A study by The Harvard Business Review analyzed the utilization of competitive intelligence and market insights within large corporations. They found that an astonishing 45% of analysts’ input had no impact on decision-making within the company. The primary reason, suggests HBR, is that “many executives decide on a course of action and then use competitive intelligence to ratify their choice.”
That’s unfortunate because, according to the MIT Center for Digital Business, companies in the top third of their industry who reported using “data-driven decision making” were approximately 5% more productive and 6% more profitable than their competitors.
So how do you incorporate data-driven decisions into product management? It starts with strategy.