Why Your Data Sucks (and What to Do About It)

Get in touch

Why Your Data Sucks (and What to Do About It)

Kade Brewster • Sep 19, 2023

You probably have bad data...there, we said it. But there is a solution!

Data has become a cornerstone of business success, one that cannot be ignored, delayed, or unutilized any longer. Small businesses, just like large corporations, rely on data to make informed decisions, understand customer behavior, and identify growth opportunities. However, not all data is created equally, and many small businesses find themselves struggling with poor-quality data that hinders their progress.

So how do you know if your data sucks? We’ve outlined the risks, causes, and steps to improve below. Use it as an assessment with your team to analyze the quality of your data, and let us know what was most helpful to you at the bottom of this article.

The Pitfalls of Bad Data

Before delving into solutions, let's understand the implications of bad data for small businesses. There are a number of pitfalls that businesses often stumble into thanks to inaccurate or incomplete data. For business owners, failing to identify and correct these issues could completely stunt their growth as an organization.

Misleading Insights

Poor-quality data leads to inaccurate analysis and misguided decision-making, potentially resulting in missed opportunities or costly mistakes. A growing business cannot operate on incorrect information, thus it’s likely that this problem holds thousands of businesses back every single day. It also leads to…

Damaged Customer Relationships

Incorrect customer information can lead to communication errors and frustration, damaging your reputation and customer trust. Customers purchase from people, not companies. This is true today more than ever before. With so much information that customers are forced to deflect every time they open their phone or email, they want to give their business to people that understand who they are. Incorrect information inherently prevents your business from excelling in this area.

Inefficiency

Incomplete or disorganized data can hinder day-to-day operations, making it difficult to manage inventory, track orders, or forecast demand effectively. Data governance is one of the most critical elements to the growth and sustainability of a business. Proper data governance helps combat inefficiencies caused by missing or disorganized data.

Lost Revenue

All of this funnels to your P/L. Inaccurate pricing or billing information can lead to revenue leakage, impacting your bottom line. What businesses fail to realize is that corner cutting or lethargy in data management can have real consequences.

Why Your Data Might Suck

We’re all on the same page about the issues stemming from bad data, but you want to know where these errors are occurring. Here are some of the most common causes of incorrect or incomplete data.

Lack of Data Governance

Without proper data governance policies, multiple sources of data can result in conflicting information and confusion. A lack of clear ownership and accountability can lead to data discrepancies. We broke down why data governance is so important in this short video.

Data Entry Errors

Manual data entry is prone to mistakes, typos, and inconsistencies, especially when dealing with a high volume of information. Simple human errors can lead to significant consequences, affecting the quality of your data. The implementation of standard operating procedures can help with eliminating these errors (more on this in a minute).

Siloed Data

When different departments or systems don't communicate effectively, data becomes fragmented and inaccessible, hindering comprehensive analysis. Siloed data prevents a holistic view of your business.

Insufficient Validation

Neglecting data validation processes allows inaccurate or incomplete data to enter your system undetected. Without proper checks, errors propagate throughout your databases.

Outdated Systems

Legacy software or outdated technology can limit your data management capabilities and hinder data integration. Incompatible systems can create bottlenecks and prevent seamless data flow.

Steps to Improve Your Data Quality

Establish clear data definitions, standards, formats (Standard Operating Procedures), and guidelines for data entry, ensuring consistency across your organization. By having a uniform approach to data, you keep your team on the same page at all times. Consistency with your standards leads to the reduced likelihood of errors. When building a data dictionary, it’s important to include, at the very least, three critical components to each definition.

The data element/metric - what the metric is physically named
The business definition - How does the business define and refer to the metric
The technical definition - The systems and fields from specific tables that are used to define the metric

Implement Data Automation and Validation

Use automation tools to streamline data collection and reduce manual data entry, minimizing human errors.You should also set up validation checks to identify and correct errors at the point of entry, minimizing the chances of inaccurate data infiltrating your systems. Automated validation tools can catch discrepancies before they cause issues.

