Data Reduces Uncertainty and Drives Better Decisions

Data is a powerful tool that can help reduce uncertainty and drive better decisions. In today's data-driven world, decision-making based on data has become increasingly important. By analyzing data, organizations can gain valuable insights into their operations, customers, and markets, which can lead to better decision-making and more informed business strategies.

78% of Indian Business Leaders Believe Data Reduces Uncertainty and Drives Better Decisions and 8 in 10 Indian business leaders say data is critical in decision-making at their organisation today. However, they also cite challenges in using it — 38% of business leaders lack understanding of data because it’s complex or not accessible enough.

One of the key benefits of using data to make decisions is that it can help reduce uncertainty. When faced with a decision, there is often a degree of uncertainty involved, as the outcome of the decision is unknown. However, by gathering and analyzing relevant data, decision-makers can gain a better understanding of the potential outcomes of their decisions, reducing the level of uncertainty and increasing the chances of making a more informed decision. It has found that, while companies agree about the advantages of using data, there’s a clear disconnect from how they’re actually using it in practice.

Today, businesses are facing headwinds and data can help solve these critical challenges as it enables faster, smarter decisions. Hence, data can also drive better decisions by providing insights that might not be apparent otherwise. By analyzing large amounts of data, patterns and trends can be identified that might not be immediately apparent. These insights can be used to make more informed decisions and develop more effective business strategies.

Businesses need to truly become data-driven, starting at the top in order to uncover opportunities to grow, while finding operational and cost efficiencies. Going forward, 85% of companies are planning to continue or increase spending on data skills development and training for employees.

The secret to driving true insights is marrying data with analytics. A combination of data, analytics, and the necessary data skills enables companies to maximise their technology investments and uncover opportunities that drive business strategy and strengthen customer trust.

Finally, data-driven decision-making can also help organizations make more objective decisions. By relying on data rather than intuition or personal bias, decisions can be made based on facts rather than opinions, leading to more objective and accurate decision-making.

Dr. Deepak Kumar Sahu, President & CEO, VARINDIA