Data Science: what it is and how to start using it
Data Science is a multidisciplinary blend of data inference, development of algorithms and technology to solve analytically complex problems.
It is also about generating value for businesses by using their data creatively. This description makes it seem like something very abstract, which can only be carried out, using the latest cutting-edge research institutes. But it is definitely not.
The purpose of this article is to demystify Data Science.
To understand in detail why we should utilize this science into our businesses and how to start doing so:
Why invest in Data Science
Data science is an emerging field and, even if your company is generating good results, you can take your business to the next level by collecting and using data effectively.
Currently, you can analyze everything related to your organization. Anything that can be registered via computer or network can be analyzed, organized, and transformed into actionable insights.
When applied and used correctly, data analysis can play a key role in achieving profitability and productivity. Simultaneously, data analytics also allows you to provide your customers with the most innovative and enjoyable experience possible.
Here are some business-related advantages of data science:
Mitigation of risks and fraud
Data scientists are trained to identify data that stands out in some way or form. They create statistical methodologies, as well as methodologies for networks, paths to follow, and big data for predictive models deciphering the propensity for fraud and using them to create alerts that help ensure timely responses when such unusual data is recognized.
Delivery of relevant products and services
One of the advantages of data science is that organizations can find when and where their products sell best.
This helps to provide the right products and/or services at the right time. Besides helping companies to develop the right new products and services that improve their own processes and in doing so, meet the needs of their customers.
Personalized customer experiences.
One of the most interesting benefits of Data Science is the ability of sales and marketing teams to understand their audience at a very granular level.
With this knowledge, an organization can create the best possible experiences for its customers.
How to start building a Data Science strategy
Most data scientists are trained in statistics, mathematics and computer science. Their expertise covers a vast horizon that extends from visualization and data mining to information management.
It is also quite common for them to have previous experience in infrastructure design, cloud computing, and data warehousing.
Therefore, relying on data scientists is paramount for starting to employ Data Science.
This is why we list the basic steps for starting to build a Data Science strategy in your company:
- Data collection: Proper tracking and data collection are crucial; it is important to identify which data is valuable and how it can best be used.
- Data storage: A highly technical job, data storage requires adequate infrastructure.
- Data clean-up: basically, separating the wheat from the chaff. This requires the identification of valuable data and the option to delete data that adds nothing to the strategy (for a specific project or the business as a whole). For this cleanup, we recommend using automated tools (Big Data), that are already widely available on the market.
- Data Analysis: the use of the best data analysis practices (predictive, prescriptive, diagnostic, etc.). It also requires tools, but above all, specialized professionals.
- Communication and data visualization: data visualization solutions (BI, Analytics, etc.) are important. Just as important is educating executives on how to make decisions using data (fostering an analytical mindset).
- Data-driven decisions: finally, a strategy where Data Science is the foundation requires data-driven decisions. Here too, the mindset is fundamental, after all, it is of no use in having the best tools if decisions are not made based on the analyses generated.
In summary, Data Science can add value to any company that understands how to use its data effectively. From statistics which offer insights into workflows and hiring new candidates, to helping senior staff members make better-assertive decisions, data science can be incredibly valuable to any company in any industry.
So, what do you think? Is your company ready to make use of Data Science? Dig deeper into this theme. Download our e-book now: Design Driven Data Science and learn how to leverage your business’ results, by prioritizing data analytics.