Data analytics have always been considered as one of the key sources for informed strategic decisions (Intezari & Gressel, 2017). Higher levels of data sufficiency, relevance, validity, and reliability would definitely lead to more confident strategic business decisions. This applies to various business scenarios, e.g. the pre-product launch which requires an a priori understanding of the planned behavior of potential customers. The latter would enable the creation of a product tailored to motivate their willingness to purchase, consequently yielding better sales returns (Sun, 2020).
Notwithstanding the utilization of data analytics by business professionals, most businesses are still basing their decision-making process on experience and intuition rather than informative data analytics (Patria, 2021). A study conducted in 2014, showed that 58% of the companies base at least half of their regular business decisions on experience and/or gut feeling rather than data and information (Bange, Handford, & Janoschek, 2014).
Despite being one of the most economically diverse areas in the world, informative data driven decision making is yet to reach its optimum in the MENA region (Hamdan, Hassanien, Razzaque, & Alareeni, 2021). Consumers in the MENA region have become more intrigued and willing to share personal data if it leads to a healthier lifestyle. A recent press release by Ernest & Young reports that 77% of MENA consumers are willing to share their personal data for healthier product recommendations (EYGM, 2021). This should motivate both public and private sectors entities to make use of those data to improve social and environmental impacts.
On another note, the Middle East point of view issue by Deloitte lists five key factors hindering the advancement of using data in the GCC countries: (i) limited governance to foster the development of big data, (ii) unstandardized and poorly classified data by governments to facilitate usage, (iii) absence of the culture for promoting and sharing data, (iv) lack of capabilities to utilize big data, and (v) lack of awareness about the importance and availability of big data (Morar, Kilani, Prevost, & Meyer, 2019). These five key factors require the urgent attention of governments, NGOs, and private organizations to lead a sustainable change toward efficient data usage. Some cultural changes are therefore necessary to elicit the dependency on information in both strategic decision making and innovation.
References
Bange, C., Handford, M., & Janoschek, N. (2014). Information culture: Leveraging the power of collective intelligence for better decision making. Würzburg: BARC Institute.
EYGM. (2021, May 17). 70% of MENA consumers believe brands have a responsibility to positively impact the world. Dubai, AE: EYGM Limited. Retrieved from https://www.ey.com/en_lb/news/2021/05/ey-70-of-mena-consumers-believe-brands-have-a-responsibility-to-positively-impact-the-world
Hamdan, A., Hassanien, A. E., Razzaque, A., & Alareeni, B. (2021). The Fourth Industrial Revolution: Implementation of Artificial Intelligence for Growing Business Success (Vol. 935). Springer Nature.
Intezari, A., & Gressel, S. (2017). Information and reformation in KM systems: big data and strategic decision-making. Journal of Knowledge Management.
Morar, B., Kilani, M., Prevost, J. L., & Meyer, K. (2019). Big Data in the GCC: From strategy to global leadership. Deloitte. Retrieved from https://www2.deloitte.com/ye/en/pages/about-deloitte/articles/revolution/big-data-gcc.html
Patria, H. (2021). The Role of Leadership and Decision-Making under Crisis: A bibliometric analysis and scientific evolution from 1962 to 2020. APMBA (Asia Pacific Management and Business Application), 10(1), 39-54.
Sun, W. (2020). Toward a theory of ethical consumer intention formation: Re-extending the theory of planned behavior. AMS Review, 10(3), 260-278.
