BUSINESS RESEARCH

Data Formats

Data formats define how individual values like numbers, dates and text, are stored. Choosing the right format improves precision, reduces errors, and ensures insights are communicated clearly. This hot topic explores how numeric, date/time and text formats work, and why selecting them carefully matters for data-powered leaders.

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Data Formats

Understanding Data Element Formats

Data element formats define how individual values are stored inside a dataset (Elmasri & Navathe, 2015). Unlike storage formats, which cover whole files, element formats operate at field level and influence accuracy, consistency and communication of insights. For day to day work, the most important formats are numeric, date/time and text.

1. Numeric Data Formats
Numbers are used everywhere in analysis, but they do not all behave the same. The way a number is stored affects accuracy, calculations and how reliable your results are.

1.1 Integers (Whole Numbers)
Integers are numbers without decimal places. 
Examples: 0, 12, −5, 247
They are exact, simple and used when you are counting whole things such as:

  • Number of orders.
  • Number of customers.
  • Number of days.
  • Quantities of items.

Because integers store whole numbers exactly, they never create rounding errors.
Best for: Counting anything that should not have decimals.

1.2 Decimal (p, s) (Exact Numbers with Precision)
Decimal (p, s) stores numbers exactly, including decimal places.

  • p = precision → total number of digits.
  • s = scale → digits after the decimal.

Example: Decimal (10, 2)

  • Up to 10 digits in total.
  • 2 digits after the decimal.
  • e.g., 12345678.90

Decimal is the safest choice when accuracy matters, and you cannot risk rounding problems (Elmasri & Navathe, 2015).
Best for: Money, KPIs, percentages, performance measures and totals, and calculations you need to trust.

1.3 Floating Point Numbers (Approximate Values)
Floating point numbers can store very large or very small values, but they are not exact. Some decimals cannot be represented precisely in binary, so the computer stores the closest possible version (Goldberg, 1991).
This is why you sometimes see odd results like:
0.1 + 0.2 = 0.30000000000000004
These rounding differences might look tiny, but they can add up and cause totals or KPIs to drift slightly.
Best for: Scientific or technical maths. 
Not good for: Anything that needs to be accurate.

1.4 Why choosing the right numeric format matters
Getting numeric formats wrong can cause:

  • Totals that do not add up.
  • Dashboards showing inaccurate KPIs.
  • Differences between systems storing the same number.

2. Date and Time Formats
Dates and times are essential for trend analysis and forecasting, but they are often stored incorrectly.

2.1 Structured Date Time Types
IBM (2025) defines standard types like DATE, TIME and TIMESTAMP, which store values consistently and support sorting, filtering and time calculations. These formats avoid regional confusion and behave predictably across tools.

2.2 Dates Stored as Text
Values such as “01/02/23” are ambiguous because systems may interpret them differently (DD/MM vs MM/DD). When stored as text, dates sort alphabetically rather than chronologically. This breaks time series charts, filters and comparisons.

2.3 Regional and Time Format Differences
Date and time formats also vary across regions and systems. The UK commonly uses DD/MM/YYYY, while the US uses MM/DD/YYYY, meaning the same text value can be interpreted as a completely different day. Time formats differ too, with some systems using the 24 hour clock (14:30) and others using 12 hour format with AM/PM. If these formats are mixed or imported incorrectly, dates and times can shift, calculations become unreliable, and dashboards may show inconsistent results.

2.4 Why Choosing the Right Date Formats
Choosing proper date/time types prevents errors in sorting, filtering, grouping, time calculations, trend analysis and BI visuals. Correct formats ensure charts display properly, date ranges work as expected, and reporting remains accurate.

3. Text and Character Formats
Text fields hold names, categories, IDs and descriptions. They look straightforward, but behind the scenes, computers store text using different encoding rules. If the encoding is not consistent, values that look the same can behave differently during analysis.

3.1 How Text is Stored (Unicode)
Most modern systems use Unicode, which provides a standard way to represent characters from different languages. However, some characters can be written in more than one valid way. For example, the letter é can be stored as a single combined character or as e + accent. Even though they look identical on screen, the computer sees them as different values (Unicode.org, 2025).

3.2 Normalisation
Unicode Normalisation Forms standardise how characters are stored so that identical looking text is treated the same. Without normalisation, you may see issues such as:

  • Names that do not match during lookups.
  • Categories that appear duplicated.
  • Failed joins or merges between datasets.
  • Inconsistent search or filter results.

3.3 Why Choosing the Right Text Format Matters
Using consistent text formats helps tools recognise categories, perform lookups correctly and combine datasets without errors. It prevents issues like duplicated labels, failed filters and miscommunication between teams.

 

Referenced techniques

Technique

Data Storage

Storing data in the right format helps maintain accuracy, consistency and usability. Clear storage structures support reliable analysis and reduce errors, improving how information is accessed and used across systems (Elmasri & Navathe, 2015).

Technique

Collating and Formatting Data

Before any analysis can happen, data needs to be collated from correct sources and formatted so it follows clear organisational standards. Research shows that inconsistent structures and formats make data harder to combine, process and trust (Jagadish et al., 2014). Collating and formatting ensure the dataset is clean, consistent and ready for use.

Technique

Introduction to Accessing Data from Identified Sources

Accessing data from the right sources ensures information is accurate, reliable and suitable for analysis. Knowing where data sits and how to retrieve it safely helps you work confidently with internal systems and external datasets (Laudon & Laudon, 2004; Kitchin, 2014).

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