Real Life, Strategic BI Strategy for your IT Organization


Published on

Published in: Technology, Business
  • Be the first to comment

No Downloads
Total views
On SlideShare
From Embeds
Number of Embeds
Embeds 0
No embeds

No notes for slide
  • Welsh reads "I am not in the office at the moment. Send any work to be translated."When officials asked for the Welsh translation of a road sign, they thought the reply was what they needed.Unfortunately, the e-mail response to Swansea council said in Welsh: "I am not in the office at the moment. Send any work to be translated".So that was what went up under the English version which barred lorries from a road near a supermarket."When they're proofing signs, they should really use someone who speaks Welsh," said journalist Dylan Iorwerth. It's good to see people trying to translate but they should really ask for expert helpDylan Iorwerth, Golwg magazineSwansea Council became lost in translation when it was looking to halt heavy goods vehicles using a road near an Asda store in the Morriston areaAll official road signs in Wales are bilingual, so the local authority e-mailed its in-house translation service for the Welsh version of: "No entry for heavy goods vehicles. Residential site only".The reply duly came back and officials set the wheels in motion to create the large sign in both languages.The notice went up and all seemed well - until Welsh speakers began pointing out the embarrassing error.Welsh-language magazine Golwg was promptly sent photographs of the offending sign by a number of its readers.The sign was lost in translation - and is now missing from the roadsideManaging editor MrIorwerth said: "We've been running a series of these pictures over the past months."They're circulating among Welsh speakers because, unfortunately, it's all too common that things are not just badly translated, but are put together by people who have no idea about the language."It's good to see people trying to translate, but they should really ask for expert help."Everything these days seems to be written first in English and then translated."Ideally, they should be written separately in both languages."A council spokeswoman said: "Our attention was drawn to the mistranslation of a sign at the junction of Clase Road and Pant-y-Blawd Road.Other confusing signs"We took it down as soon as we were made aware of it and a correct sign will be re-instated as soon as possible."The blunder is not the only time Welsh has been translated incorrectly or put in the wrong place:• Cyclists between Cardiff and Penarth in 2006 were left confused by a bilingual road sign telling them they had problems with an "inflamed bladder".• In the same year, a sign for pedestrians in Cardiff reading 'Look Right' in English read 'Look Left' in Welsh.• In 2006, a shared-faith school in Wrexham removed a sign which translated the Welsh for staff as "wooden stave".• Football fans at a FA Cup tie between Oldham and Chasetown - two English teams - in 2005 were left scratching their heads after a Welsh-language hoarding was put up along the pitch. It should have gone to a match in MerthyrTydfil.• People living near an Aberdeenshire building site in 2006 were mystified when a sign apologising for the inconvenience was written in Welsh as well as English. 
  • Some CIO best practices held steady in the recession, while others have shifted, largely because of IT cost restraints, emerging management strategies and new business technologies. The imperatives of the business are driving the technology priorities- the true test is whether the technology priorities can be managed and delivered cost effectively to meet both short and long term objectives. More with less.. SAP addresses these priorities with a flexible, extensible and cost-effective offering…
  • How do you organize cross-functionally around BI Strategy? Create a BICC
  • Gartner Playbooks [describe each one]Benefits:Easy way to collect inputsEasy way to “crank the content” and output usable strategiesEasy way to consume the outputEasy ways to put the output to use in high-value creating projects
  • [/twitter]Links from my presentation:,,[/twitter] http://explorer.ondemand.comhttp://goexplore.ondemand.com
  • Real Life, Strategic BI Strategy for your IT Organization

