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What is Business Intelligence


         By : Khawar Nehal
            8 April 2013
   Dubai-computer-services.com
Applied Technology Research Center
            ATRC.net.pk
What is Business Intelligence



Business intelligence (BI) describes processes,
and technologies that transform data into
meaningful and useful information for business
purposes.
What can BI do.



BI can handle large amounts of information to
help understand what is going on and to identify
and develop new opportunities.
Advantage of BI



The use of BI to assist in the development of
new opportunities and implementing an effective
strategy can provide a competitive market
advantage and long-term stability.
What is different ?



Ok BI provides information. So did data
processing, then Information Technology.

So how is BI different from DP and IT ?
How BI different



Data processing was the term used in the 1950s
to 1970s for converting data to meaningful
reports. These were generally summary reports.
Information Technology


Information Technology was the term to describe
data processing in the 1980s to the 2010s.

These were also summary reports but allowed
some flexibility to the user to generate reports
without needing a programmer.
Business Intelligence


BI also provides reports.
However, now the reports are not those which
the users ask for but those which are connected
to strategy.
The BI Department has to understand the
business and generate formulas called KPIs.
KPIs are Key Performance Indicators.
KPI

Key performance indicators are variables which
are based on actual research on the business in
the market to determine which variables are the
most important and effective.

Knowing KPIs and deciding based on them
allows strategic decisions and tasks to deliver
results better in the real world situations.
Example



Now I shall explain by an example.

Data processing : Prints cheques and makes
sure the payroll is done.
Example


Information Technology : Does the payroll and all
counting functions. Summarizes what is going on
in history. Delivers summary reports based on
whims of the other departments.
Marketing wants to track their addressbook, IT
supports them in that.
BI Example


Investors want to know what the company is
doing right or wrong.
If the sales are going up or down and the
marketing department does not know why, it is
the job of BI to find out and inform them what is
going on and what factors it is based on.
Yeah BI. Now what ?




Ok I like your idea. How do I buy it ?
BI is results.


Ok now there shall be people who understand BI
and those who take DP and IT and slap the term
BI onto it and the try to sell it off as BI to those
who have some extra profits to use or serious
investors looking to improve their business.
How to buy BI

If anyone claims to know BI, ask them what the
term KPI means.
If they do not give the correct answer :
Key performance indicator. You have your FIRST
BI indicator in effect.
Use it. Decide to show them the door and
blacklist them as suppliers until they
demonstrate excellent measurable results with
other clients.
How to buy BI


Next step. If they pass the KPI test.
Ask the BI supplier to explain the research they
have done to determine the KPIs for your
business.
If none, request them to quote you a research to
get them. Do this for all suppliers.
How to buy BI


If you have less than 5 suppliers for BI quoting
your for research. Get more.
If you cannot get more, then wait for the industry
to mature.
If you cannot wait, then hire consultants into your
company to do the research and evaluate your
own capabilities.
How NOT to buy BI


If you do not have the infrastructure to implement
BI correctly, then do not bother until you have
discussed the long term idea with the investors.
If they say no, then forget about BI.
If they say yes, then think of it as a long term
project where corners should not be cut.
Evaluate all risks and ROIs carefully.
ROI in BI

The objective of implementing BI is to get
results. Not spend money on an idea.
If you cannot calculate the ROI of a BI project,
then you have not evaluated the project in depth
enough.
The only time you can go forward at a higher
speed is when the investors are ready to leap
forward without considering the costs.
Investors and BI


Investors may be able to fast track a BI project
without consideration to ROI easily when :
1. The BI is started in a small company of theirs
to learn from experience in an immature market.
2. The ROI shall be realized when they use their
fast gained experience in larger companies of
theirs.
Thanks for watching

Thank you for investing time in watching this
presentation.
I hope you were able to understand my
understanding of BI so far.
If you would like to return the favor please call or
email us to discuss how we can help your
company grow.
Regards,
Khawar Nehal        (khawar@atrc.net.pk)
Contact information


We would like to hear from you.
Voice : 971-55-639-8386
Smail : P.O. Box 242512, Dubai, UAE
Email :
bi-presentation@dubai-computer-services.com
AE Web : http://dubai-computer-services.com
PK Web : http://atrc.net.pk