Integrate Systems to Scale

Implement integrated software solutions that allow seamless data sharing between departments, eliminating data silos. When systems communicate effectively, your data becomes more coherent, valuable, and relevant to each operation. There's a good way and a best way to integrate your systems if scaling your business is a goal. As your business grows, the number of systems to support your business does too. Establishing a centralized data warehouse that integrates with all of your core systems is the best way to ensure you maximize your data environment and productivity as the business scales.

Conduct Regular Audits

Regularly review your data for inaccuracies, duplicates, and inconsistencies, and clean up your databases accordingly. Scheduled data audits help maintain data quality over time.

Provide Training

Educate your team on the importance of data quality and proper data handling procedures. By raising awareness and skills, you empower your employees to contribute to data excellence and continue pushing the business towards your goals.

Taking the Next Step

In the competitive landscape of small business, data quality is paramount. While poor-quality data can hinder progress and erode potential, a concerted effort to improve data practices can yield transformative results.

By addressing the root causes of bad data and implementing robust data management strategies, small businesses can harness the true potential of their information assets, fueling growth, and driving success in an increasingly data-driven world. Remember, the journey to better data quality begins with a single step, and our team is ready to help you act.

Brewster Consulting Group is equipped to partner with your organization and answer all of your questions surrounding data quality. If you’re looking for a solution that can be as personal as an employee, and yet as versatile as a larger organization, our team is ready to help.

Schedule a conversation today and let’s learn how we can drive results for your business.

< Older Post Newer Post >

The Crucial Role of Measurable KPIs in Project Management

By Tim Lee • 22 Dec, 2023

For businesses that want to scale and grow, the ability to measure and evaluate progress is vital for achieving an organization’s goals and ensuring its sustained growth. In this blog, we'll delve into the importance of having measurable Key Performance Indicators (KPIs) with tangible outcomes, and highlight the repercussions that neglecting this fundamental practice can have on your team, your company, and your overall success. The Pitfalls of Unmeasurable Outcomes Imagine navigating a ship without a compass – the result is a directionless journey fraught with uncertainties, during which no one knows if they’re on the right track or in what ways they could course-correct or improve. This is the reality, whether it’s obvious to them or not, that all companies lacking measurable outcomes and clear goals face the risk of. Some are better at ‘faking it until they make it’ than others, but sooner or later the unpreparedness and lack of proactivity that mark these groups will make itself known. Without a compass to guide them, organizations may struggle to understand their performance, leading to wasted resources, missed opportunities, and the potential for project failure. The Costly Consequences of Unorganized Goals Consider Company X, which embarked on a marketing campaign without establishing specific, measurable objectives. Without clear metrics, the team found it challenging to assess the campaign's progress and success. While they had no insight into their success, valuable time and budgets were squandered and the company failed to capitalize on potential market opportunities that they otherwise could have had they been more organized and prepared. This scenario illustrates the critical need for measurable outcomes to guide decision-making and optimize resource allocation. The Power of Measuring Results On the flip side, organizations that embrace measurable outcomes and lean into the valuable data they can derive from them are equipped to make informed decisions, adapt to changing circumstances, and thrive in the competitive business landscape. Take Company Y as an example, which implemented a project management system that tracked and measured key performance indicators at every stage within a major year-long project. This project required several teams to work interdependently, which meant many moving parts. Knowing this, Company Y created several workflows that allowed for progress tracking, data collection, and more efficient collaboration. As a result, they could analyze data in real-time, identify bottlenecks, and make timely adjustments. They knew where they were, what was working, and what they needed to do to get better. This proactive approach not only enhanced project efficiency but also enabled the company to make data-driven decisions that positively impacted its bottom line. Key Performance Indicators for Small Businesses Now that we've established the importance of measurable outcomes, let's explore some Key Performance Indicators that all small businesses should track to ensure improvement and growth. Customer Acquisition Cost (CAC): Knowing how much it costs to acquire a new customer helps businesses allocate marketing budgets more effectively. Customer Lifetime Value (CLV): Understanding the long-term value of a customer enables businesses to prioritize customer retention strategies. Project Timeline Adherence: Tracking project timelines ensures timely completion, helping small businesses build a reputation for reliability. Employee Productivity: Monitoring individual and team productivity ensures optimal resource utilization and identifies areas for improvement. This could include Revenue per Employee, Profit per Employee, or a number of other metrics. Return on Investment (ROI): Calculating the ROI of various initiatives helps businesses focus on activities that generate the most significant returns. Tracking KPIs can be a daunting task, especially for small businesses navigating the complexities of project management. Brewster Consulting encourages businesses to prioritize measurable outcomes and clear KPIs, while helping them create tailored solutions to streamline the tracking, analysis, and solution-creating process. By doing this, companies can steer their projects with precision, avoid the pitfalls of unorganized goals, and position themselves for sustainable success and growth over time.

