Data

According to (Stafford, n.d.), large amounts of data have little or no value on their own.
Nonetheless, any intelligent business must carefully collect and store useful data. Data
collection on a global scale poses several challenges, including:

 dispute over which data are meaningful

 lack of uniform definitions
 use of various statistical approaches
 gaps in data because of random collecting efforts
 erroneous data because of defective collection methods
 data collection systems being overburdened

When data is intelligently structured, it conveys information, and the type of information
conveyed is dependent on the data's organization.

Information

According to (Stafford, n.d.), Information is organized data. Database technology,

statistical analysis software, and graphing software all allow for the electronic storage,
transmission, and display of data in a variety of formats. Information is created when the
proper data is in the right location at the right time and is arranged correctly.

Information dissemination has been made so simple that problems of information

overload have arisen. According to research, some techniques of displaying and
evaluating data are superior to others, which indicates that the transition from data to
information must be handled with caution.

Knowledge

According to (Stafford, n.d.), the ability to comprehend the significance of information is

defined as knowledge. The meaning of information shifts as the context shifts, as
information is collected through various ways and procedures or communicated by
various people, and as the intended use shifts. What information should be shared, to
whom, and how often must be carefully considered.

 
When Data creates competitive advantage?

We can gain a competitive advantage for the company by adopting data-driven

marketing and increasing metrics like sales and profitability (Wright, 2020). According to
(The Editors, 2019), Data can help businesses get a competitive advantage by allowing
them to gain a deeper understanding of their customers and improve the design and
execution of marketing campaigns. Companies' ability to use data to satisfy their needs
in the future will be determined by their ability to define what datasets to gather or
purchase and how to manage them.

When Information creates competitive advantage?

According to (Millar, 1985), the way businesses operate is changing because of

information technology. It has an impact on the entire process through which
businesses manufacture their goods. Technology is redefining the product itself: the full
mix of physical goods, services, and information that businesses deliver to their
customers in order to create value for them.

Every aspect of the value chain of an organization is likely to be affected by technology.

Another factor to consider if information technology might create competitive
advantage is whether new connections between activities are established. Managers can
determine which value activities are most likely to be impacted by cost and
differentiation. Activities that account for a major share of cost or are crucial to
differentiation should be scrutinized closely, especially if they involve a significant
amount of data processing. Operations that have significant connections to other
activities both inside and outside the firm are also crucial. Executives must look for ways
to use information technology to gain a long-term competitive advantage in such tasks.
For a competitive advantage, businesses must use information technology with a deep
understanding of the requirements.

When Knowledge creates competitive advantage?

According to (Mankin, 2017), organizations that effectively capture and communicate

internal knowledge and information frequently outperform their competitors in terms of
business success. It’s simple to see why businesses are embracing knowledge
management strategies to obtain a competitive edge in their respective industries.
Sophisticated technologies used to curate and communicate around company data are
required for successful utilization of enormous and diverse knowledge and resources.
Companies' ability to remove departmentalization, encourage innovation, and respond
swiftly to changing business environments improves when these tools are applied.

According to (Sayyadi, 2019), executives are aware that product and service
discontinuity exists at all levels, and they do not want to be caught off guard and
become obsolete. Executives recognize that to remain competitive, companies must
quickly develop and share new ideas and expertise to be more responsive to market
developments. Importantly, the most crucial resource for competitive advantage is
information held by organizational members, as well as how it is managed by
executives. By sharing experiences gained via mimicking, observing, and practicing,
executives can improve knowledge acquisition connected with coaching and mentoring
activities. Organizations can use knowledge management to get the correct information
to the right people at the right time.

Role of Data and Data Management Solutions in Organizational Decision-Making

According to (Kavale, 2012), Data is used for achieving a competitive edge, resource
optimization, cost reduction, value creation, accuracy and accountability, and risk
hedging. As a result, data improves the efficiency and effectiveness of strategic decision-
making. Executives and managers can use data to make fact-based choices.

The capture, storage, structuring, compilation, retrieval, and analysis of records are all
part of data management. It refers to the use of recent or historical events as inputs for
decision-making and/or problem-solving (Liew, 2007). Data management is a critical
tool for reducing the stress and uncertainty that often accompany big business
decisions.

References

Kavale, D. S. (2012, 02 01). THE ROLE OF DATA IN STRATEGIC DECISION MAKING

PROCESS. Retrieved 04 24, 2022, from Research
Gate: https://www.researchgate.net/publication/313444765_THE_ROLE_OF_DATA_I
N_STRATEGIC_DECISION_MAKING_PROCESS

Liew, A. (2007, 06 01). Understanding Data, Information, Knowledge And Their Inter-

Relationships. Retrieved 04 24, 2022, from Journal of Knowledge Management
Practice: http://www.tlainc.com/articl134.htm

Mankin, L. (2017, 06 09). The Competitive Advantage of the Right Knowledge

Management Solution. Retrieved 04 24, 2022, from
Bloomfire: https://bloomfire.com/blog/competitive-advantage-right-knowledge-
management-solution/

Millar, M. E. (1985, 07 01). How Information Gives You Competitive Advantage. Retrieved

04 24, 2022, from Harverd Business Review: https://hbr.org/1985/07/how-
information-gives-you-competitive-advantage

Sayyadi, M. (2019, 11 23). Moving from Data and Knowledge to Competitive Advantage.

Retrieved 04 24, 2022, from The European Business
Review: https://www.europeanbusinessreview.com/moving-from-data-and-
knowledge-to-competitive-advantage/

Stafford, S. P. (n.d.). Data, Information, Knowledge, and Wisdom. Retrieved from

Encyclopedia of Life Support Systems (EOLSS): https://www.eolss.net/Sample-
Chapters/C15/E1-29-05-01.pdf

The Editors. (2019, 01 01). Data as Competitive Advantage. Retrieved 04 24, 2022, from
Dun & Bradstreet: https://www.dnb.com/perspectives/marketing-sales/data-as-
competitive-advantage.html

Wright, A. H. (2020, 02 01). When Data Creates Competitive Advantage. Retrieved 04 24,

2022, from Harvard Business Review: https://hbr.org/2020/01/when-data-creates-
competitive-advantage