{"id":6701,"date":"2020-06-05T10:00:38","date_gmt":"2020-06-05T09:00:38","guid":{"rendered":"https:\/\/www.sage.com\/en-ie\/blog\/?p=6701"},"modified":"2026-01-09T15:04:24","modified_gmt":"2026-01-09T15:04:24","slug":"smart-decision-making-business","status":"publish","type":"post","link":"https:\/\/www.sage.com\/en-ie\/blog\/smart-decision-making-business\/","title":{"rendered":"How to build a business culture of smart decision making"},"content":{"rendered":"
\n\t
\n\t\t
\n\t\t\t
\n\t\t\t\t\t\t\t
\n\t\t\t\t\t\t\t\t\t\t
\n\t\t\t\t\t\t\tStrategy, Legal & Operations<\/a>\t\t\t\t\t\t<\/div>\n\t\t\t\t\n\t\t\t\t
\n\t\t\t\t\t

\n\t\t\t\t\t\tHow to build a business culture of smart decision making\t\t\t\t\t<\/h1>\n\t\t\t\t<\/div>\n\n\t\t\t\t\t\t\t\t\t

\n\t\t\t\t\t\t\t\t\t\t\t<\/p>\n\t\t\t\t\n\t\t\t\t\n\t\t\t\t\n\t\t\t<\/div>\n\n\t\t\t\t\t<\/div>\n\t\t\t\t\t<\/div>\n\t<\/div>\n\t

\n\t\t
\n\t\t\t
\n\t
\n\t\t
\n\t\t\t\t\t\t\t
\n\t\t\t\t\t\n\t\t
\n\t\t\t\n\t\t\t\t\"Keir\t\t\t\tKeir Thomas-Bryant<\/span>\n\t\t\t<\/a>\n\n\t\t\t\t\t<\/div>\n\n\t\t\t\t\t\t<\/div>\n\t\t\t\t\t<\/div>\n\t<\/div>\n<\/div>\n
\n\n\n\n

You know planning for the future is important if you want to stay ahead of the competition and ensure the success of your business. But in practice, making predictions and acting on them is difficult when your company isn\u2019t set up to regularly and accurately analyse your data.<\/p>\n

If you\u2019re going to put data-based decisions at the core of your business model, you\u2019ll need to be able to easily generate and analyse data quickly and accurately, whenever you need it.<\/p>\n

And, most importantly, you\u2019ll need to ensure that data-based smart decision making, where you utilise your business data, becomes the norm at your company.<\/p>\n

And during this time of business uncertainty, with the coronavirus<\/a> (COVID-19) outbreak having an impact, making educated business decisions could help your company move in the right direction.<\/p>\n

Here are some tips to help you along the way, with expert input from Carl Reader<\/a>, who\u2019s a small business expert focused on enabling growth.<\/p>\n

Tip 1: Shift your focus from data entry to data analysis<\/h2>\n

There\u2019s one major factor that holds many businesses back from making more data-based decisions: data.<\/p>\n

Ironic, isn\u2019t it? You need data to make data-based decisions, but the act of gathering the right data and manually entering it into spreadsheets, forms and your accounting software<\/a> takes so long that you end up never getting around to the actual decision-making stage.<\/p>\n

Data entry slowly begins to steal large chunks of time, and you\u2019re left with barely any time to actually analyse that data and make smarter decisions based on it.<\/p>\n

That\u2019s why this first tip is surprisingly simple but incredibly effective: automate as much of your data entry as possible.<\/p>\n

\u201cIt\u2019s complete madness for the business owner or finance professional<\/a> to spend their time inputting data when technology can do it far more accurately,\u201d says Reader.<\/p>\n

The right software can automatically pull figures from sales reports, invoices and spreadsheets through to your accounts, reducing hours of data entry time and cutting down on human error in the process.<\/p>\n

\u201cNowadays, the data can be in the system as early as the transaction happens,\u201d says Reader.<\/p>\n

\u201cThe time that was historically focused on going through receipts and managing purchase records, and so on, can be spent looking at that data and working out where next for the business.\u201d<\/p>\n

