When we talk about data strategy, we obsess over systems, governance, and business value. What we forget to obsess about is incentives.
Here's a hard truth from many years spent in data-driven transformation: Data strategies don't fail because of technology. They fail because John in Sales cares about deals and not data quality, because Sarah in Operations has 20 more urgent tasks than data documentation, and because no one in the C-Suite is glancing at that fancy new dashboard for any of their decision making.
Lasting change only happens when good data practices and data-driven thinking become personally valuable: When documenting data increases the annual bonus. When cleaning data fast-tracks a promotion. When data-driven decision making influences performance reviews. When managers earn respect for changing their mind based on data.
We must therefore rethink how we approach the human side of data strategy. When it comes to people, it's not enough to talk about Data Literacy and Data Culture. We need a candid conversation about incentives.
Often when I raise this point, the initial reaction is a little dismissive ("if it's good for the company, it will turn out to be good for the individual"), sometimes even slightly hostile ("if employees don't understand the importance of data, they're at the wrong place"). This is naive and lazy thinking.
Understanding and communicating the value of data at a company level is a solvable challenge. If, however, data-driven behaviors aren't appreciated or rewarded in day-to-day work, who can fault employees and management for prioritizing urgent short-term tasks over long-term investments in data? There’s a difference between saying "this will save the company millions" and "this will save you hours every week and advance your career."
Organizational researchers have long understood that organizations work at three levels: Company, team, and individual. True transformation happens at the intersection of these levels, when organizational needs and personal growth align. Miss the personal level, however, and you're building a digital castle in the air.
So ask yourself this crucial question: "How do we align data culture with daily work experience?" If you can't answer that question with specific examples and convincing incentives, your data strategy needs to get personal. When good data practices become a path to personal success, cultural change will follow naturally.