Imagine trying to throw a party without knowing how many guests are coming. You don’t know how much food to prepare, how many drinks to buy, or even if your venue will be big enough.
You’ll likely overspend or under-deliver; and either way, people will leave unhappy.
This is what running a team or business without data feels like. You’re making decisions, but you’re always guessing. And guesswork is expensive.
Let’s talk about how data can eliminate the guesswork and help you manage performance effectively.
Step 1: Gather the Right Data
The first thing to know about data is that it doesn’t have to be complicated. Start by focusing on what’s important.
Ask yourself these questions:
- What are we trying to achieve?
- What obstacles are in our way?
- What specific information would help us solve these problems?
For example, if you’re running a distribution company and delivery times are inconsistent, you can collect data on:
- How long it takes for orders to leave the warehouse
- The most common delays on delivery routes
- Customer feedback on late deliveries
This doesn’t require fancy tools. Start small with a spreadsheet or simple tracking system. The goal is to collect data that directly answers your questions.
Step 2: Turn Data Into Insights
When you’ve collected the data, the next step is to make sense of it. Data isn’t just numbers but a story waiting to be uncovered.
Look for patterns:
- Are delays happening during peak traffic hours?
- Do specific areas consistently report issues?
- Is the problem with drivers, routes, or processes?
These insights will guide your decisions. If analyzing data feels daunting, use simple tools like Excel filters or free visualization software like Google Data Studio.
The key is to connect the dots and understand why things are happening.
Step 3: Use Data to Take Action
Now comes the part that separates good managers from great ones:
Acting on the data.
Let’s go back to the delivery example. If the data shows that 70% of delays happen because drivers struggle to navigate certain areas, you could:
- Provide better route training
- Introduce GPS tools specific to roads in your coverage area
- Reassign deliveries based on driver familiarity with routes
Small actions like these, based on real data, can lead to significant improvements.
A Real-Life Example
A friend shared how they reduced employee turnover in their organization by focusing on data.
They collected feedback from exit interviews and discovered a recurring theme:
Employees felt undervalued because their contributions weren’t recognized.
Using this insight, her company introduced a monthly recognition programme. Employees who exceeded their targets received awards and public acknowledgment.
Within a year, employee retention improved by 40%, and team morale increased.
The lesson is that data helps you address root causes, not just symptoms.
Why This Matters
Data-driven performance management is not for big organizations alone. It’s for anyone who wants better results. Whether you’re managing a team, running a small business, or leading a large organization, data gives you clarity and confidence.
Here’s what happens when you use data effectively:
- You make smarter decisions faster.
- Your team stays aligned and motivated.
- You see measurable improvements in performance.
Take the First Step
What’s the biggest challenge your team or business is facing today?
Start by collecting data about it. You don’t need to overthink it. Begin small, look for patterns, and act on what you learn.
Performance management is a journey, and data is your most reliable guide.
If this approach resonates with you, DM me on LinkedIn. And if you’re curious about going deeper into performance management, subscribe to my newsletter for actionable insights like these.
Let’s keep building better businesses together.
See you next Thursday!✌
Iyetule Abobare
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