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Data Engineering9 min read

The Economics of Data Quality: Garbage In, Millions Out

Poor data quality costs organizations $12.9M per year on average. Prevention costs 1%.

By Richard Ewing·

The Data Quality Tax

Gartner: poor data quality costs organizations $12.9M/year on average. Causes: missing validations, schema drift, upstream changes, and stale data.

Prevention costs: data quality monitoring ($20-50K/year), schema validation ($10-20K), data contracts ($15-30K engineering time). Total: $45-100K. ROI: 100-280x.

Implement: Great Expectations, dbt tests, Monte Carlo, or Soda. Any of these pays for itself within the first quarter.

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Published Work

This article expands on ideas from my published work in CIO.com, Built In, Mind the Product, and HackerNoon. View published articles →

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Richard Ewing

The Product Economist — Quantifying engineering economics for technology leaders, PE firms, and boards.