Data literacy: 7 challenges presented by data literacy

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In a world where data has become the driving force of any type of business, adopting a strategy that promotes data literacy is key to making informed decisions that guarantee competitiveness.

However, even when understanding the importance of data literacy, some companies face different obstacles when promoting initiatives that encourage it. In general terms, these challenges are related to employee resistance to change or the introduction of new technologies, the skills gap and data governance issues , among others.

In this article, we tell you how to overcome these challenges.

Data-literate organization = more competitive organization
When we talk about data literacy, we refer to the ability macedonia phone number lead of an organization's employees to read, work with, analyze and communicate with data, asking the right questions to generate knowledge, make decisions and communicate results.

In today's world, data is produced and consumed at a dizzying pace. In fact, IDC predicts that in the period 2018-2025, the global datasphere will grow from 33 zettabytes to 175 zettabytes in 2025 . A similar growth is predicted by Statista, which claims that in 2025 the global data creation will register more than 180 zettabytes .

But how can organizations harness the potential of data if they do not have the ability to understand it? This is where the concept of data literacy becomes relevant.

Data literacy is key for companies to stay ahead of the competition by making decisions based on accurate, reliable and real-time information.

People who are data literate can solve complex problems, identify patterns and trends, and better understand growth opportunities, driving innovation.

When an organization decides to invest in strategies that promote data literacy among its employees, it not only helps them contribute greater value to their work, but it also contributes to their motivation.

Promoting data literacy is therefore a key strategy for transforming the business and building employee loyalty, who are motivated to give their best in response to the investment that companies make in terms of their professional development.

7 challenges of data literacy
Despite the benefits of data literacy, companies often face challenges in promoting data literacy strategies. Let's look at the most common ones.

Employee resistance . Tradition and the usual ways of doing things weigh heavily on employees. As a result, they sometimes resist the implementation of new processes and technologies, making changes and the benefits they bring difficult.
Difficulty understanding and interpreting data . Some people are unfamiliar with the types, sources, and quality of data . This lack of understanding can make it difficult to interpret records. Data may also be complex or ambiguous, making it difficult to identify patterns and draw conclusions.


Lack of a data champion . Resistance does not always come from non-managerial employees. Sometimes, it is senior executives who are most reluctant to change. Therefore, one of the biggest challenges has to do with the lack of a data literacy strategy champion in senior management, such as a Chief Data Officer (CDO) or Chief Analytics Officer (CAO).

Lack of data governance . The more data an organization handles, the better its data governance practices will be . However, some companies lack governance practices that fit each stage of the data lifecycle, which leads to issues in terms of accuracy and reliability.

Organizational silos . Although a data literacy strategy should include all corporate sectors, those who best understand data are often isolated in specific departments, such as IT or Business Intelligence. This makes it difficult to achieve data literacy and optimal use to improve business decisions.

Limited understanding of the importance of data privacy and security . Employees must be aware of the potential risks associated with data collection and use, and understand how to protect sensitive information. If companies do not take this challenge into account by addressing data privacy and security issues, the chances of non-compliance increase significantly.

Lack of adequate tools for data analysis . Having adequate solutions for data analysis is essential to achieving effective data literacy. However, many people may not have access to the tools. When this happens, they may have difficulty manipulating and visualizing data, limiting their ability to gain actionable insights.