How data governance makes way for data quality

Big data is getting bigger. According to G2, “two-thirds of the world population will be online by the end of 2023, and “more than 2,500,000,000,000,000,000 bytes (or 2.5 quintillions) of data are created each day”. [1] The current moment marks an exciting opportunity to reach more potential customers, utilizing more insights for strategy than ever before. However, to take full advantage, a robust data governance program should be prioritized.  

In case you’re unfamiliar, data governance is the set of processes surrounding the management and usage of data, including how it is used, stored, accessed, and kept secure. While a data governance program should be unique to each organization, its standard framework is centered around the people, process, and technology required to make data fit for its intended purpose. 

Now, because data is the foundation of decision-making, when it’s handled – or governed – properly, the business is enabled to pivot more quickly, make more competitive decisions, and create or maintain a strong position in the marketplace. In this blog, we’ll discuss the power of data governance, how it enables data quality, and the tools you might consider for consistent, streamlined support. 

Consistent data 

Our Experian research found that businesses are using 19 different databases on average. If those sources are not streamlined, business processes can quickly become frustrating, inefficient, and costly. Proper data governance addresses this challenge, as it requires standardized and often automated rules to maintain consistent data and promote efficiency through a single source of truth. In the best outcomes, businesses can reduce their number of disparate data sources and maintain lean operations.  

Secure data  

The cost of cybercrime is predicted to hit $8 trillion in 2023 and will grow to $10.5 trillion by 2025. [2] Also keep in mind that with the growing adoption of machine learning and AI, cyber-attacks will become more sophisticated over time. If the proper precautions aren’t taken to secure your data, both confidential company information and consumer trust are at risk. That is why a data governance program that clearly outlines responsibilities and best practices around data is growing more important. 

Credible data 

Incorrect data can cause a lot of damage both internally and externally. Consider a marketing team that uses company data to strategize campaigns across email, social media, and other channels. If the data they're using turns out to be inaccurate, costs will rise, performance goals will be at risk, and trust will erode. The team may then try to source outside data or forgo a data-driven strategy altogether, resulting in greater inefficiency and likely, a lower performance overall. At the very least, work will become increasingly frustrating, which can lead to other problems.  

As for the customer’s perspective, inaccurate targeting can result in quick dismissal, disinterest in future outreach, and in some cases, compliance issues. Data governance accounts for proper data validation, designed to help prevent both scenarios.  

Customers have an abundance of options in today’s marketplace. Alternatives are all around, ranging across retailers, banks, media, and more. This makes for an ultra-competitive business landscape and for businesses to remain agile, their data needs to be as actionable as possible, with high accuracy and completion. Again, data governance creates systems that make this possible. 

Improve the customer experience 

Data governance keeps your data correct and reliable, allowing you to reach your customers by mail, phone, email, and other digital channels. This way, you can provide them with useful information and promotions, and even communicate with them better during customer service interactions. 

Stay in compliance 

Failure to remain compliant with industry regulations can result in costly penalties and a diminished reputation. Data governance combats these outcomes by enabling data quality throughout your organization. With the right systems and tools, you can increase accessibility to data, knowledge on how to handle data, and the ability to monitor and improve data quality, from entry to storage. 

See how we saved Homepoint 50 hours a month with automated data quality

Remember, your data governance program is only as successful as the reliability of your data. The proper tools will transform your data into actionable insights and empower you to profile, cleanse, monitor, and enrich your data. Specifically, look for capabilities such as removing duplicates, standardizing inconsistent formats, and appending missing information.  

Data quality platform

Experian’s data quality platform is a one-stop shop for powerful data profiling, data discovery, data cleansing and enrichment, process orchestration, and the ability to run full-volume analyses, among other things. Getting insight into your business’s data is now easier and faster than ever before. Seamlessly connect to hundreds of data sources to remove duplicates, correct errors, and standardize formats. As a result, you’ll find you have an actionable, comprehensive view of your customers, business operations, and more.