Just as literacy means the ability to read, write and understand the written word, so data literacy is the ability to read, write, understand and communicate data in context. Data is a collection of useful information – facts, figures and statistics - that if used correctly, can help an organisation make far reaching strategic decisions. It follows then, that data literacy is a crucial skill which allows people in organisations understand what data is relevant, to ask the right questions of the data available to them, and to use this data to make decisions.
Data literacy allows you to take raw data and translate it into a valuable resource to help your organization grow. As is often said, the numbers don’t lie! Interpreting the data means creating a clear, factually based narrative.
These days, most organisations deal with huge amounts of data but there is a difference between collecting data and understanding it. Data literate employees have the skills to find meaning in the numbers, translate this into action and use data to inform their daily activities as well as the broader aims of the business.
However, most business will tell you that there is a large and growing skills gap, with many employees, and even business owners, unable to utilise data effectively and often too intimidated to try. If an organisation wants to remain relevant in the 21st century it needs to ensure that all its members have a basic understanding of the concept of data and are able to engage with data relevant to their position. They need to be able to understand and engage with data, and how it fits within their role, and start talking its language. Making business decisions based on gut feeling is a thing of the past; acting upon solid factual data needs to become the company-wide standard.
Why data literacy is important
Let’s look at some of the ways that a data literate environment can help your organisation grow.
- Allows you to create valuable insights and make decisions based on facts. Good data, properly analysed, can give you a critical edge over other businesses and help you make evidence-based decisions that lead to effective results. The days of making decision based on hunches and intuition are over. Factual data is what drives successful organisations forward.
- It boosts efficiency. Waiting for a data analyst to interpret the numbers slows down your organisation and can create creates blockages in the flow of information. The more people in your organisation who understand data, the more productive and efficient it will be.
- Understanding data means being proactive rather than reactive. Data literacy means using data to better service customers or to understand trends and patterns. Constantly monitoring your data means continuously getting feedback which means, in turn, that you can fix a problem in its infancy or adapt a situation as necessary to prevent nasty surprises overwhelming your organisation down the road.
- It gives power to everyone in an organisation. The more employees become data literate, the more they are able to take decisions and see real results based on data outcomes. In other words, work is purpose driven and in the hands of everyone on board, not just top management.
There are ways to improve data literacy, one of which is with a qualification in data analytics. The Independent Institute of Education’s Post Graduate Diploma in Data Analytics offered through The IIE’s Varsity College will help you further your fundamental knowledge of big data, data visualisation, artificial intelligence (AI), machine learning and statistics. Once you have completed the programme, you will have the theoretical and technical skills in data analytics needed to inform business decisions or to articulate into an appropriate Master’s degree.
Since the aim of the qualification is to develop a data analyst equipped with theoretical, technical and practical knowledge, it is also important that graduates attain a thorough grounding in statistical and mathematical fundamentals. This postgraduate diploma opens a diverse and exciting range of career options including: data analyst; data scientist; data engineer; big data analyst; business intelligence analyst; quantitative analyst or market researcher.
The IIE is South Africa’s largest registered and accredited private provider of higher education. At The IIE’s Varsity College we understand that no two students are the same, or learn the same. That’s why we make sure a student’s education is shaped around them; how they like to learn, what they are passionate about, what makes them tick, and what makes them thrive. Our Education by Design approach allows students to grow into their best, and creates a space where they can live, learn and play - their way.