The 5 Keys to Building a Project Management Office: A Guide

By Tim Lee • 22 Dec, 2023

Project Management - we’ve heard this broad term used by almost every company, especially in the last few years; but what does it actually mean, and better yet, how can it actually be put into practice to help your company succeed? At Brewster Consulting, we partner with businesses of all sizes in navigating the complex terrain of project management. In this blog, we will cover a few basics that we feel are pivotal attributes that mark a successful Project Management Office (PMO). 1) A Robust Project Intake Process At the head of any successful PMO lies a robust project intake process. This process acts as the gateway for project initiation, ensuring that only projects aligned with the company's strategic objectives and overall mission gain approval. Brewster Consulting advocates for an objective and repeatable intake process, one that stands the test of time and promotes consistency in decision-making. A repeatable process with a well-defined sequence of steps that can be easily replicated not only saves time but also ensures that every project, regardless of its scale or complexity, undergoes the same scrutiny and evaluation. Meanwhile, objectivity guards against subjective biases that may cloud judgment or cause a team to become unfocused. By helping them to establish clear criteria for project evaluation, Brewster Consulting empowers organizations to make informed decisions based on project merit, aligning projects with the overarching goals of the company. 2) Objective Prioritization Once projects are in the pipeline, the next crucial step is prioritization. Brewster Consulting advocates for an objective approach to prioritization, focusing on criteria such as strategic alignment, resource availability, and potential impact on the organization. This ensures that projects that are deemed to be the most impactful are tackled first and are given the priority and resources that could have gone to other projects had the prioritization process been less streamlined or less organized. Objective prioritization prevents the arbitrary ranking of projects and promotes a data-driven, decision-making culture within the organization. Brewster Consulting provides the tools and methodologies needed to objectively assess and rank projects, allowing companies to allocate resources efficiently while also maximizing their return on investment. 3) Standardized Method of Implementation When most people think about Project Management and a PMO, Implementation is immediately where they go. Brewster Consulting emphasizes the importance of a standardized method of implementation to streamline project execution according to PMI best-practices. By establishing standardized processes, companies can reduce the risk of errors, enhance collaboration, and accelerate project delivery. Brewster Consulting works with organizations to develop customized project management methodologies tailored to their unique needs and resources. This ensures that teams across the organization are on the same page, adhering to best practices and driving projects to successful completion. For small businesses, this aspect is especially helpful to ensure that resources are being utilized as efficiently and effectively as possible. 4) Nimble Change Management Change is inevitable in the realm of project management, meaning that effective change management is essential for smooth project delivery. This involves not only anticipating and managing resistance, but also proactively communicating changes to all throughout the project lifecycle. Brewster Consulting collaborates with organizations to develop comprehensive communication plans that address the needs of stakeholders at every stage of the project. By fostering a culture of transparency and open communication - pillars of effective Project Management - organizations can navigate change with confidence, ensuring that projects stay on course despite the inevitable twists and turns. Effective Change Management needs to be creative and exciting for ownership and buy-in to take place. Brewster Consulting employs creative tactics for Change Management including round table discussions, open office hours, and other means to ensure the change is adopted and supported. Emails and weekly project updates are good, but they’re not going to get you the buy-in you need long-term. You need to get creative. 5) Accurate Results Measurement Results measurement may be the most vital piece of a PMO. Establishing strong and consistent KPIs, navigating how best to analyze the data from projects, and then learning from and acting on said data is paramount to an organization’s success on any project. For companies both small and large who want to make the most of their resources, complete projects efficiently and successfully, and develop workflows that allow for constant improvement, results measurement cannot be ignored. This element of the PMO journey encompasses all of the other components discussed above - Brewer Consulting is passionate about coming alongside businesses and helping them continuously refine their project management processes. Building a Project Management Office is an outstanding strategic investment in the future of any organization. Brewster Consulting is passionate about guiding businesses through the intricacies of project management, providing the framework above to aid in creating and maintaining a standard of excellence for your process. Click here to see Brewster Consulting’s COO, Tim Lee, talk about these five keys.

