The 6 levels of data maturity: Before You Scale, You Need to Know Where You Stand

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5 Minutes Read

Why ambition, pressure and missing foundations slow down even the most capable organisations

You’re attending a leadership meeting late in the afternoon. The agenda is full. Growth targets. Hiring challenges. Operational pressure. Customer expectations. Somewhere halfway down the list, data and AI appear again. Not for the first time. Not for the last.

Someone asks the question that has been asked many times before, in many variations:

“We all agree data is important. But where do we realistically start, and who actually has the time for this right now?”

This is where many ambitious organisations find themselves today. They want to grow, scale, professionalise and automate. They understand that data is knowledge, and that knowledge is leverage. They read the same articles, attend the same conferences, and hear the same stories about AI-driven success.

The will is there. The pressure is there. What is missing is space. Space to build foundations before accelerating.

“You cannot scale decisions on foundations you have never examined.”


A pattern we keep seeing, regardless of industry

Over the years, we have worked closely with leadership teams across very different organisations. Some operate in highly regulated environments. Others are scaling rapidly. Some deal with physical operations, others with people-intensive services.

The contexts differ. The structural challenges remain strikingly similar.

Ambitious organisations invest in data and AI, yet struggle to turn that investment into consistent, organisation-wide impact. Progress happens, but it feels fragile. Improvements appear in pockets, often driven by motivated individuals, while the broader organisation remains largely unchanged.

That recurring pattern is what led to the development of the Madison Partners Data & AI Maturity Model®: a way to describe how organisations evolve in practice. How they make decisions. How they organise ownership. How they deal with pressure, scarcity of time and competing priorities.

The model distinguishes six levels of maturity. Each level reflects a recognisable organisational reality.


The question leaders rarely ask out loud

Most organisations believe they are further along in their data and AI journey than they really are. That belief is shaped by how progress is usually perceived.

Dashboards exist. Tools are implemented. Pilots deliver promising results. From the outside, this looks like momentum. Inside the organisation, a different set of questions keeps resurfacing:

  • “Why do these numbers still trigger debates instead of decisions?”
  • “Why does every new initiative feel harder than the previous one?”
  • “Why does scaling always expose things we thought we had already fixed?”

These questions are signals. They point to maturity, or the lack of it. Based on our assessments and reports, the distribution is clear:

  • 40% of organisations operate at Levels 1 and 2
  • 30% are experimenting actively at Level 3
  • 15% reach Level 4
  • 10% operate at Level 5
  • Level 6 remains rare

    6 levels of Data Maturity Assessment

Early maturity: ambition under pressure

Leaders talk about growth and scalability. They want to professionalise decision-making, but they also want to understand why growth does not translate into higher margins, why profitability lags behind revenue, or why certain parts of the organisation consistently underperform. They understand that intuition alone will not carry them through the next phase. They want data to surface where things go wrong, so they can intervene where it matters.

Yet leadership teams are stretched thin. Sales demand attention. Operations need to keep running. Regulatory obligations take priority. Boards ask for results now, not structural improvements that may pay off later. A familiar internal dialogue emerges:

“We know we need better data foundations. We just cannot afford to slow down right now.”

As a result, data-related responsibilities are spread across roles that already carry full workloads. Strategy exists, but it lives in presentations rather than in daily decisions. Reporting grows organically, without clear ownership or shared definitions.

This is Level 1 and Level 2 of maturity. Organisations function. Results are delivered. Data supports decisions occasionally, but it does not guide them structurally.


The stage where effort increases and clarity decreases

As organisations move forward, activity increases. Dedicated initiatives are launched. Data teams take shape. Tools are selected. Pilots demonstrate what is technically possible. This is often experienced as a breakthrough.

“We finally have something tangible to show.”

This is Level 3, where experimentation becomes visible and optimism grows.

It is also where foundations are most often postponed, because everything feels urgent. Mapping existing data landscapes, aligning definitions, clarifying ownership and designing governance rarely feel as pressing as delivering the next use case.

So organisations move forward without a clear overview of what already exists. New dashboards are built alongside old ones. New initiatives coexist with legacy reporting. Decisions are made on partial views of reality.

For a while, this works.

Until scaling becomes painful. Until trust in numbers starts to erode. Until every new initiative seems to require more effort than the last. The cost of missing foundations rarely appears immediately. It accumulates quietly, and it surfaces later, when change becomes harder and progress slows down.


Where maturity starts to feel different

At Level 4, something fundamental shifts.

Organisations start treating data as a shared asset rather than the by-product of individual teams. Ownership becomes explicit. Definitions align. Governance starts supporting progress instead of obstructing it. Leaders often describe this stage with a sense of relief:

“For the first time, we spend less time arguing about numbers and more time discussing what to do.”

Decisions become repeatable, and insights travel across departments. The organisation starts learning as a whole. This is the point where data begins to create structural value: consistent, dependable improvement.

Niek & Navaron office view


Maturity beyond value

Levels 5 and 6 represent a different horizon.

At Level 5, data actively shapes strategy. Objectives are clear at every level, and performance is monitored in near real time. AI supports core decision-making. Ownership increasingly sits with the business. Only a small share of organisations operate here.

At Level 6, data-driven decision-making extends beyond organisational boundaries into partnerships and ecosystems. Data literacy is embedded across all leadership roles. Expansion and collaboration are designed with data in mind from the start.

Every organisation benefits from understanding what these levels require. Not every organisation needs to be there.


Why foundations matter more than speed

In a world dominated by AI promises and constant acceleration, it is tempting to move faster, invest more and hope clarity will follow. Experience shows the opposite.

Organisations that pause earlier to create an overview, ownership and shared understanding move faster later. Organisations that delay this work often pay for it when scaling exposes what was never properly aligned.

The most successful transformations we see share one trait. They start with an honest assessment of reality.

  • Where are we today?
  • What already exists?
  • What do we trust, and what do we not?
  • Who owns what, clearly and explicitly?

That clarity is what allows ambition to translate into impact.
1-2


The six levels of Data and AI maturity at a glance

Level 1: In the Dark
Decisions rely primarily on experience and intuition. Data plays a limited supporting role.

Level 2: Catching Up
Awareness grows. Reporting improves. Insights remain retrospective and siloed.

Level 3: First Pilots
Initiatives and use cases create momentum, while fragmentation increases.

Level 4: Tactical Value
Data becomes a shared organisational asset. Value becomes repeatable.

Level 5: Strategic Leverage
Data actively shapes strategy. AI supports core decision-making.

Level 6: Optimise and Extend
Data-driven decision-making expands into ecosystems and partnerships.

QuickScan white

The most impactful transformations do not begin with technology choices. They begin with an honest understanding of where an organisation truly stands. Often, the most powerful step is simply knowing where you are today.
That is exactly what our Data & AI Maturity QuickScan is designed to help you do.

 

 

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