Business Intelligence - A Practical Perspective Team Computers & MAIA Intelligence

Gartner: BI is #1 priority for CIOs

Business Intelligence Software Market in India Indian market for Business Intelligence (BI) is growing at a CAGR of 27 percent and is expected to be $ 17 million market by end-2007 – An IDC Report

Indian market for Business Intelligence (BI) is growing at a CAGR of 27 percent and is expected to be $ 17 million market by end-2007 – An IDC Report

Business Intelligence is a Business Management term! - Wikipedia BI : Info on factors affecting business – Metrics on Sales, Production, Internal operations Trends of Metrics This Info helps makes better decisions What is Business Intelligence? BI => BI Tools and Techniques!

Business Intelligence is a Business Management term!

- Wikipedia

BI : Info on factors affecting business –

Metrics on Sales, Production, Internal operations

Trends of Metrics

This Info helps makes better decisions

What does Business Intelligence Software Actually include? Data mining Software End-User Query Reporting Software Analytics Software Packaged Data Mart / Datawarehouse ETL Tools

Data mining Software

End-User Query

Reporting Software

Analytics Software

Packaged Data Mart / Datawarehouse

ETL Tools

What Tool / Technology is good? What tools are available? What works for us? What is required for us? How much of D.A.R can be handled by various tools? The Maze!

What tools are available?

What works for us?

What is required for us?

How much of D.A.R can be handled by various tools?

The Maze! Business Analysis Enterprise Application Integration ERP Isolated Point Solutions Web Enabling BI Tools Training Distributed Data Integration CRM Data Accuracy Reporting Ad Hoc Reporting Predictive Modeling Work Flow

Business Analysis

Enterprise Application Integration

ERP

Isolated Point Solutions

Web Enabling

BI Tools

Training

Distributed Data Integration

CRM

Data Accuracy

Reporting

Ad Hoc Reporting

Predictive Modeling

Work Flow

Any Map for the Territory? A model for understanding the IT and BI Space would help Data Collection from Transactions and Reporting requirements are two axes of the IT initiatives Budget, Time, Business Needs, Technology Available and Skilled Manpower all influence decisions taken

A model for understanding the IT and BI Space would help

Data Collection from Transactions and Reporting requirements are two axes of the IT initiatives

Budget, Time, Business Needs, Technology Available and Skilled Manpower all influence decisions taken

The IT-BI Space Data Collection Reporting More Flexible and Strategic More Accurate, More Cleaner and Internally Consistent Accurate Business Insight for Decision Making and Improvement Operational Interactive Adhoc Visual reporting Initial Stages of Operational Establishment Statutory Accounting Data Warehouse Full Fledged ERP Data Integration Business Intelligence Isolated Systems For Few Areas

The BI Audience Requires Analytics Requires Reporting Requires Dashboards

The BI Value Proposition Increasing Value Generational Step Transactional Reporting Slice/Dice Ad-hoc Query, BI Tools Performance Management (KPI, Guided Analytics) Fact-Based Actions (OLAP/In-Memory, Statistics ) Intelligent Interactions (Data Mining) How are my export and domestic sales doing Can I understand my gross margin return on space? How is the business doing compared to last year? Compared to plan? Are there any potential out-of-stock situations region warehouse wise? Reporting Analysis Forecasting Predictive

BI – Traditional Models Non-OLAP Data Models (Programming, Visual Query Tools, In-Memory, etc) Real time Reporting

BI – User Perspective Reporting Regular Mass Information Dissemination in a standard format Analytics Slicing and Dicing with visual feedback and interactivity. Mainly for the Middle Management – for Tactical Decisions and to guide Strategic Decisions Dashboards Quick Distilled Snapshots, highlighting the key Indices, for Instant Decision Making D.A.R. - Perfect combination of Data Distribution and Understanding of Information

Reporting

Regular Mass Information Dissemination in a standard format

Analytics

Slicing and Dicing with visual feedback and interactivity.

Mainly for the Middle Management – for Tactical Decisions and to guide Strategic Decisions

Dashboards

Quick Distilled Snapshots, highlighting the key Indices, for Instant Decision Making

D.A.R. - Perfect combination of Data Distribution and Understanding of Information

Today’s Reporting facts… Limited standard reports in applications like ERP, CRM, SCM etc – Time consuming scripting for additional reports Availability of only Static reports – No analysis possible For analysis & intelligence, export to Excel – Chances of data corruption and data manipulation

Limited standard reports in applications like ERP, CRM, SCM etc – Time consuming scripting for additional reports

Availability of only Static reports – No analysis possible

For analysis & intelligence, export to Excel – Chances of data corruption and data manipulation

Today’s Reporting Facts Contd… Multiple Data sources – Single view not possible Tactical & Strategic Business Intelligence for top management – After-the-fact reports and analysis Adhoc and enhancement requests from business users – Productivity loss of IT resources Solution : Operational Business Intelligence & Reporting

Multiple Data sources – Single view not possible

Tactical & Strategic Business Intelligence for top management – After-the-fact reports and analysis

Adhoc and enhancement requests from business users – Productivity loss of IT resources

Reporting – Considerations Reporting technologies Designed for information distribution Ad-Hoc or Pre-Defined? During-The-Fact (Real-Time) or After-The-Fact Transactional (or) Past Data Presentation Graphical or Tabular / Textual Navigability Across Reports Drill Through, Drill Across

Reporting technologies

Designed for information distribution

Ad-Hoc or Pre-Defined?