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Atrc dcs bi_presentation_9_april_2013-1

  • 1. What is Business Intelligence By : Khawar Nehal 8 April 2013 Dubai-computer-services.com Applied Technology Research Center ATRC.net.pk
  • 2. What is Business Intelligence Business intelligence (BI) describes processes, and technologies that transform data into meaningful and useful information for business purposes.
  • 3. What can BI do. BI can handle large amounts of information to help understand what is going on and to identify and develop new opportunities.
  • 4. Advantage of BI The use of BI to assist in the development of new opportunities and implementing an effective strategy can provide a competitive market advantage and long-term stability.
  • 5. What is different ? Ok BI provides information. So did data processing, then Information Technology. So how is BI different from DP and IT ?
  • 6. How BI different Data processing was the term used in the 1950s to 1970s for converting data to meaningful reports. These were generally summary reports.
  • 7. Information Technology Information Technology was the term to describe data processing in the 1980s to the 2010s. These were also summary reports but allowed some flexibility to the user to generate reports without needing a programmer.
  • 8. Business Intelligence BI also provides reports. However, now the reports are not those which the users ask for but those which are connected to strategy. The BI Department has to understand the business and generate formulas called KPIs. KPIs are Key Performance Indicators.
  • 9. KPI Key performance indicators are variables which are based on actual research on the business in the market to determine which variables are the most important and effective. Knowing KPIs and deciding based on them allows strategic decisions and tasks to deliver results better in the real world situations.
  • 10. Example Now I shall explain by an example. Data processing : Prints cheques and makes sure the payroll is done.
  • 11. Example Information Technology : Does the payroll and all counting functions. Summarizes what is going on in history. Delivers summary reports based on whims of the other departments. Marketing wants to track their addressbook, IT supports them in that.
  • 12. BI Example Investors want to know what the company is doing right or wrong. If the sales are going up or down and the marketing department does not know why, it is the job of BI to find out and inform them what is going on and what factors it is based on.
  • 13. Yeah BI. Now what ? Ok I like your idea. How do I buy it ?
  • 14. BI is results. Ok now there shall be people who understand BI and those who take DP and IT and slap the term BI onto it and the try to sell it off as BI to those who have some extra profits to use or serious investors looking to improve their business.
  • 15. How to buy BI If anyone claims to know BI, ask them what the term KPI means. If they do not give the correct answer : Key performance indicator. You have your FIRST BI indicator in effect. Use it. Decide to show them the door and blacklist them as suppliers until they demonstrate excellent measurable results with other clients.
  • 16. How to buy BI Next step. If they pass the KPI test. Ask the BI supplier to explain the research they have done to determine the KPIs for your business. If none, request them to quote you a research to get them. Do this for all suppliers.
  • 17. How to buy BI If you have less than 5 suppliers for BI quoting your for research. Get more. If you cannot get more, then wait for the industry to mature. If you cannot wait, then hire consultants into your company to do the research and evaluate your own capabilities.
  • 18. How NOT to buy BI If you do not have the infrastructure to implement BI correctly, then do not bother until you have discussed the long term idea with the investors. If they say no, then forget about BI. If they say yes, then think of it as a long term project where corners should not be cut. Evaluate all risks and ROIs carefully.
  • 19. ROI in BI The objective of implementing BI is to get results. Not spend money on an idea. If you cannot calculate the ROI of a BI project, then you have not evaluated the project in depth enough. The only time you can go forward at a higher speed is when the investors are ready to leap forward without considering the costs.
  • 20. Investors and BI Investors may be able to fast track a BI project without consideration to ROI easily when : 1. The BI is started in a small company of theirs to learn from experience in an immature market. 2. The ROI shall be realized when they use their fast gained experience in larger companies of theirs.
  • 21. Thanks for watching Thank you for investing time in watching this presentation. I hope you were able to understand my understanding of BI so far. If you would like to return the favor please call or email us to discuss how we can help your company grow. Regards, Khawar Nehal (khawar@atrc.net.pk)
  • 22. Contact information We would like to hear from you. Voice : 971-55-639-8386 Smail : P.O. Box 242512, Dubai, UAE Email : bi-presentation@dubai-computer-services.com AE Web : http://dubai-computer-services.com PK Web : http://atrc.net.pk