Module 02 · 20 minutes
Data Readiness
Compare simple rules, predictive AI, and generative AI, then decide whether to build or use an existing service.
Written and edited by Cahyanto Arie Wibowo. Last reviewed · version 1.2.
When is the idea of “Data Readiness” most useful?
Applied AI places Data Readiness inside a realistic situation and follows the consequences of the choice. Separate facts from assumptions before applying Data Readiness. This keeps a sophisticated label from covering up a poorly understood problem. Use the lesson to decide when Data Readiness is useful and when a simpler approach is enough.
After this lesson
- Applied AI places Data Readiness inside a realistic situation and follows the consequences of the choice.
- Use the idea of “Data Readiness” to interpret one realistic situation.
- Explain the limits of the concept and the information that still needs to be checked.
Start with the situation
Understand the situation first. The label can come later.
A rule can validate an invoice number. Extracting information from free text may require an AI model. This lesson uses the idea of “Data Readiness” to examine that situation without treating a single term as the answer to every problem.
Applied AI places Data Readiness inside a realistic situation and follows the consequences of the choice. Compare simple rules, predictive AI, and generative AI, then decide whether to build or use an existing service. Connect the term to a decision someone genuinely needs to make.
Visual model
Map the parts before choosing what to do.
Read the diagram as a map of Data Readiness: begin with the context, follow the connections, and inspect the highlighted point before making a decision.
Let’s see how it works
Reading the situation in practice
Separate facts from assumptions before applying Data Readiness. This keeps a sophisticated label from covering up a poorly understood problem. Begin with what can be observed, then separate facts, assumptions, and open questions.
A rule can validate an invoice number. Extracting information from free text may require an AI model. Identify the part of the situation most closely connected to the idea of “Data Readiness”. Use the case as a thinking tool, not as proof that one solution fits every context.
Working definition
What it means, and when to be careful with it.
Applied AI places Data Readiness inside a realistic situation and follows the consequences of the choice. Compare simple rules, predictive AI, and generative AI, then decide whether to build or use an existing service. Connect the term to a decision someone genuinely needs to make.
- Data Readiness
- Applied AI places Data Readiness inside a realistic situation and follows the consequences of the choice. Separate facts from assumptions before applying Data Readiness. This keeps a sophisticated label from covering up a poorly understood problem. Use the lesson to decide when Data Readiness is useful and when a simpler approach is enough.
- Boundary to check
- The largest model is not always the cheapest, fastest, or safest choice. This mistake often appears when a label is used before the problem is understood. Write down your assumptions so another person can review them.
Pause for a moment
What evidence could change this decision?
Answer before opening the discussion. Name one fact and one assumption.
Open the discussion
Applied AI places Data Readiness inside a realistic situation and follows the consequences of the choice. Separate facts from assumptions before applying Data Readiness. This keeps a sophisticated label from covering up a poorly understood problem. Use the lesson to decide when Data Readiness is useful and when a simpler approach is enough.
Try it on your work
Try it with one small piece of real work.
- Choose one real situation related to Data Readiness.
- Separate what you can observe from what you are assuming.
- Write one decision, its owner, and the evidence needed to review it.
- Name the signal that would make you stop or change direction.
Make one small decision with the idea of “Data Readiness”. Record your reasoning, the limits, and the signal that would make you change course. The larger module activity is: Use a decision tree to choose an approach for three different cases. Keep the first version small enough for another person to review in a few minutes.
A tempting shortcut
A familiar term can still lead us to the wrong decision.
Why this can seem reasonable
The largest model is not always the cheapest, fastest, or safest choice. This mistake often appears when a label is used before the problem is understood. Write down your assumptions so another person can review them.
How to check it
Separate facts from assumptions before applying Data Readiness. This keeps a sophisticated label from covering up a poorly understood problem. Begin with what can be observed, then separate facts, assumptions, and open questions.
Quick practice
Make one small decision with the idea of “Data Readiness”. Record your reasoning, the limits, and the signal that would make you change course. The larger module activity is: Use a decision tree to choose an approach for three different cases.
Summary
- Applied AI places Data Readiness inside a realistic situation and follows the consequences of the choice.
- Use examples and evidence to test your understanding.
- Record the limits, risks, and conditions that should trigger another review.
Continue from here
- Build, Buy, or Combine: Continue the idea from Choosing an Approach with a closely related example.
- Value Exchange: Connect this lesson to Product Thinking and test the idea in another context.
- Task Decomposition: See how the same decision changes when viewed through Prompting.
Sources and further reading
- Rules of Machine Learning: Google for Developers · official-guidance. Primary reference for the definition, evidence, or limits discussed in “Data Readiness”.
- Data on the Web Best Practices: W3C · web-standard. Further evidence and context for checking the explanation in “Data Readiness”.
- Artificial Intelligence Risk Management Framework: NIST · official-framework. Further evidence and context for checking the explanation in “Data Readiness”.