Smart Connection: How to Turn Data into Decisions
Smart Connection: How to Turn Data into Decisions
In today’s corporate environment, filled with data and information, many companies fail to realize that a significant portion of the data needed for strategic decisions is already available internally. Sales reports, customer feedback, financial data, and the accumulated knowledge of teams are valuable sources of information. When these sources are efficiently organized and integrated, they can reveal valuable insights and directly contribute to organizational success.
This is where Strategic Intelligence stands out, enabling companies to transform data into actionable knowledge and more assertive decisions.
The Value of Internal Information
The wealth of information within a company is immense but often remains underutilized. This is mainly due to a lack of clear processes or appropriate tools to organize and analyze the available data.
By adopting a structured intelligence process, companies can maximize the value of their internal information. This means turning data into insights that drive growth, competitiveness, and efficiency. Additionally, this approach helps identify patterns, trends, and opportunities that might otherwise go unnoticed.
Examples of insights that can be extracted:
•Financial reports can reveal cost-cutting opportunities.
•Customer feedback can indicate necessary product or service improvements.
However, to reap these benefits, it is necessary to go beyond simply collecting data. It is essential to interpret and connect information strategically.
Integrating Internal and External Data
While internal data provides a strong foundation for strategic decisions, it doesn’t tell the whole story. To gain a broader and more grounded perspective, it’s crucial to integrate this information with external data, which offers context about the market, competitors, and trends.
As Davenport points out, companies can respond to the external environment in three ways:
•Adapt to the outside world;
•Investigate the environment for changes they must respond to;
•Shape external conditions to gain a competitive advantage.
Figure 1: How internal and external environments are connected.
Source: DAVENPORT, Thomas H.; PRUSAK, Laurence. (1998, p.248)
This integration between internal and external environments creates a robust foundation for strategic decision-making.
“The greatest single advantage a global company can have is built from an information system capable of scanning the global business environment to identify opportunities, trends, risks, and resources.” – Keegan and Green (2000)
The Importance of Strategic Intelligence
Strategic Intelligence plays a central role in organizing, analyzing, and disseminating relevant information for decision-making. It goes beyond simply gathering data, focusing on turning information into actionable knowledge.
As Jerry P. Miller states:
“Intelligence is the factor capable of changing a company’s decision-making culture.”
This practice is not limited to external data such as market trends or competitor actions, but also deeply explores internal data, offering a complete and well-founded perspective.
“Intelligence is information analyzed in such a way that it serves as the basis for a decision. Analysis is the link between raw material — data — and the value-added product — intelligence.” – Michael A. Sandman
Companies that are able to look both inward and outward distinguish themselves in the market, leading change instead of merely following it.
Benefits of Strategic Intelligence
Implementing strategic intelligence practices offers several benefits, such as:
•Increased productivity: Integrating information facilitates quick and efficient access to data, allowing teams to focus on strategic activities instead of wasting time searching for scattered information.
•More informed decision-making: With internal and external data integrated, decisions become more grounded, resulting in more effective strategies.
•Improved performance: Market-oriented companies better understand and meet customer needs, identify areas for improvement, and implement changes to boost operational efficiency.
•Identification of opportunities and threats: Ongoing data analysis enables companies to anticipate market changes, identify new growth opportunities, and quickly respond to potential threats, staying competitive.
Connect Information and Turn Data into Results
Connecting existing information within your company is not just a matter of operational efficiency, but an essential strategy for long-term success.
By integrating data often scattered across departments, you empower your team to make more confident decisions and position your company more competitively in the market.
If you want to learn more about how to implement this integration and turn data into valuable insights for your business, keep following my content. Let’s explore the best practices to drive your company forward — together!
Sources:
•DAVENPORT, Thomas H.; PRUSAK, Laurence. Information Ecology: Why Only Technology Isn’t Enough for Success in the Information Age. São Paulo: Futura, 1998.
•KEEGAN, Warren J.; GREEN, Mark C. Global Marketing Principles. São Paulo: Saraiva, 2000.
•MILLER, Jerry P. The Intelligence Millennium. Porto Alegre: Artmed, 2002.