DATA READINESS 22 APR 2024 8 MIN READ

The hidden cost of bad operational data and how to fix it.

Why data quality issues persist—and the practical steps organisations can take to unlock real value.

Written by

Alexandra Morgan Principal Consultant

8 min read

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Poor data quality is one of the most persistent—and most expensive—problems in operational work. It hides in the handoffs between systems, the exceptions people repair manually, and the spreadsheets nobody fully trusts.

When records are incomplete or inconsistent, every downstream decision slows down. Teams spend time reconciling versions of the truth instead of improving the work itself.

This article shows how to spot the hidden cost, where it usually enters the workflow, and what a practical improvement plan looks like.

Why data quality matters more than you think

Good data is not a governance slogan. It is the operating surface for every decision, forecast, handoff, and customer interaction.

  • Make faster decisions with less rework.
  • Reduce manual correction and duplicate effort.
  • Improve service quality and customer confidence.
  • Create a clearer trail for compliance and audit.

The true cost of bad operational data

It is rarely just bad reports or duplicate records. The cost shows up as manual rework, slower decisions, customer frustration, and a steady loss of confidence in the numbers.

35%

Increase in operating costs

Inefficient processes, rework and manual data fixes add significant overhead.

28%

Drop in productivity

Teams spend too much time chasing data instead of driving outcomes.

20%

Impact on decision quality

Leaders lack confidence in data, slowing decisions and creating risk.

£2.3m

Average annual loss

The average cost to mid-sized organisations due to poor data quality.

Where data quality breaks down

Across sectors, the same failure points repeat: fragmented systems, inconsistent entry, weak ownership, and legacy infrastructure that cannot keep up with the pace of change.

  1. Fragmented systems

    Siloed data across multiple platforms with no single source of truth.

  2. Inconsistent data entry

    Manual processes and lack of standards lead to errors and gaps.

  3. Lack of governance

    Unclear ownership and accountability allow issues to persist.

  4. Outdated infrastructure

    Legacy systems cannot keep up with the volume or velocity of data.

A practical framework for improvement

The fastest way to improve data quality is to treat it as workflow design, not just data cleaning. Start with one process boundary, one owner, and one measure that matters.

  • Define the owner for each critical field or handoff.
  • Reduce the number of places where data can be entered or changed.
  • Build validation into the process rather than patching it later.
  • Track the impact with a small set of operational metrics.

What good looks like

Good data shows up as fewer exceptions, faster decisions, clearer ownership, and a team that trusts what the system tells them.

Good data doesn’t happen by accident.

It happens by design.

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