    1. 1.
    2. 2. Real-Life, Strategic BI Within Your Overall IT Strategy<br />Timo Elliott, May 2010<br />
    3. 3. © SAP 2008 / Page 3<br />
    4. 4. Abstract<br />Most organizations know that they should be taking a strategic approach to Business Intelligence. But what does this actually mean, and how do you go about doing it?<br />Using real-life examples of successful strategic BI implementations, we'll cover key strategic themes such as fitting BI into your overall IT strategy, implementing BI competency centers and standards, effectively selling BI initiatives within the business, and using BI to align strategy and execution within the IT function itself.<br />What is a BI strategy, and why is it important?<br />What are the key areas to concentrate on when implementing a BI strategy?<br />How can IT act as its own best reference, and use BI to improve its own performance?<br />
    5. 5. Topics<br />The CIO Challenge<br />BI Blooms and Expands<br />Routes to Strategic BI<br />Drinking our own Champagne<br />Conclusion<br />BI isn’t about getting the right answers — it’s about asking the right questions<br />
    6. 6. The CIO Challenge<br />
    7. 7. Through the Worst of IT<br />Gartner: “IT spending to rebound in 2010 with 3.3% growth after worst year ever in 2009”<br />
    8. 8. The CIO is Becoming a True Business Partner<br />Brian Gammage, Gartner: “60% of CEOs believe IT is constraining the business”<br />
    9. 9. The Credibility Gap<br />
    10. 10.
    11. 11. Gartner’s Top 10 Business and Technology Priorities for 2010<br />Top 10 Business and Technology Priorities in 2010 Source: Gartner EXP (January 2010)<br />
    12. 12. BI Blossoms and Expands<br />
    13. 13. The Ever-Expanding Definition of Business Intelligence and Performance Management<br />Enterprise Performance Management<br />Governance Risk<br />and Compliance<br />Strategy Management<br />Planning, Budgeting and Forecasting<br />RiskManagement<br />Access Control<br />Profitability andCost Management<br />Process Control<br />Global Trade Services<br />Consolidation<br />Spend and Supply Chain<br />Environmental, Health and Safety<br />BusinessIntelligence<br />Information Management<br />Query, Reporting, and Analysis<br />Reporting<br />Data Integration<br />Data Quality Management<br />Dashboards and Visualization<br />Search and Navigation<br />Master Data Management<br />Metadata Management<br />Advanced Analytics<br />
    14. 14. Hype Cycle for BI and PM<br />Research and “market” this…<br /> get resources to Implement this<br />
    15. 15. Priority Matrix<br />Years to Mainstream Adoption<br />Benefit<br />
    16. 16. Implementing BI Within a Larger “Information Workplace” <br />“To what extent is your BI environment integrated with other Information Workplace tools, such as portal, collaboration, search, or email?”<br />“How do you plan to implement Information Workplaces? (select all that apply)”<br />Base: 82 IT decision-makers*<br />Base: 260 IT decision-makers†(multiple responses accepted)<br />Source: Forrester August 2008 Global BI And Data Management Online SurveySource: Forrester February 2007 US And UK Information Workplace Online Survey<br />
    17. 17. Routes to Strategic BI<br />
    18. 18. Technology has been a competitive differentiator for a long, long time<br />
    19. 19. Figure Out What Your Executives Care AboutIncreasing Importance of Technology<br />IBM: Capitalizing on Complexity Survey<br />
    20. 20. Figure Out What Your Executives Care AboutMore volatility, uncertainty, complexity<br />IBM: Capitalizing on Complexity Survey<br />
    21. 21. How Critical Processes are (not) Managed TodayHuge Opportunity<br />Paladium Group “Operational Excellence: The New Lever for Profitability and Competitive Advantage”<br />
    22. 22. BI Strategy is Critical for Success<br />
    23. 23. Five Signs that a Company Does Not Have a BI Strategy<br />
    24. 24. Examples of questions typically answered by a BI Strategy include:<br /><ul><li>What business decisions do we not have sufficient information to make?
    25. 25. What is our vision for information accessibility and usage?
    26. 26. What should the high-level BI roadmap of initiatives look like?
    27. 27. What capabilities are required to make information available and useful? What are the dependencies?
    28. 28. What metrics should we use to manage the BI implementation and fulfillment of BI business goals?
    29. 29. How should we design the processes, applications, and organization to fulfill our BI vision?
    30. 30. What toolsets should I use to fulfill our BI vision?</li></li></ul><li>Become an Analytics CompetitorEstablish BI strategy and governance<br />“<br />Make analytics part of your overreaching competitive strategy […] You’ll arm your employees with the best evidence and quantitative tools for making the best decisions—big and small, every day.<br />Source: Competing on Analytics by Thomas H. Davenport<br />Champion from the Top<br />Establish Central Ownership<br />Maintain BI Standards<br />Use the Right Technology<br /><ul><li>Endorse the analytics culture, process, and skills at the company leadership level
    31. 31. Prepare to lead and utilize an analytics-focused organization for strategic and competitive advantage
    32. 32. Establish centralized leadership/ownership for analytics across the organization
    33. 33. Facilitate data sharing and establish best practices and standards
    34. 34. Utilize common technology and tools to avoid inconsistencies and simplify management
    35. 35. Establish standards across business processes
    36. 36. Business Process systems to generate relevant business data
    37. 37. Enterprise systems & architecture to store and present data to support the org. over 3-5 year growth</li></li></ul><li>Level 4<br />Level 3<br />BI Performance Stages<br />Level 2<br />KPIs and Analytics are used to manage the full Value Chain<br />KPIs and Analytics are identified and effectively used<br />Level 1<br /><ul><li>Strong business ownership of requirements