According to a recent report from Sage, small and medium-sized enterprises (SMEs) globally spend an average of 146 days and \u00a349,000 a year on admin.<\/p>\n

It\u2019s clear that cutting down on that admin time with automation can have a significant effect and could really put you ahead of the competition.<\/p>\n

When you\u2019re not spending so much time typing in figures, you\u2019re free to spend more time thinking about how those figures should impact your business decisions \u2013 while keeping track of user activity so you can see the benefits of streamlining tasks with easy collaboration.<\/p>\n

\n\tDownload your free checklist: Five steps to make smarter decisions<\/a>\n<\/div>\n<\/span><\/p>\n

Tip 2: Know when to delegate<\/h2>\n

Your colleagues might be enthusiastic about making more data-based decisions, but that enthusiasm could quickly fade if they don\u2019t have access to the data they need to think and work more strategically.<\/p>\n

\u201cWe\u2019re moving to a more transparent society,\u201d says Reader. \u201cOne in which data is more open and businesses of all shapes and sizes are letting their teams actually see what\u2019s going on.\u201d<\/p>\n

Say a member of the sales team has a meeting in an hour and wants to present a report on how much profit a particular new product has generated, compared to the time taken to sell it.<\/p>\n

\u201cWith a decent finance system, you can make sure that you\u2019ve got access rights so that the right user can access the right data\u201d<\/p><\/blockquote>\n

They\u2019re forced to wait until whoever is in charge of accounts has time to pull the report, visualise the data, and send it across.<\/p>\n

But by this time, the meeting has already taken place, decisions have already been made, and the accounts team has lost time they should be spending on their own strategic analysis.<\/p>\n

There\u2019s a reason why, according to marketing company Aberdeen, 70% of leading companies have some form of self-service data access.<\/p>\n

\u201cWith a decent finance system, you can make sure that you\u2019ve got access rights so that the right user can access the right data,\u201d says Reader. \u201cLook at building both the systems to prevent any issues together with building a culture of trust.\u201d<\/p>\n

The key is to give everyone easy access to the data they need, when they need it.<\/p>\n

Many forms of accounting software, for example, will let you grant selective access to certain individuals for certain tasks.<\/p>\n

That means they can upload the data that is required from them (such as their expenses) and download the information they need (sales reports, confirmation of paid invoices<\/a>) without giving them access to the whole system.<\/p>\n

With this access at their disposal, employees across the business can remove some of the burden of data entry from you, while getting the information and control necessary to really embrace data-led decision making.<\/p>\n

Tip 3: Equip your team with the right technology<\/h2>\n

If only a handful of people are equipped and trained to compile reports, analyse data, and make decisions using that data, your efforts to make smarter decisions are going to be limited.<\/p>\n

To have a real impact on the success of your business, data-based decision making needs to become part of your culture.<\/p>\n

That means investing in tools that make data analysis easy, so it becomes second nature to check the figures before making any kind of strategic move.<\/p>\n

\u201cIt\u2019s vital to equip teams with the right technology,\u201d says Reader. \u201cParticularly considering the product developments that have been taking place and the fact it means technology can be used almost as another human nowadays.\u201d<\/p>\n

The right analytics software and dashboards tailored to your team members\u2019 roles and job requirements will make it significantly easier for them to spot insights that others might have overlooked.<\/p>\n

You\u2019ll be able to train them to notice patterns in the data and use the insights they gather to make better decisions and improve the way they work on a daily basis.<\/p>\n

When that\u2019s happening across the whole business, it\u2019s easy to see how these smaller changes can have a huge impact on the success of your company.<\/p>\n

It\u2019s easy to assume that there\u2019s very little you don\u2019t know about the ins and outs of your company.<\/p>\n

But getting true visibility across your business and all the tiny factors that determine whether you stall or succeed can be hard.<\/p>\n

For many businesses, the only way to get a clear picture of how they\u2019re performing is to comb through reams of data by hand \u2013 bank records, invoices, purchase orders<\/a>, sales figures, and so on.<\/p>\n

