Good ideas may be a dime a dozen, but the best ideas are golden. The idea of the insight-driven organization (IDO) is quickly catching hold, adding new value to tried and true processes, as companies realize the intrinsic value of making strategic decisions backed by analytics and data-driven insights. The IDO embeds analysis, data, and reasoning into the decision-making process, every day.
The promise of the IDO is easy to understand: Imagine an entire organization taking advantage of data-based insights to drive large and small decisions, everywhere in the business, all the time. Most companies have developed pockets of analytics-driven capabilities; in the IDO, data-driven insights become embedded into day-to-day processes.
What led to the rise of the IDO? Advances in behavioral science are allowing us to better understand how data-based insights can improve human decision making, resulting in decisions that are more accurate, complex, and consistent than those made by intuition or gut feel alone. When humans augment their experiences and knowledge with a stream of analytics-driven insights, the impact on the value of decisions can be extraordinary.
As organizations have become proficient at collecting and managing data, the next challenge is applying analytics to realize real value. As more and more data continues to be collected—from social media, sales, and customer records, even from products themselves through the Internet of Things (IoT)—the opportunity to find valuable insights through analytics is ever-expanding.
Many companies are making great strides in terms of analytics effort. Yet, truly becoming an IDO requires scaling the most effective projects across the organization, allowing analytics to have an even greater business impact as insight-driven decision making becomes second nature. Also, adapting solutions to be repeatable in similar or identical contexts helps bring a production paradigm to the IDO.