Organizations that use visual data discovery are more likely to find the information they need, when they need it and do so more productively than other companies.
The amount of data being created by people, machines, IOT devices, and other sources continues to grow by leaps and bounds. On an average, the world produces roughly around 2.5 exabytes of data per day which means by the year 2020, we would have generated a cool 44 zettabytes of raw data. While there’s no doubt that organizations are collecting and generating more information than ever before, simply having a lot of data does not make a business data driven.
Organizations need to effectively leverage their information to make decisions and drive new initiatives. Since data sources exist in silos, it’s often impossible to get a complete picture of an organization’s data assets, and a lack of governance means data must be cleansed and standardized before it can be of any use. Hence data must be gathered, organized, made interpretable, and then analyzed and acted upon to provide any meaningful value.
Enter data visualization – Data visualization is all about representation of these numbers in a compelling format. Using a variety of formats- points, lines, shapes, digits, letters to simplify data, promote understanding, and communicate important concepts and ideas is the goal of data visualization. Data visualization abstracts data into a schematic form so that the human mind can easily process chunks of repetitive information and gain clear understanding without much effort.
A common misconception is that data visualization and reporting are one and the same. However, this is not the case, as data visualization emphasizes easy interpretation and allows decision makers to see connections between multi-dimensional data sets, and provides new ways to interpret data through the use of heat maps, fever charts, and other rich graphical representations, rather than relying on static tables and charts that fail to paint a clear picture.
Apart from providing a clear representation of data, it offers much more. Here are some of the benefits of implementing data visualization tools into your business
The human brain is wired in such a way that visualizing is proven to be the single easiest way for us to receive and interpret large amounts of information intuitively, without deep technical expertise. Apart from gaining insight into existing data, advanced data visualizations can enable even a novice to forecast future trends. A survey carried out by Aberdeen Group discovered that managers who use data visualization tools are 28% more likely to find timely information than those who rely solely on managed reporting and dashboards.
The top most advantage of presenting data in a visual manner is that it enables users to more effectively discern connections between operating conditions and business performance. Discovering these correlations can directly impact business practices.
Direct interaction with data
The greatest strength however, in the adaptation of data visualization is its ability to bring actionable insights to the forefront. The capability it provides to the users to interact directly with the data is one of the main reasons why it is viewed as being far more superior to one-dimensional tables or charts. This real-time data visualization combined with predictive analysis can lead to effective actions with the added luxury of catching snags in the system on time.
Staying up to date
The vast volume of data that is gathered by a company can provide business leaders and decision makers with valuable insights into business opportunities. Sudden shifts in customer behavior or gradual changes in market conditions are tell-tale signs that can only be identified by carefully perusing multiple data sets. Access to such insights enables the company to act on new business opportunities ahead of its rivals.
Storytelling through data
A visual data tool such as a heat map for instance can easily illustrate areas of your business that are doing exceptionally well or under performing. This information in turn can develop a new business language, one that elucidates the inner workings of the business. Putting forth this data analysis to executives can open up new ways to look at existing operations, thus giving businesses a tool to scale new heights in performance
Data visualization is no longer the next big thing, but is a mandatory go-to tool for every business. This crucial addition is going to change the way analysts work with data. Data visualization promotes creative data exploration, wherein those interacting with data can easily recognize and respond to business changes more rapidly than ever before.