\u201cTechnology frees up our real creative and intelligent sides,\u201d says Reader, \u201cas opposed to performance being a measure of how quickly we can move our fingers around a keyboard.\u201d<\/p>\n

Tip 4: Make better use of dashboards and key metrics<\/h2>\n

Your business generates huge amounts of data every week.<\/p>\n

How do you make sure you\u2019re taking all of the important factors into account when you make a decision, without having to spend hours and hours every day hunting through hundreds of figures?<\/p>\n

The right business reporting solution can make the whole process of compiling and analysing relevant data much more straightforward.<\/p>\n

Just identify the key metrics you need to make the decision in question, and your software will do the legwork of fetching it and presenting it on one dashboard.<\/p>\n

\u201cThese dashboards and reports actually translate that data into indicators that are easily understood, which teams can act on. It\u2019s game changing for any business\u201d<\/p><\/blockquote>\n

With all the relevant information displayed in one place, in a format that\u2019s intuitive and simple to interpret, you\u2019ll be able to make fast, informed decisions.<\/p>\n

This also makes it easy to justify and explain the rationale behind your decisions to stakeholders \u2013 just pull up the dashboard and talk them through your thinking.<\/p>\n

\u201cIt\u2019s absolutely revolutionary,\u201d says Reader.<\/p>\n

\u201cWe\u2019re in an age now where the data and the reports that were once only available to massive corporations provide businesses with more than just a list of numbers and words.<\/p>\n

\u201cThese dashboards and reports actually translate that data into indicators that are easily understood, which teams can act on. It\u2019s game changing for any business.\u201d<\/p>\n

Tip 5: Tailor your reports to your needs<\/h2>\n

Most small businesses recognise the importance of data and data analysis in decision making. But many of them start out like data magpies, collecting anything and everything that looks interesting or that might be useful later.<\/p>\n

The key is to ask yourself one question: what do I need to know right now in order to make my business a success?<\/p>\n

\u201cThe reality for business is that a focus on the key drivers in the business creates success,\u201d says Reader. \u201cYou don\u2019t make a business successful by focusing on the 99th most important thing in your profit and loss account.\u201d<\/p>\n

By building personalised and custom reports<\/a>, you can select the data that allows you to find the answers you\u2019re looking for.<\/p>\n

And by being able to generate reports easily and at any time, you can give yourself a clear picture of where the business stands.<\/p>\n

For example, it might make sense to have a quick daily overview of your sales, so you can check you\u2019re on track for your monthly targets.<\/p>\n

Or you might want to see how the uptake of your new product has progressed over the past month and try to understand why demand spiked on a certain day.<\/p>\n

\u201cA dashboard absolutely has to be adapted to the needs of the business,\u201d says Reader. \u201cThe finance department needs to consider how people digest information.<\/p>\n

\u201cIs a graphical format better? Is a traffic light system better? Do key numbers work better for them or do percentages work better for them? Because we all have different ways of being motivated.\u201d<\/p>\n\n

\n\t
\n\t\t
\n\t\t\t
\n\t\t\t\t\t\t\t\t

Perform at your best <\/h2>\n\n\t\t\t\t\t\t\t\t\t
\n\t\t\t\t\t\t

Discover how to improve productivity, make smarter decisions and empower your people so you can elevate the performance of your small business.<\/p>\n\t\t\t\t\t<\/div>\n\t\t\t\t\n\t\t\t\t\t\t\t\t\t\t\t\t\t\tDownload your free guide<\/a>\n\t\t\t\t\t\t\t<\/div>\n\n\t\t\t\t\t<\/div>\n\n\t\t\t\t\t\"\"\t\t\t<\/div>\n<\/div>\n\n<\/div>\n

\n\t
\n\t\t
\n\t\t\t
\n\t\t\t\t\t\t\t\t

Subscribe to the Sage Advice newsletter<\/h2>\n\n\t\t\t\t\t\t\t\t\t
\n\t\t\t\t\t\t

