Is Your Business A Data Leader Or Data Follower?

Thank you for reading my latest article Is Your Business A Data Leader Or Data Follower?. Here at LinkedIn and at Forbes I regularly write about management and technology trends.

To read my future articles simply join my network by clicking 'Follow'. Also feel free to connect with me via Twitter , Facebook , Instagram , Podcast or YouTube .

A robust and comprehensive data strategy is essential for any business wanting its share of the $8.5 trillion that data initiatives are forecast to add to global revenues by 2027.

Businesses that can use data effectively don’t simply become more efficient and cost-effective; they grow faster, too – and establish themselves as data leaders.

According to research by Lenovo, a leader in storage and data management, those companies that are prioritizing investment in data technology and initiatives anticipate that they will grow revenue by 50 percent.

This optimistic outlook highlights the importance of treating data as a strategic asset to those organizations.

So, what's the difference between data leaders and data followers? One key differentiator is that the leaders will often initiate data strategies across multiple areas of business.

They are also more likely to use data strategies to help them achieve increasingly important ESG (environmental, social and governance) goals. This is earning them the reputational and financial benefits of positioning themselves as leaders when it comes to tackling global challenges like climate change and the energy crisis.

Measuring Success

As organizations create, store and analyze ever-growing volumes of data, the efficiency of their data strategies becomes increasingly pivotal to their success. It isn’t enough to simply hoover up all the information that you can – you also need effective strategies for transforming data into actionable insights and using it to make the right decisions.

This means it’s vital that organizations have processes in place for measuring and quantifying the effectiveness of their data initiatives.

Working with data and the advanced technologies used to analyze it – such as artificial intelligence – is expensive, both in terms of necessary spending on technology infrastructure and the training or onboarding of humans with the skills to make it happen.

It’s all too common to see businesses – desperate to keep up with the hype train around new technologies – throwing money and resources at pilots and initiatives in the hope that something will stick. This approach eschews the strategic approach of aligning data strategy with business objectives and is often doomed to failure.

One first step to avoiding these costly mistakes is to undertake a thorough assessment of your organization’s current level of maturity when it comes to data handling.

A great starting point for this is Lenovo’s Data Strategy Health Check . This is a simple online assessment tool that aims to guide businesses in evaluating where they are on the journey to becoming data leaders.

By taking five to 10 minutes to answer a series of multiple-choice questions, it’s possible to get a quick overview of whether you qualify as a leader or a follower, as well as valuable tips on what you need to do to move to the next level.

I highly recommend it to any business leader wanting to ensure their organization is on the path to data success!

Data Challenges

The significance of being “data ready” can’t be overstated. In business today, data isn’t just a resource; it's the fundamental bedrock of decision-making, strategic planning and operations.

Yet from my experience working with businesses of all sizes, I know that many still aren’t prepared for the challenges this entails. These range from vulnerability to costly data breaches, to failing to understand the shifting behaviors and sentiment of their customers.

Some of the threats include:

Facing devastating losses if data isn’t secured effectively – according to Lenovo, 60 percent of businesses close within six months of experiencing a data loss.

37% of businesses have experienced accidental deletion of vital data, often leading to disrupted business operations as well as significant reputational and financial damage.

Increased vulnerability to ransomware attacks – these are occurring at a rate of one every 14 seconds, and the costs associated with falling victim can be severe.

Failing to have an effective backup and recovery plan in place – only 55 percent of data is backed up, leaving businesses exposed to critical risks.

Outdated systems – It’s estimated that over 50 percent of companies will need to update their backup systems in the next three years. This is because existing systems will be too slow or outdated to handle the speed and scale of data needed to be "data ready."

Putting processes in place to mitigate these risks is one element of being "data ready," and more information on effectively navigating these challenges (and many more) can be found in Lenovo’s eGuide Storage and Data Management: The Uncomfortable Truth .

Becoming A Data Leader

The evolution from data follower to data leader is a challenging one to make, but with careful planning and a commitment to strategic thought, it’s one that I believe any organization can be capable of.

It’s all too easy to become blinded by the hype and excitement around flashy new technologies that promise to change the world. But the true path to success lies in aligning data initiatives with your organization’s core business objectives, while understanding your current level of data maturity, and the steps that have to be taken to move beyond it.

Challenges of security, technology and infrastructure can't be ignored, and the consequences of inaction in the face of threats such as data breaches, accidental data loss, and ransomware are severe. Resources like Lenovo’s Data Strategy Health Check can be critical to navigating these complexities and ensuring your organization is “data ready”.

Ultimately, as in all areas of life, becoming a leader in data is about using experience and insights to tackle these challenges, drive innovation, and out-play competitors. Businesses that hone their capabilities in these areas will be well placed not just to survive but to thrive in the data and AI-driven world of tomorrow.

To take Lenovo’s Data Health Assessment and to find out more about Lenovo's storage and data management solutions click here: https://lenovostoragecentral.com/data-healthcheck-quiz/?utm_source=article&utm_medium=paid&utm_campaign=influencer-mkt-bernard&utm_content=data-health-check-quiz

About Bernard Marr

Bernard Marr is a world-renowned futurist, influencer and thought leader in the fields of business and technology, with a passion for using technology for the good of humanity. He is a best-selling author of over 20 books , writes a regular column for Forbes and advises and coaches many of the world’s best-known organisations.

He has a combined following of 4 million people across his social media channels and newsletters and was ranked by LinkedIn as one of the top 5 business influencers in the world. Bernard’s latest book is ‘Generative AI in Practice ’.