Strategy is the lifeblood of any organization, and data-driven decision-making is still the best way to ensure that you are making informed choices that will produce the best results. Too often, leadership makes decisions based on gut feelings or incomplete information. This can be disastrous for a business. By leveraging information, seeking insights, and determining the best sources of information, you can make sound decisions that will benefit your organization for years to come.

Any efforts to drive a firm towards data-driven decision-making should include creating a culture that rewards evidence-based arguments, and providing a framework in which each knowledge worker is provided the support they need to obtain the information they need to back their arguments. Leaders should also be encouraged to ask for data when making decisions, and to seek out multiple perspectives before coming to a conclusion.

A culture that rewards an evidence-based approach to decision-making involves leadership and management setting expectations with their teams. Teams should be encouraged to follow a consistent template when putting forth arguments in favor or against a particular initiative. A template might include a list of pros and cons, citations from reliable sources, independently produced objective metrics, or even subjective and anecdotal survey results. Whatever configuration of the template is used matters less than the need to encourage team members to use some form of structured data when making their case.

An operating framework that enables a created culture of data-driven decision-making involves breaking down data silos. All data within an organization, produced, purchased, or in any way acquired is property of the organization, and no function or department should wall such data unless there are legal or regulatory reasons to do so. A firm that allows the free flow of information must not necessarily worry about the quality of data, especially if the data can be classified and tagged so any consumer could make an informed decision about using it. The mere democratization of data, and its availability, become a critical first step. Other steps include organizational support to purchase data subscriptions, reaching out to and leveraging relationships with industry peers, and supporting efforts to survey colleagues.

Data-driven decision-making is not a new concept, but it is often overlooked in favor of other methods. This is a mistake. Data should be at the center of every decision you make, and by using all credible and relevant information available, you can make choices that will produce the best results for your organization. Use data to drive strategy, and you will be on your way to success.

In the world of software development, there are many ways to ensure that your teams are working on what matters most. One popular technique is known as "value-oriented development." This approach focuses on ensuring that each and every investment made by your firm provides the greatest possible reward. In this article, we will discuss how value-oriented development can be used to make sure your teams are working on the right projects, and provide some tips for getting started.

Whenever starting a new project it can be beneficial to identify the outcomes you're hoping to achieve. At first, these outcomes may not be very specific or measurable. However, given some refinement you should be able to produce variations of your desired outcomes that are not only specific, but realistic and measurable. These outcomes may generally include targets that aim to improve performance, increase reliability, reduce cost, mitigate risk, and other ambitious goals. This is where most teams will stop, and will use these objectives and outcomes to determine the opportunity cost for engaging in one activity versus another. This is where a "value-oriented development" approach can help improve that decision making activity for more effective results.

All activity within an organization is in service of the goals and objectives of the firm as a whole. As a result it is imperative that work be done which advances the organization towards those goals. A "value-oriented development" approach helps to ensure that this occurs by identifying and then prioritizing work which will have the greatest impact on meeting those desired outcomes.

In order to practice a value-oriented development approach, there are several steps your team can take:

Make sure your team is aligned and supportive of the organization's goals. This should go without saying, but too often than not it's a fairly abstract connection. This is a frequently overlooked role of a leader which is to do more than communicate objectives, but build support for them.
Ensure a clear, and simple link to how the work your team is doing advances the organization's goals. This means a value proposition which is clear and easy to understand. Make it easy for everyone on your team to see how their work connects to these overarching goals. This can sometimes best be accomplished by having a narrative to which people can relate, sometimes from the point of view of a customer or client of the organization.
Make sure the work your team is doing is directed at improving key performance indicators. This will help to ensure that the value of the work being done is clear, and that it's easy to track progress. Engage in regular review and reflection. This will help to ensure that your team remains focused on the goals which matter most, and allows for course correction when necessary.

Following these steps will help to ensure that your team is focused on the work which provides the greatest value to your organization. By doing so, you can be confident that you are making the most of your team's time and talent, and ensuring that your organization remains successful for years to come.

The Best Way to Drive Strategy: Data-Driven Decision Making

Value-Oriented Development: Ensuring Your Teams Work on What Matters Most