Building Your Data Strategy Foundation: Assessment and Framework
Chances are your organization already has a data strategy… or claims to. We’ve had clients go so far as to have motivational word cloud posters about their new data strategy. When asked to explain what their strategy was, however, there were no volunteers. Most have some variation of “we’re moving everything to the cloud” or just “Snowflake.” Something is better than nothing, but most often these initiatives fail for the following reasons.
The Organization Feels Like a Data Strategy is Just a “Tech Team” Thing
A data strategy is your organization’s deliberate plan for leveraging data to achieve business objectives. It’s not about technology for technology’s sake; it’s about aligning your data capabilities with what your business needs to accomplish.
At best, focusing on technology will result in a really cool set of tools that cost more than they deliver value. At worst, your favorite hyperscaler salesman becomes your largest shareholder.
Data strategies are best built from the top down. The technical details come later and will need to change over time. More on this in later installments.
The Data Strategy Isn’t Agreed Upon by All Members of the Organization
Another common situation we’ve seen is leadership shaking hands with a vendor, imposing their technical solution on the rest of the organization, and calling it a data strategy. While the strategy should be top-down, the technical details need to be driven by the people keeping the lights on. They know where the duct tape and bailing wire are, and they know how much money and time it would take to do what a vendor promised. Similarly, non-technical team members should be driving metrics and priorities since they know what data makes the most impact.
We’ll dig into the cultural aspects of a data strategy later in the series, but the most damaging outcome of this pattern is that team members don’t see their place in the plan, feel threatened, and resist.
A solid data strategy contains input and alignment from the entire organization. Implementing a new strategy always starts with enthusiasm but will stall without clear direction and a unified effort.
The Data Strategy Isn’t Complete Enough to Be Actionable
As we mentioned above, a “data strategy” is often a label we put on a single technical decision or vendor relationship. In contrast, a solid strategy should cover the following bases:
- Data Governance: The rules of the road. Who owns what data, who can access it, and how decisions are made. Privacy and security.
- Data Quality: Garbage in, garbage out. How accurate, complete, and trustworthy is your data?
- Data Architecture: Your technical foundation. How data flows through your organization, where it lives, and how systems connect.
- Analytics Capabilities: How you transform data into insights, from basic reporting to advanced AI/ML.
- Data Skills and Culture: How does your organization develop skills and competencies in data literacy to become more data-driven?
An important first step to addressing each of these areas is to assess where you are today. Ask yourself (and your team):
- How easily can people access the data they need?
- Do we trust our data enough to make important decisions with it?
- Are we spending more time searching for and cleaning data than analyzing it?
- Do our data initiatives align with business priorities?
- Do we have the right skills and tools in place?
- Do we have the right controls and protections in place to keep our data safe?
The more honest you are in your answers, the easier it will be to build a clear path forward, matching your organization’s maturity, resources, and ambitions.
In our next part, we’ll explore how to turn this foundation into an actionable roadmap that moves your organization from data chaos to data clarity.