Data Governance: What is it and why is it so important?
For countless reasons, 2020 has been a year like no other. For digital transformation, it has sparked a new era - one that many believed was decades away. With the increased demand for digital, comes the increased demand for analytics – which has impacted almost every sector, if not all.
So, how does your business handle its data assets? Having a data platform in place and adjusting how it is governed could be critical to the success of your business. So, I wanted to take a little time to discuss what data governance is and why it is so important to your business.
What is data governance?
Data Governance refers to the collection of practices, processes and compliance policies that dictate how an organisation handles its data assets. It’s not just data management, it’s an entire framework of strategies and rules that ensure data quality, legal compliance and that the business outcomes are supported.
A data governance team will design, implement and enforce the data policies and standards of the data governance framework. They are there to ensure that data is of good quality, that it is handled correctly, and made accessible to be utilised by the wider business.
Does my business need it?
Chances are, your business is doing some sort of data governance already. We all must abide by data privacy regulations - making sure that any data collected is stored securely and doesn’t get misused – but is your business utilizing data collected to optimise service offerings and inform business decision making?
How can a data governance framework support your business? In addition to ensuring that all data is handled consistently throughout your business, strategizing the most optimal use of your data will position you well ahead of your competitors; you can use data to predict trends, assess the market and how your customers are reacting, and respond accordingly.
Data Quality and Analytics
An effective data governance framework will provide reliable data and analytics that can not only be used to inform business-critical decisions but will also enable you to analyse business performance, improve operational efficiency, and unlock potential strategic insights.
Machine learning and AI have boomed this year and they both rely heavily on data quality, this means that data governance is becoming increasingly important. Machine learning and AI enable you to utilise the volumes of data that you have already collected to identify patterns in behaviour.
Lockdown has encouraged many businesses to invest in their online presence and redirect physical custom online, which in turn has highlighted the requirement for data analytics; to track consumer trends and the ROI of marketing campaigns. Having a data analytics specialist on board who can process and analyse raw data and consult/advise according could be what gives your business a competitive edge within the market.
The amount of data that businesses are managing has grown exponentially and, as a result, the complexity of data regulations is growing too. Whilst you are utilizing the data that you have already gathered, your business must ensure that you are abiding by the latest privacy laws and legislations, else you risk being hit by hefty fines and lawsuits.
An effective data governance framework will ensure that procedures around compliance are adhered to and that your business meets the demands of government regulations; it will cover who is responsible for each stage of the life cycle of your data, where and how your data is stored, who has access to it and who will enforce the rules for the deletion of data.
The pandemic has sparked a huge digital storm, and organisations may not be in a position to keep up with the huge shift in digital demand. As a result, here at Gleeson Recruitment Group, we have seen a surge in hiring for data scientists and analytics personnel; this comes as no surprise with the increase in demand for digital. If hiring in data analytics is something that your company is considering, you should give me a call or drop me a message.
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