will have to be dealt with. When a business is prepared to invest in the best software for a specific purpose, it should also consider as part of the same investment, an integration and automation ongoing strategy. The alternative is to compromise from day 1. Use broader suites that perhaps can do most things, even if somewhat suboptimally, or use suites that provide native and basic automation and integrations with the rest of your software ecosystem.

Consolidation of data needs to be designed well and kept as simple as possible. Don't replicate entire databases of useless data. Identify the key data that you team's require to effectively manage the relationship with your customers. You will often find that there are a few key data points that need to be integrated into your CRM and many can be summarised, rather than pulling in rows of data that will never be used and becomes challenging to support

Always start with the question: What is the business question I am trying to answer? What are the important KPI's I need to consider. If your lucky enough to have an analyst don't define data points you need, talk through the questions you are trying to answer and let them come back to you with the findings.

One of the most prevalent issues encountered by small and medium-sized businesses is the utilization of data. Although they adopt industry-standard data collection practices, they often lack the proficiency to effectively leverage this information. As data accumulates over time, managing increased volumes becomes costly and challenging. Therefore, the key lies in effectively utilizing data through: 1. Streamlining data through cleaning and formatting. 2. Developing informative dashboards. 3. Making informed business decisions guided by valuable insights.

Align your customer KPI's to the customer lifecycle - as these are terms that whole business can understand. Take the time weekly / monthly to review the data with your team and discuss what the actions will be taken off the back of these reports. Educate your team about the power of data Keep reports standardised and simple - don't let people create their own reports if you are starting your data driven journey. You will end up with random data KPI's and metrics around the business which causes even more confusion.

A well defined data dictionary can provide accurate and relevant business definitions and context for tracking metrics/KPIs. This also eliminates probable confusion between similarly named fields and makes it easier for new employees to properly understand the business. Once we are confidently using the correct fields to develop required metrics, it is easier to visualize and understand the impact. This can be helpful in designing required strategy and actions to achieve the business goals.

For a small business owner, data management starts from data mining to gathering to organising the data to create value out of it. Once this is achieved, the opportunity is immense but so are the challenges. Data can be utilised to achieve desired business objectives using CRM or other tools, be it x-sell, collection, relationship or sales. Data integrity to avoid misuse or loss can be managed by implementing ample security and cloud storage solutions.

In small businesses, CRM and data management difficulties and hurdles often revolve around corporate culture. Creating a data-driven strategy and breaking down the small business silos can be hard. The challenge is to realize that success requires both technological solutions and a cultural shift. #SmallBusiness #DataChallenges #CorporateCulture #BusinessInsights