Join 1.5 million subscribers and get the best business admin strategies and tactics, as well as actionable advice to help your company thrive, in your inbox every month.<\/p>\n\t\t\t\t\t<\/div>\n\t\t\t\t\n\t\t\t\t\t\t\t\t\t\t\t\t\t\tSubscribe now<\/a>\n\t\t\t\t\t\t\t<\/div>\n\n\t\t\t\t\t<\/div>\n\n\t\t\t\t\t\"\"\t\t\t<\/div>\n<\/div>\n","protected":false},"excerpt":{"rendered":"

You know planning for the future is important if you want to stay ahead of the competition and ensure the success of your business. But in practice, making predictions and acting on them is difficult when your company isn\u2019t set up to regularly and accurately analyse your data. If you\u2019re going to put data-based decisions […]<\/p>\n","protected":false},"author":280,"featured_media":6652,"menu_order":0,"comment_status":"open","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"_sage_video":false,"post_featured_image_hide":false,"footnotes":""},"categories":[165],"tags":[116,130],"business_type":[5],"lilypad":[],"context":[],"industry":[],"persona":[232],"imagine_tag":[],"coauthors":[393],"class_list":["post-6701","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-strategy-legal-operations","tag-data-analytics","tag-grow-business","business_type-small-business"],"sage_meta":{"region":"en-ie","author_name":"Keir Thomas-Bryant","featured_image":"https:\/\/www.sage.com\/en-ie\/blog\/wp-content\/uploads\/sites\/13\/2020\/04\/Caravan-Center_2019_Sage-X3_Photo-10522..jpg","imagine_tags":[]},"distributor_meta":false,"distributor_terms":false,"distributor_media":false,"distributor_original_site_name":"Sage Advice Ireland","distributor_original_site_url":"https:\/\/www.sage.com\/en-ie\/blog","push-errors":false,"_links":{"self":[{"href":"https:\/\/www.sage.com\/en-ie\/blog\/api\/wp\/v2\/posts\/6701","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.sage.com\/en-ie\/blog\/api\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.sage.com\/en-ie\/blog\/api\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.sage.com\/en-ie\/blog\/api\/wp\/v2\/users\/280"}],"replies":[{"embeddable":true,"href":"https:\/\/www.sage.com\/en-ie\/blog\/api\/wp\/v2\/comments?post=6701"}],"version-history":[{"count":0,"href":"https:\/\/www.sage.com\/en-ie\/blog\/api\/wp\/v2\/posts\/6701\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/www.sage.com\/en-ie\/blog\/api\/wp\/v2\/media\/6652"}],"wp:attachment":[{"href":"https:\/\/www.sage.com\/en-ie\/blog\/api\/wp\/v2\/media?parent=6701"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.sage.com\/en-ie\/blog\/api\/wp\/v2\/categories?post=6701"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.sage.com\/en-ie\/blog\/api\/wp\/v2\/tags?post=6701"},{"taxonomy":"business_type","embeddable":true,"href":"https:\/\/www.sage.com\/en-ie\/blog\/api\/wp\/v2\/business_type?post=6701"},{"taxonomy":"lilypad","embeddable":true,"href":"https:\/\/www.sage.com\/en-ie\/blog\/api\/wp\/v2\/lilypad?post=6701"},{"taxonomy":"context","embeddable":true,"href":"https:\/\/www.sage.com\/en-ie\/blog\/api\/wp\/v2\/context?post=6701"},{"taxonomy":"industry","embeddable":true,"href":"https:\/\/www.sage.com\/en-ie\/blog\/api\/wp\/v2\/industry?post=6701"},{"taxonomy":"persona","embeddable":true,"href":"https:\/\/www.sage.com\/en-ie\/blog\/api\/wp\/v2\/persona?post=6701"},{"taxonomy":"imagine_tag","embeddable":true,"href":"https:\/\/www.sage.com\/en-ie\/blog\/api\/wp\/v2\/imagine_tag?post=6701"},{"taxonomy":"author","embeddable":true,"href":"https:\/\/www.sage.com\/en-ie\/blog\/api\/wp\/v2\/coauthors?post=6701"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}