Butterfly Effect Essay

735 Words 3 Pages
Data is a collection of facts such as values or measurements. There are two sorts: qualitative and quantitative. Qualitative data is descriptive information whereas quantitative data is numerical information. Data are used in almost all aspects of companies and establishes the basis for decisions on operational and strategic levels. Therefore, poor data quality can have an adverse effect on businesses in numerous ways. The ‘butterfly effect’ is the idea that a minor error can make a momentous change which in turn can produce disastrous results.

The three fundamental issues influenced by low quality data are: revenue loss, process inefficiencies and failure to comply with industry and government regulations. Revenue is the amount of money that
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It helps enhance profitability. CRM empowers organisations to concentrate on relationships with distinct individuals – whether those are customers, service clients, partners or suppliers. A CRM framework helps businesses to develop in light of the fact that it tracks the history of customer communications. With a CRM framework, businesses have one spot to store all customer related information so that all conversations are relevant and up to date. The key benefit of CRM is that organisations will have the capacity to offer better, more customised client administration. Furthermore they will be better ready to contact their customers and prospects for …show more content…
It normally contains reliable information from transaction information; however it can incorporate information from different sources. The key benefit of data warehouses is that you can develop business understanding. Utilising the clean information as a part of the warehouse can help businesses discover patterns and see relationships between information. Workers can also get to the information warehouse and be guaranteed that the information they use for reports is exact.

In conclusion, poor quality data can impact businesses by: reducing customer satisfaction, loss of sales and brand image etc. Nonetheless, poor data quality can be prevented by:
• taking ownership – assign an information agent whose job is to direct information gathering and organisation according to the customary procedures.

• establishing standards – authorise an information agent to automate data entry points when introducing information into the Customer Relationship Management and marketing automation

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