What is Business Intelligence? Why BI? The characteristics of a Business intelligence Benefits Limitation Examples Significance Future Prospects
In 1989 Howard Dresner a Research Fellow at Gartner Group popularized "BI" as an umbrella term to describe a set of conceptsand methods to improvebusiness decision-making by using fact-based support systems
Business Intelligence is the processes, technologies, and tools that help us change data into information, information into knowledge and knowledge into plans that guide organization Technologies for gathering, storing, analyzing and providing access to data to help enterprise users make better business Decisions
Make more informed business decisions: Competitive and location analysis Customer behavior analysis Targeted marketing and sales strategies Business scenarios and forecasting Business service management Business planning and operation optimization Financial management and compliance
Single point of access to information Timely answers to Business questions Using BI in all Departments of an organization
Improve Operational efficiency Eliminate report backlog and delays Find root causes and take action Negotiate better contracts with suppliers and customers Identify wasted resources and reduce inventory costs Sell information to customers, partners, and suppliers Leverage your investment in your ERP or data warehouse Improve strategies with better marketing analysis Give users the means to make better decisions Challenge assumptions with factual information
Very high software cost. Expensive and time consuming training. A wide Variety of technology experts. Extensive system upgrade and maintenance. Movement of data between disparate data source. Queries done out of BI systems can be cumbersome and time-consuming to run for end users
Page Effectiveness ReportPercentage of visits clicking on different links 14% 3% 2% 8% 2% 13% 9% 0.6% Top Menu 6% 3% 2% 0.3% 2% 2%18% of visits exit at the welcome page Any product link 7%
Todays exciting BI market is ripe with opportunities to hit your strategic business targets. Gaining market share, keeping customers and controlling costs remain key objectives. Mid-market executives and big corporate department heads rush to cost effectively meet these complex needs. How? Through improved use of their existing database systems. CFOs require business intelligence systems that display accurate SKU or customer-level P&Ls, permitting reliable channel and store comparisons over time. Improved forecasts are vital, too! Data warehousing and analytical skills are combined with an understanding of industry issues, as we refine and implement your vision. According to Gartner survey of 1,400 CIOs, business intelligence was ranked the top technology priority surpassing security. The BI and analytics market is currently valued at $8.5 Billion and is expected to grow to $13 Billion over the next five years
Database systems and database integration Data warehousing, data stores and data marts Enterprise resource planning (ERP) systems Query and report writing technologies Data mining and analytics tools Decision support systems Customer relation management software Product lifecycle and supply chain management systems
Knowledge of database systems and data warehousing technologies Ability to manage database system integration, implementation and testing Ability to manage relational databases and create complex reports Knowledge and ability to implement data and information policies, security requirements, and state and federal regulations
Understanding of the flow of information throughout the organization Ability to effectively communicate with and get support from technology and business specialists Ability to understand the use of data and information in each organizational units Ability to present data in a user-centric framework Ability to understand the decision making process and to focus on business objectives Ability to train business users in information management and interpretation
Basics of data warehousing design and management Data warehouse architectures Data marts and data stores Data structures and data flow Dimensional modeling Extract, clean, conform and deliver Server management tools to package, backup and restore Database server activity monitoring and performance optimization
Data mining: the extraction of predictive information from large databases. Data trend, connection and behavior pattern analysis Data quality Data mining tools Predictive and business analytics Descriptive and decision models Statistical techniques and algorithms
Data representations Information graphics Data representation techniques and tools Visual representation – trends and best practices Interactivity in data representation Tools and applications The user perspective on information presentation
Capturing and documenting the business requirements for BI solution Translating business requirements into technical requirements BI project lifecycle and management Key Performance Indicators (KPIs), actions, and stored procedures User education and training Data-based decision making Effective communication and consultation with business users
Business Intelligence (BI) Specialist works with business users to obtain data requirements for new analytic applications, design conceptual and logical models for the data warehouse and/or data mart and communicate physical designs to the database group. The BI specialist also develops processes for capturing and maintaining metadata from all data warehousing components.