The Future of PMOs: Driving Innovation, Agility and Value

By Tim Lee • 22 Nov, 2023

For business owners and founders feeling stuck in your data strategy, the evolution of the project management office (PMO) provides hope. By partnering with a forward-thinking PMO implementation partner, you can break free of rigid project management models to embrace agility, innovation and value creation.

The Strategic Role of the PMO in Driving Business Objectives for SMBs

By Kade Brewster • 14 Nov, 2023

The Project Management Office has evolved from a purely administrative function into a strategic driver of business objectives. While larger enterprises have embraced strategic PMOs, many small and midsize businesses assume they lack the resources for robust project governance. However, implementing even basic PMO capabilities can provide huge value to SMBs by aligning projects, improving visibility, and driving ROI. Here are key ways SMBs can leverage PMOs to enable growth.

The Strategic Advantage of a Fractional Business Intelligence Manager

By Kade Brewster • 30 Oct, 2023

For ambitious small businesses looking to grow, making data-driven decisions is no longer a “nice-to-have” - it is a competitive necessity. However, many companies lack the expertise and resources to implement an enterprise-grade business intelligence (BI) program that transforms data into strategic insights. Hiring a full-time BI manager or team is costly and often exceeds the company’s needs. This is where partnering with a Fractional Business Intelligence Manager can provide tremendous strategic value.

Your Guide to Customer Journey Mapping for Small Businesses

A Comprehensive Guide to Customer Journey Mapping for Small Businesses

By Kade Brewster • 16 Oct, 2023

Frustrated by your lack of insight into your customer's behavior? Maybe you're struggling to understand where you win or lose customers on your website. It's time to invest in customer journey mapping! Our complete guide walks you through each detail and enables your small business to feel confident about winning more customers with each visit to your site!

A Project Management Office can help your small business be productive and efficient

Empowering Small Businesses with PMO Implementations

By Tim Lee • 12 Oct, 2023

Do you feel like you've run out of bandwidth? You’re in a constant state of change and evolution, all while competing with other companies who may have more resources and larger budgets. In order to keep up with your priorities and continue to scale your business, you need a Project Management Office (PMO) to manage organizational assets and opportunities. In this article, we’ll explore what a PMO is and why it is such an asset for growing businesses.

Building a Data Dictionary for your Small or Mid Sized Business

By Kade Brewster • 04 Oct, 2023

Is your team totally aligned on procedures and KPIs? How do you know if they are? Data Dictionaries are a critical component of the growth strategy for successful businesses. In this article, you'll learn what a Data Dictionary is, how you can build it, and what benefits your business experiences as a result.

hospital staff know they can operate efficiently thanks to data optimization

Healthy Data, Healthier Futures: PMOs' Impact on Healthcare Performance

By Tim Lee • 12 Sep, 2023

Data analytics plays a pivotal role in the healthcare industry by transforming vast amounts of medical and patient data into valuable insights that drive informed decision-making, improve patient outcomes, and enhance operational efficiency. Learn more about how healthy data leads to healthier futures and better patient care.

Choosing the Right Data Analytics Solution for Your Small Business

By Kade Brewster • 15 Aug, 2023

There are so many solutions to help your growing business with data analytics, but which one is right for you? Our team of experts offers this guide to help your team select a solution that will align with your budget, be user-friendly, and drive your business closer to your goals.