written by
5000fish Team

What Is Data Literacy? (And How to Improve It)

BI Problems and Solutions 5 min read
DashboardFox - Self Service BI

The world runs on data. But not everyone knows how to use it properly. In fact, many organizations struggle with data literacy, and as a result, they aren’t able to make informed decisions that could guide them toward their goals. Because modern data is so massive, highly technical solutions are required to keep it organized.

This can result in many non-technical people struggling to grasp the meaning behind the large volumes of data their company generates. This is why data literacy is the most essential skill in the current decade — it allows you to not just understand data but draw meaningful conclusions from it to make better decisions.

What Is Data Literacy?

Data literacy is a set of skills that allows someone to analyze, interpret, and draw relevant conclusions from data. People with strong data literacy are able to:

  • Explore data in meaningful ways to identify patterns, trends, and insights about their company’s performance.
  • Understand different sets of data and how they connect or correlate to one another.
  • Communicate data findings in ways that are both easy to understand and connected to their goals.

A March 2022 survey found that 87% of employees find basic data skills important for their day-to-day work. The same amount of business owners expected basic data skills from employees at all levels.

However, only 40% of employees who responded to the survey felt that they had received the proper training to have the data skills they were expected to have. This is just a reflection of the large data literacy skill gaps in organizations, particularly at lower levels of the corporate hierarchy or among middle and even top management in non-technical roles.

Skills Needed

Being data literate allows you to make more informed decisions and understand information on a deeper level. Having data skills helps you:

  • Ask the right questions about data to find the most helpful answers within the information available.
  • Find and access data by knowing where it resides and how to filter and sort it according to your needs.
  • Understand key data concepts such as various data types and basic statistical terms to meaningfully interpret the information.
  • Analyze data to extract meaningful insights and interpret them into actionable solutions.
  • Communicate data analyzes findings to other people, including less data-literate individuals who may not understand how to interpret data on their own.

Having data literacy skills allows you to become a leader in your organization, and it can be empowering in your personal life, too. While we may sometimes feel overwhelmed by the sheer volume of data available, data literacy offers a solution.

When you have the right skills and knowledge, you know how to identify only the most relevant data for your needs. This cuts back on all the excess information, quiets the noise, and allows you to find a more meaningful solution in every scenario.

Benefits to Enjoy

Now that you understand what skills involve data literacy, it’s a good idea to understand exactly what those skills can help you achieve. With greater data literacy comes clearer communication, enhanced decision-making, and more accurate problem-solving. By investing time into learning how to read, interpret, and communicate data, you can:

  • Make better decisions that are rooted in data and analytics, giving you greater credibility and assurance.
  • Solve problems more efficiently by using data to first understand the issue better and come up with more tailored solutions.
  • Spot trends early and capitalize on opportunities to grow your business.
  • Communicate ideas more persuasively to others, especially management and stakeholders who want data to support your suggestions.

How to Start Improving Data Literacy

The best place to start is with the basics. Learn fundamental data principles like data types, statistical terms, and data visualization principles. This will help you get started and build a strong foundation.

You should also get hands-on experience when you can. There are many business intelligence (BI) tools that help you work with real data. Using tools with user-friendly, intuitive interfaces and visual reports makes it much easier to extract relevant information.

Another good way to improve data literacy is to keep an open mind. Rather than feeling like you need to master data in a short time frame, allow yourself to always keep learning. The more you explore, the more you’ll grow and discover new ways to understand and use data in your daily life.

Finally, seek out content that will help you continue to refine your skills. Read articles and watch videos on data topics that help you understand complex ideas more easily.

Of course, using the right tools can have all the difference in your learning journey. DashboardFox is a highly intuitive dashboard that uses various features to make analyzing and interpreting data easier.

For example, semantic layer acts as a translator between you and various data sources. It keeps everything consistent and ensures every user communicates with the same terminology to make talking about data much easier.

Our App Concept also creates focused reports and dashboards tailored to your individual needs. This means you only see relevant data presented in a clear format that instantly allows you to gather meaningful insights. Each department or individual within your organization can have their own dashboard to reach the metrics and information that are most relevant to their needs.

Empower Data Literacy Across Your Organization with DashboardFox

Data literacy is essential for making informed decisions, but fostering it can be a challenge. DashboardFox simplifies this process, empowering everyone in your organization to understand and utilize data effectively.

With DashboardFox's intuitive interface, non-technical users can easily create personalized reports, explore data through interactive visualizations, and ask questions of their data without relying on IT. This hands-on experience builds confidence and encourages a deeper understanding of data concepts.

Furthermore, DashboardFox promotes data collaboration, allowing team members to share insights, ask questions, and collectively work towards data-driven solutions. This shared experience not only boosts individual data literacy but also strengthens the overall data culture within your organization.

Ready to see how DashboardFox can transform your data literacy journey? Experience the difference with a free live demo or book a meeting with our team to discuss your specific needs.

DashboardFox: Empowering everyone with data insights.

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