The Need for Data Management Software in Business

The use of data in business has never been more important than it is today. In larger companies across all industries, big data operations are just about universal. And more recently even smaller operations have been getting in on the action, with some attributing small business interest in analytics to the need to “keep up” during the COVID-19 crisis. Whatever the case though, the bottom line is increasingly clear: Businesses of all sizes and types are relying increasingly on big data to survive and compete.

Merely collecting large amounts of data, however, isn’t enough. All of the same businesses now need data management software as well if they’re going to capitalize on their efforts. There are a few specific reasons for this.

First and foremost, it is because the fundamental process of data management is meant to set up analytics — which effectively make the whole process worthwhile. Some business leaders during our modern data revolution have made the mistake of focusing almost entirely on collection, with the result that they wind up with troves of information and no way to do anything useful with it. Data management software is essentially meant to do away with this problem and smooth out the process of collecting, organizing, and securing data so that it can be properly analyzed and put to use. To put it more briefly, data management software turns clutter into useful information.

Another practical reason for businesses to embrace data management software is that it makes them more attractive to talent in the field of data science. This is a field that has grown by leaps and bounds over the past decade, due in large part to online graduate programs expanding options for those seeking opportunity. Now, an online masters in business data analytics is one of the more promising degrees one can acquire, and leads to entry in competitive, high-paying job markets. These jobs are competitive because a trained analyst can significantly improve any business’s data operation, resulting in fewer wasted resources and more efficient conversions. Because they are competitive though, businesses have to present themselves as data-forward organizations in order to attract top talent. If a business is not equipped with data management software, skilled analysts may simply look elsewhere.

These major points — the need to make data useful and the need to attract relevant talent — speak to how data management software can improve a business in the short term. There is also, however, a component of long-term preparation in all of this. One need only look back at university professors' predictions for big data five or ten years ago to see how far we’ve already come already. Back then, it was still something of a theory to suggest that the amount of data people could collect was significant as the use of it. There was an understanding that figuring out ways to organize and analyze big data would accelerate businesses, even if the practice wasn’t nearly as common back then. Given all of this, imagine how much further we could still go in the years to come! Businesses embracing thorough data practices today are not only improving their operations in the “now” — they’re also keeping up with progress that promises to continue in exciting ways.

For all of these reasons, the need for data management software in modern business is clear. This software can be built or bought according to need and preference, and can be either generic or tailored toward specific business needs. But the bottom line is that with this kind of resource, a business opens itself up to a wide range of benefits to be gained from data collection and analysis.

 

Article was specially written for devrite.io by Alice Palmer