Is it worth building an organizational culture based on data analysis?
2023-02-12 BI Market

Is it worth building an organizational culture based on data analysis?


Organisational culture affects all areas of a company's functioning, as well as its environment. It involves the work of individuals - their productivity and efficiency, and the level of perceived job satisfaction. Moreover, organisational culture also influences planning strategy, marketing, and sales, such as the ability to resolve corporate conflicts or the introduction of innovations. It creates patterns of behaviour and commonly accepted sets of norms in companies. Not surprisingly, it is often referred to as the 'autonomous nervous system of the organisation.'

Is it worth basing the organizational culture on data analysis?

When we think of the tools used to shape organisational culture in companies, what comes to mind first and foremost is the management style of managers and their complementary approach to lower-level employees.

We must remember that today's work is increasingly interdisciplinary and requires continuous learning and acquiring information and its practical use.

By basing the organisational culture on data analysis, we can be sure that every decision taken in the company will be based on solid pillars. There will be no room for conjecture and speculation. In their place will be a cause-and-effect relationship that facilitates understanding how the entire organisation functions. Moreover, this knowledge will be available to all company employees, regardless of which department they work in.

Data-driven organisational culture - how to achieve it?

When building an organisational culture, top-level employees and managers need to create a broader awareness of the tasks and goals facing their respective teams. It is essential that they not only know the scope of the work that needs to be done but also understand how it will affect other colleagues, other departments in the company, business partners, or customers. Every person working in a company needs to be aware of their responsibilities and the higher purpose of their work.

Based on the data, this is much simpler. This is because all information is available 24 hours a day to all company employees, regardless of where they are working from. What is more, there is data for each of the company's departments. So, for example, the sales department has access to marketing data, based on which they know what promotional activities are planned for the coming period, and, on this basis, they can select customers who will be most interested in a particular type of service or product. Such functions are fulfilled by Power BI - a data analysis tool.

To help a data-driven organisational culture succeed, executives and managers must emphasise optimising business performance with quantitative measurements. They also need to ensure that their employees can make the right decisions based on information gleaned from data analysis. Education and training are two keys to laying a solid foundation for a business culture based on data analytics.

What benefits do companies achieve from implementing a data-driven organizational culture?

Consistency can be observed at all levels in companies that have chosen to base their organisational culture on data analytics. This consistency manifests itself in the fact that employees adopt the habits of the leaders and are guided by them both in their relationships within the company and with customers. As a result, there are no haphazard decisions. Instead, every step is well thought out, based on information obtained from data analysis.

Thanks to the organizational culture based on data analysis, the goals set for particular departments of the company are clearly connected with the goals of the organization, its strategy, and its mission. Organizational culture manifests itself in what people really think, speak, and do in the context of the actions and decisions they make in their daily work. Data analysis and obtaining valuable business information on their basis create a harmonious atmosphere in companies and a sense of stability.