Soft skills for data analysts in business

A momentous shift has occurred in the world of data analysis over the last ten years as the industry has turned its focus toward the digital arena. Once a sideline operation that was looked after by the IT department, data analytics is now front and centre in the strategic plans of every successful organisation. All signs point to this trend experiencing robust growth. A 2021 report produced by Allied Market Research projected the global big data and business analytics job market to grow at a compound annual growth rate (CAGR) of 13.5 per cent from 2021 to 2030.

This projected job growth translates to plenty of potential opportunities for individuals equipped with a Master of Analytics degree. However, to fully find success as a data analyst in business, candidates need to develop a strong set of soft skills to accompany traditional data analyst skills, like analytical knowledge and programming language competencies. Aspiring data analytics professionals must be aware of these essential soft competencies, and why they are so critical for success.

How data analysts play a strategic role in business

The increased focus on data analytics has also meant an entirely new level of responsibility and respect for those in the field of data science and technology. Rather than usually being tasked with a specific function as they have in the past, today the role is considered strategic.

Data analysts are now drivers of decision making and influencers of policy and strategy. Their knowledge and talent mean data analysts are in high demand across departments and sectors. The reason for the demand is because of the primary objective of the data analyst role. That is, to transform insights pulled from a wide range of data into information that can be applied toward effective business growth and maintenance strategies. 

To carry out such a role, an entirely new set of skills is required. Specifically, soft skills are critical for a data analyst to influence business decisions at an executive level. People are not born with these soft skills. Fortunately, they can be taught. So what are the key soft skills for a data analyst to have?

Top soft skills for data analysts in business 

Much like data analysts can turn various forms of digital information into actionable insights, soft skills can help them inform others about why their findings matter. These special data analyst skills are vital because they help build relationships that demonstrate a mutual desire for business success. 

The right set of soft skills can give a data analyst the business acumen to develop the elements that drive these relationships, such as the following.

1. Trustworthiness              

Few managers or leaders who have not earned the trust of their people find real success. That’s because, without trust, staff will not engage or feel any real passion toward their leader’s direction.

The same is true of those expected to lead from non-leadership positions — a position data analysts often find themselves in. To successfully influence the decisions of the CEO, the executive team or board without being in a leadership position, data analysts must be trusted by those being advised.

The subskills that can help build trustworthiness include:

• Communication — Relevant, useful data can be complex to others outside the data analytics field. Therefore, it is crucial for data analysts to share information in a way that expresses the value of the data, so that an organisation’s decision makers can fully put their confidence in what the data has to offer.
• Collaboration — Turning data into business strategy is a team effort that involves cooperation between data analysts and an organisation’s high ranking individuals. Data analysts who demonstrate a knack for working with others to seek out better business solutions can be seen as reliable professionals who use their skills for the greater good of the business.

2. Clarity            

On the subject of presentation and jargon, nothing will lose an audience more quickly than a set of data tables filled with figures. An analyst should never start by presenting raw data in a purely clinical way, as their understanding is going to be very different than someone who has no analytics knowledge and may be looking at complex data for the first time. Instead, data analysts should begin with a very clear explanation of the problem that is to be solved, followed by a summary of why that problem is of strategic importance. This engages the audience. 

The subskills that can help demonstrate clarity include:

• Writing skills — Presenting facts and findings via written reports is a large part of a data analyst’s job. To optimise the impact of these facts and findings, data analysts must be able to write their findings in a clear, concise manner free from ambiguity. Doing so minimises the chances of the types of misunderstandings that could delay or even derail a project.
• Public speaking — If data analysts aren’t presenting their information via written reports, they may be presenting them in person in front of an audience. This makes public speaking a crucial soft skill for data analysts. They must be equipped to present their information and make their case for the data in a polished way that is free of jargon and organically meets the audience at their level.

3. Honesty      

In the corporate world, it is not unheard of for senior executives to be told what they wish to hear. Before the advance of analytics, gut instinct was an acceptable way to lead in the business environment as experience and seniority were indicative of being able to make good decisions.  

Today, however, data analytics can reveal the absolute truth of a situation, and sometimes it may not be what the executive team wants to hear. The data illustrate reality, and how easy or difficult that reality is to present to the rest of the team depends on the data analyst’s skills. 

The subskills that can help develop an air of honesty include:

• Problem solving — Data analysts may encounter issues such as problems with how data was gathered or unexpected data inconsistencies. When these occasions occur, it can be vital for data analysts to identify and resolve the issue, all while keeping relevant stakeholders informed.
• Business understanding — Data analysts must be aware of how their findings can impact their employer’s business within their particular industry. This understanding can help data analysts better understand the ramifications of their findings before their presentations. 

Why are soft skills important?

Soft skills form a bridge between raw data and actionable insight. Without skills in communication, presentation and problem-solving, data can end up being numbers without meaning or purpose. This can make the data irrelevant from a business standpoint.

With these soft skills, however, a data analyst can ensure that numbers and statistics highlight important information concerning customer behaviours, consumer trends, or emerging business innovations. These are the very elements that can lead to effective, efficient growth. Because contemporary data analysis can provide an unprecedented amount of insight potential due to the ever-growing number of ways data can be gathered, a data analyst with a strong soft skill set is positioned to use their data insight to help businesses grow with greater efficiency.

Become a skilled source for business growth

As the role of data in business continues to expand, the work of the data analyst in business will continue to flourish. Those who understand how to combine the hard and soft skills required for success can position themselves as leaders in a field poised to make a significant impact for years to come.

The online Master of Analytics program at UNSW-Sydney can help you develop the comprehensive skills to succeed. With specialisations in General Analytics and Marketing Analytics, our program is designed to give you advanced analytics competencies for data-driven decision making that can be immediately applied to professional situations. 

Learn how we can help you emerge as a strong leader in a dynamic, evolving industry. Get in touch with our enrolment team on 1300 974 990.