During-The-Fact (Real-Time) or After-The-Fact

Transactional (or) Past Data

Presentation

Graphical or Tabular / Textual

Navigability Across Reports

Drill Through, Drill Across

BI – Next Generation BI Flow Operational Business Intelligence Easy-to-use Front-end for Business users Supporting Business Activity Monitoring (BAM)

Navigable Reports - Interactive

Navigable Reports – Slice & Dice

Analytics Designed for Understanding Analytics needs to facilitate: Inspection Exploration and Question/Answer Probing that coincide with the human process of assimilating data. Explore Freely Observe – Identify new relationships/dependencies/patterns – New Understanding – New Decisions/Actions Swim Freely in the Multi-Dimensional DataSpace: Customer ->Products -> Sales Person -> Other Products -> Other Customers -> Geography -> Best Selling Product -> … Think-as-you-analyse and Analyse-as-you-think Benefits of Navigable Reports

Analytics needs to facilitate:

Inspection

Exploration and

Question/Answer Probing

that coincide with the human process of assimilating data.

Explore Freely

Observe – Identify new relationships/dependencies/patterns – New Understanding – New Decisions/Actions

Swim Freely in the Multi-Dimensional DataSpace:

Customer ->Products -> Sales Person -> Other Products -> Other Customers -> Geography -> Best Selling Product -> …

Think-as-you-analyse and Analyse-as-you-think

Graphical Analytics Non-hierarchical Slice & Dice

Dashboards – Interactive

Advanced Analytics – Mining & Models Modeling Descriptive and Predictive Models Famous Examples Beer and Nappies – Market Basket Analysis Chrysler – Identification of new patterns Typical Requirements Model to predict Attrition Model to decide credit limits for a credit card applicant Needed for a small percentage of Research users Models developed here are used in Operation Control Risk Models Cash Flow Models Queuing Models Stochastic Models … etc

Modeling

Descriptive and Predictive Models

Famous Examples

Beer and Nappies – Market Basket Analysis

Chrysler – Identification of new patterns

Typical Requirements

Model to predict Attrition

Model to decide credit limits for a credit card applicant

Needed for a small percentage of Research users

Models developed here are used in Operation Control

Risk Models

Cash Flow Models

Queuing Models

Stochastic Models … etc

So What is Business Intelligence? It includes everything : Ad Hoc, Interactive, Visual Reporting Interactive Analysis What-if Analysis Descriptive and Predictive Modeling Need to define ways of inducting BI Every company needs a customized approach Well where BI can help?

It includes everything :

Ad Hoc, Interactive, Visual Reporting

Interactive Analysis

What-if Analysis

Descriptive and Predictive Modeling

Need to define ways of inducting BI

Every company needs a customized approach

Business Challenges TECHNOLOGY Transaction Volume Market Volatility Consolidation Suppliers Government Reforms Customer Management Manpower Competition

Today’s Business Pressures Marketing Risk Service Sales Project Mgmt Human Resources Credit Finance Plan & Model Execute Report & Analyze Rapidly Changing Conditions How can I accelerate my planning and decision cycles? How do I monitor conditions and take early corrective action? Accountability, Transparency How do I comply with corporate governance requirements? How can I ensure accurate, timely reporting? Ineffective Decision Support How do I filter extraneous data and focus on relevant information? How can I access and rationalize disparate, fragmented data? Efficiency & Cost Control How can I sustain / improve profitability? How do I keep information current?

Rapidly Changing Conditions

How can I accelerate my planning and decision cycles?

How do I monitor conditions and take early corrective action?

Accountability, Transparency

How do I comply with corporate governance requirements?

How can I ensure accurate, timely reporting?

Ineffective Decision Support

How do I filter extraneous data and focus on relevant information?

How can I access and rationalize disparate, fragmented data?

Efficiency & Cost Control

How can I sustain / improve profitability?

How do I keep information current?

Corporate Performance Management ‘ Corporate Performance Management (CPM) is using right tools of Business Intelligence (BI) for monitoring and managing an organization's performance, using appropriate Key Performance Indicators (KPIs)

CPM Framework C3 : Communication, Comprehension, Control

Initiating CPM Integrate and take advantage of existing IT assets Identify the data integration strategy Identify a Business Intelligence strategy (Operational + Tactical) Blending Business Intelligence with elements of planning, budgeting and appropriate-time monitoring Identify measurable Business Performance Parameters (BPP) Peg operational data with BPP Improve and simplify pegging continuously

Integrate and take advantage of existing IT assets

Identify the data integration strategy

Identify a Business Intelligence strategy (Operational + Tactical)

Blending Business Intelligence with elements of planning, budgeting and appropriate-time monitoring

Identify measurable Business Performance Parameters (BPP)

Peg operational data with BPP

Improve and simplify pegging continuously

White Space Applications Unification of Data from Multiple Systems (ETL and Common Data Model) Propeller Rudder Enterprise Information The Framework Unified or Disparate Transaction Systems SCM CRM HR FA ERP SFA Other Industry Specific Transaction System Transaction & Operational Reporting for Line Managers Compliance Reporting Performance Analysis Business Analysis Market Analysis Tactical Reporting & Unified View for All Unified View of Enterprise Dashboards (KRA/KPI) Balanced Scorecards Strategy Map Review Actions Performance Management For All Users Tasks, Workflow, Common Calendar & Issue Log Enterprise Activity Synchronization and Monitoring Everyday Collaborative For Managers New Process Creation External Data Live Feeds Peer Data Market Data Research Reports External Data Disclosure, Compliance, Guidance, Profitability, Corporate Affairs Board, Investor and Shareholder View of Enterprise External Guidance Users Extranet

Business Intelligence Is the Purpose of IT.

Business Intelligence

Is the Purpose of IT.