Data is a source of intelligence for problem solving. Relevant data offer concrete evidence that leaders can use to guide decision-making. Managing a business in an evolving economy, it is beneficial to glean for insights from external and internal data. Data literacy is a critical skill that employees need to have.
Data literacy is the ability to identify which data points are relevant and interpret results in proper context. Fortunately, one doesn’t need a data science degree to become data literate. To build a data-literate workforce, there are three steps to develop the skill.
- Use relevant data
In order to make good decisions, it is advantageous to look at relevant data. Irrelevant data is noise that misinforms and steers you in the wrong direction.
Train employees on the ability to identify data that are relevant to an issue on hand.
For example, late delivery of materials to a construction site.
Ask the purchasing agent what data she needed to avoid late deliveries. Her response would include material items, quantities, and delivery date sent to her one month before the delivery date.
For the project manager, he needed to be diligent in providing these data early enough to get materials on site on-time.
As many people are involved in a construction project, the training is on getting clarity on who is responsible for providing timely and accurate data. Make the list as concise as possible to eliminate unnecessary data. Less is more.
- Interpret results in proper context
Without context, data don’t have meaning. Putting data in the proper context tells a meaningful story.
The training is on translating data into a useful message to support a choice. This is a reasoning skill that incorporates supporting data to explain a situation.
Using the above example for the construction company, the purchasing agent would use the data she identified to illustrate the impact on the crew when the project manager didn’t provide the data by the cut off date.
The direct impact motivates the project manager to watch the deadline closely. As he is accountable for the project schedule, late deliveries affect not only his performance but also the overall project schedule.
- Practise with discipline
With the knowledge on identifying relevant data and interpreting data in proper context, you need practice to hone the skills.
To get the approach widely adopted across the organization, it is crucial for managers and senior leaders to be actively engaged. Their participation in demonstrating the use of data to guide decisions builds the discipline to embrace data literacy.
For the construction company, the purchasing manager would have his team report on material deliveries every month. Engage in a conversation to use data for issues resolution. The purpose is to provide a forum for team members improve data literacy. His involvement reinforces that using data to support choices is a company practice.
When every manager in the business does the same with discipline, it would become a standard that everyone embraces.
Data literacy is using relevant data to tackle problems and make informed choices. It is a trained skill. As human nature is geared to solve problems, developing a data-literate workforce is viable. The end result is a powerful engine with collaborative wisdom.
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