Data literacy: without data literacy there is no data culture

6
min
Created in:
September 8, 2022
Updated:
5/1/2024

Data literacy is the ability to use data by reading, managing, analyzing and arguing through it.

And data culture is a complex set of actions, knowledge and operations that makes a company's collective consciousness aligned to value, encourage and disseminate the use of data for decision making.

Putting things together, we have that data literacy and data culture are two interdependent subjects that are equally important to each other: the first promotes and sustains the second, and the second does not exist without the first.

These are two concepts that involve processes in a long and eternal journey, which generates several benefits at the beginning of the path, believe!

Therefore, if you have a small, medium or large company, in any field, and you already understand that the entire organization needs to learn how to use data, this article will certainly help with this evolution.

Your company's transformation path passes through here: enjoy reading!

What is data literacy?

Data literacy is the ability to use data by reading, managing, analyzing and arguing through it. It is a learning process for appropriating concepts, habits and routines that directly imply the construction of a successful data culture .

In the data literacy process, the focus is on the skills and abilities needed to work with data.

Therefore, knowing how to read, work, analyze and decide based on data are the main characteristics of data literacy.

And looking at the reality of most companies today, we see that most have already woken up to innovation and are abandoning their old methodologies…

However, there is an important fact about these companies that are awakening to their analytical maturity : of all the businesses that take the initiative to implement a data strategy, unfortunately, 80% fail. I wonder why? 😏

Let’s answer by asking another question first…

Why is data literacy important for your company?

Because there's no point in having a Ferrari and not knowing how to drive.

We explain.

It's just that many companies start a data strategy with data and technologies , forgetting everything that revolves around it.

Then, a lot is invested to create a huge data infrastructure (the Ferrari) and… Nobody knows how to use it…

We understand here at Indicium that data literacy is so important that an organization needs to take people by the hand and teach them.

Because without data literacy there is no data culture and, without both, data strategies fail.

How to implement data literacy?

We know that implementing data literacy seems very simple, but it is not easy. It's not just training. They are not just tools. It’s not just about directing people to take certain courses.

Data literacy is another area under construction in the digital world and it is directly linked to the culture of a company with a systemic vision of data literacy.

And it's worth remembering that, for data culture to exist, data literacy must exist. It is not enough to be aware that we need to innovate and digitize.

There is a big problem happening in the middle of the digital transformation of companies, which is common and makes most of them fail to implement a data driven strategy .

And now you should know what this problem is… Right!?

Practical examples for data literacy

Artificial intelligence is something that reinforces human work, but does not replace it. And this is far from reality. So, focus on people.

Let's call whoever will use the data the end customer of a data product, shall we? They are data analysts, business teams, etc. which, as they are data consumers, cannot be left aside in a project.

In a data strategy, we want this customer to be successful in using data to make their decisions. After all, this is the value of this strategy, right?

Therefore, anyone who is an end customer of data should never hear something like “when the dashboard is ready, you can look at it”.

With this in mind, some practical examples of data literacy initiatives are:

  • the inclusion of everyone in the data project;
  • the democratization of data;
  • the empowerment of end customers;
  • and the end of the vacuum between the company's departments and the data area.

But be careful: you won't be able to make your entire team fluent in data overnight.

So, start training a person . Who? Observe the one who stands out in this sense and train that person to start disseminating knowledge within their team, then to people in operations, coordination, management, analysts, etc.

In short, if there is a team of professionals in your company demanding data and understanding this product, it means that you highly value your data-driven culture and permanent data literacy to make this happen. Congratulations!

Now, if you are still on the list of companies that cannot build a data culture or be successful in their data driven strategy, precisely in the era of innovation, don't worry, because this may be your current scenario, but everything has the right solution. .

And you will find it focusing on creating a data culture in your company.

What is data culture?

Data culture is a complex set of actions, knowledge and operations that makes a company's collective consciousness aligned to value, encourage and disseminate the use of data for decision making.

Implementing it means much more than investing in technologies or creating a new data department in your company.

Creating a new culture is a never-ending process and involves working hard so that your entire team has the same beliefs and the same behaviors regarding data, in this case.

And in this process, the necessary skills and abilities are developed in people so that they can work effectively, valuing and encouraging the use of data for decision-making.

After all, people are (still) making decisions, right!? And that is a long way from changing.

What are the challenges to creating a data culture?

To create a data driven company, there are several challenges to overcome along the way of creating a data culture, but the biggest one is certainly a change in thinking.

Another major challenge is the lack of practice in the learning process (data literacy).

When we study a new language without practicing it, for example, we don't actually learn the new language, as it is practice that makes perfect, right?

This is why companies that try to build a data-driven culture exclusively based on training fail.

So, in addition to carrying out the training that must be done, it is essential to have frequent contact :

  1. with the data;
  2. with the decisions that are made based on them;
  3. with the insights that are being extracted from this data by those who are already more literate, so to speak;
  4. and generating information from data.

This is starting to practice. And this must happen across the entire company, not just in one team, not just in the data team.

When we talk about how difficult it is to change thinking to create a data culture, it is precisely because this involves everyone and, as we said, it is a never-ending process.

And pay attention to a very important point here that is also a challenge: the example and support of leadership, senior management, etc. Without this movement, it becomes much more difficult to move away from the obfuscated, simplistic, superficial and closed view of a data project that must have a completion date. And that's not how working with data works.

Understand that being data driven must be in your organization's DNA and must be one of its values.

For what?

So that your investments in training and your strategy translate into results.

So that your company has an organized work structure with well-defined processes, cutting-edge technologies and tools, and a culture that allows the maintenance and growth of all of this.

Or do you have a company that invests in training just to fulfill your HR credits and earn bonuses at the end of the year?

Unfortunately, this happens…

Don't fail in your company: make your team data literate

Our website can be your company's first step in developing a successful data culture with data literacy.

We have a rich, didactic and free collection of e-books and articles.

And on our YouTube channel, we have many videos that clarify the world of data science and analytics for business.

After this immersion, you can begin to understand the situation of your company: where is it today and where can it go?

Every company can and should implement a data culture, that is, a data-driven business culture. To do this, just follow a well-structured process and success will come.

It takes work and it doesn't happen overnight. So, the sooner you start, the sooner you will reap the rewards of a data culture.

Get started and count on Indicium to reach the analytical maturity you dream of.

Tags:
Analytics
Modern Data Stack

Bianca Santos

Redatora

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