Business Intelligence Developer is responsible for designing and developing Business Intelligence solutions for the enterprise. The Developer works on-site at the corporate head quarters. Key functions include designing, developing, testing, debugging, and documenting extract, transform, load (ETL) data processes and data analysis reporting for enterprise-wide data warehouse implementations. Responsibilities include: working closely with business and technical teams to understand, document, design and code ETL processes; working closely with business teams to understand, document and design and code data analysis and reporting needs; translating source mapping documents and reporting requirements into dimensional data models; designing, developing, testing, optimizing and deploying server integration packages and stored procedures to perform all ETL related functions; develop data cubes, reports, data extracts, dashboards or scorecards based on business requirements.
The Business Intelligence Report Developer is responsible for developing, deploying and supporting reports, report applications, data warehouses and business intelligence systems. Primary responsibilities include creating and automating quality control processes and methods, providing maintenance and enhancement of data warehouse reports, creating ad hoc data warehouse queries, solving data related reporting issues and documenting all reports created. The report developer must have experience in user facing roles (e.g. gathering requirements, establishing project objectives, leading meetings) and in developing, selecting and conducting user training as needed. The Developer also participates in all aspects of data warehouse projects including conceptualization, design, construction, testing, selection, deployment and post-support implementation.
A hotel franchise uses BI analytical applications to compile statistics on average occupancy and average room rate to determine revenue generated per room. It also gathers statistics on market share and data from customer surveys from each hotel to determine its competitive position in various markets. Such trends can be analyzed year by year, month by month and day by day, giving the corporation a picture of how each individual hotel is faring. A bank bridges a legacy database with departmental databases, giving branch managers and other users access to BI applications to determine who the most profitable customers are or which customers they should try to cross-sell new products to. The use of these tools frees information technology staff from the task of generating analytical reports for the departments and it gives department personnel autonomous access to a richer data source. A telecommunications company maintains a multi terabyte decision- support data warehouse and uses business intelligence tools and utilities to let users access the data they need without giving them carte blanche to access hundreds of thousands of mission-critical records. The tools set boundaries around the data that users can access, creating data "cubes" that contain only the information thats relevant to a particular user or group of users.
changing trends in market share changes in customer behavior and spending patterns customers preferences company capabilities market conditions
Having access to timely and accurate information is an important resource for a company, which can expedite decision-making and improve customers experience. In the competitive customer-service sector,companies need to have accurate, up-to-date information on customer preferences, so that the company can quickly adapt to their changing demands. BI enables companies to gather information on the trends in the marketplace and come up with innovative products or services in anticipation of customers changing demands.
BI applications can also help managersto be better informed about actions that a companys competitors are taking.BI systems can also be designed to provide managers with information on the state of economic trends or marketplace factors, or to provide managers with in depth knowledge about the internal operations of a business.
BI can be used to help analysts and managersdetermine which adjustments are most likely to respond to changing trends.BI systems can help companies develop a more consistent, data-based decision making process for business decisions, which can produce better results thanmaking business decisions by "guesswork."
BI can help companies share selected strategic information with business partners. Some businesses use BI systemsto share information with their suppliers like….. inventory levels performance metrics other supply chain data
BI applications can enhance communication among departments, coordinate activities, and enable companies to respond more quickly to changes (e.g., in financial conditions, customer preferences, supply chain operations, etc.).When a BI system is well-designed and properly integrated into a companys processes and decision-making process, it may be able to improve a companys performance.
Through 2012, more than 35 % of the top 5,000 global companies will regularly fail to make insightful decisions about significant changes in their business and markets By 2012, business units will control at least 40% of the total budget for BI By 2010, 20% of organizations will have an industry-specific analytic application delivered via software as a service (SaaS) as a standard component of their BI portfolio In 2009, collaborative decision making will emerge as a new product category that combines social software with BI Platform capabilities By 2012, one-third of analytic applications applied to business processes will be delivered through coarse-grained application mashups