    38. 38. Increased use leading indicators for KPIs and analytics
    39. 39. Collaborative development of requirements across the value chain
    40. 40. Robust ad-hoc analytics and information availability (structured and unstructured)</li></ul>KPIs and Analytics are identified, but not well used<br /><ul><li>Strong business ownership of requirements
    41. 41. Common set of rationalized KPIs and information requirements
    42. 42. Business relevance of every metric validated
    43. 43. Value is tracked and reported
    44. 44. Ad-hoc report development in place</li></ul>Requirements are driven from a limited Executive group<br /><ul><li>Weak to moderate business ownership of requirements
    45. 45. Multiple sets of KPIs and information requirements often conflict
    46. 46. Generic KPIs are not business optimized
    47. 47. Value measurement is coincidental</li></ul>Information and Analytics<br /><ul><li>Not standardized or linked to business needs
    48. 48. Few Operational reports with little business benefit
    49. 49. Historical reporting. Information reliant on lagging indicators
    50. 50. No Value KPIs</li></ul>Enterprise-wide BI Governance with Business Leadership<br />Business Governance with Competency Center Developing<br /><ul><li>Enterprise participation on all developments
    51. 51. Governance includes feedback mechanisms from the full value chain
    52. 52. ESS and MSS fully adopted
    53. 53. BI competency center is mature
    54. 54. Standard support across the enterprise
    55. 55. High security and authorization</li></ul>Business Driven BI Governance Evolving<br /><ul><li>High Business Ownership to all BI Activities
    56. 56. All BI activities guided by business goals
    57. 57. Business case and ROI for BI projects
    58. 58. Moderate end-user skills with “pockets” of strong users. No lack of super-users
    59. 59. ESS fully adopted; MSS partly adopted
    60. 60. BI competency center is new or developing
    61. 61. Security and Authorizations becoming uniform</li></ul>IT Driven BI Governance<br /><ul><li>Low to moderate participation of Business in BI governance
    62. 62. Considering a competency center
    63. 63. Weak to moderate end-user skills. Some core group of super-users
    64. 64. Employee Self Service (ESS) partially used
    65. 65. Manager Self Service (MSS) not in place
    66. 66. Proliferation of data access through Excel
    67. 67. Technology-centric organization and implementations
    68. 68. No/little business participation in projects
    69. 69. Weak end-user skills. No employee or manager self service
    70. 70. No BI competency center
    71. 71. Data access limited to few key individuals</li></ul>Governance<br />Uniform, followed and audited<br /><ul><li>BI Process and standards are documented, consistently followed and audited
    72. 72. Formal governance board in place for strategy and direction
    73. 73. Written SLA's in place with formal and regular update/negotiation process
    74. 74. Heavy reuse of information
    75. 75. Master data is fully standardized
    76. 76. Ownership and responsibility is established for all data elements used by the business</li></ul>Exist and are not uniform<br />Evolving effort to formalize<br /><ul><li>BI process and standards are documented but not always followed
    77. 77. Informal governance group which is mainly responsible for issue resolution
    78. 78. Written SLA's in place, but no formal and regular update process
    79. 79. Moderate to heavy reuse of information.
    80. 80. Master data standardized to large extent
    81. 81. Each major data area has a senior champion who drives data standardization and quality
    82. 82. BI Processes and standards may be documented
    83. 83. Verbal SLA's in place; no formal and regular update/negotiation process
    84. 84. Little to moderate reuse of information
    85. 85. Initial efforts to standardize master data
    86. 86. Occasional executive interest in data when considering major initiatives</li></ul>Do not exist or are not uniform<br /><ul><li>No service level agreements (SLA’s)
    87. 87. Design, development and management processes are informal
    88. 88. High use of generic BI objects or heavily customized development
    89. 89. No reuse of data or information
    90. 90. Non-standardized master data
    91. 91. Data ownership is undefined or conflicting</li></ul>Standards and Processes<br />Robust and flexible BI architecture<br /><ul><li>Global Enterprise Data Warehouse implemented
    92. 92. BI platform viewed as a strategic enabler for Business
    93. 93. Ability for high-speed analytics
    94. 94. Robust and user-friendly presentation layer
    95. 95. High reliability of delivery to local, regional and global business needs</li></ul>Consolidating and Upgrading<br />Some Shared BI Applications<br /><ul><li>Initial attempts at implementing a Global Enterprise Data Warehouse (either logical or physical)
    96. 96. Spreadsheets are used selectively
    97. 97. Central tech support
    98. 98. Patches up-to-date
    99. 99. System consolidation planned and / or implemented
    100. 100. Variances between BU’s with multiple BI systems
    101. 101. Heavy reliance on spreadsheets and data manipulation
    102. 102. Planned migration to better landscapes
    103. 103. Documented plans for patches and upgrades
    104. 104. Shared documentation</li></ul>Application Architecture<br />BI “Silos” for each Business<br /><ul><li>Significant variances between BU’s
    105. 105. Limited access to information
    106. 106. Users get what IT gives
    107. 107. Ad-hoc patches & Upgrades
    108. 108. No enterprise standardization
    109. 109. Minimal documentation</li></ul>BI/Analytics Maturity Model – Stages of Excellence<br />Source: ASUG BI Benchmark Report, April 2007<br />
    110. 110. From As-Is to Too-Be<br />Discover BI successes and user frustration to gather information for your BI strategy<br />Executive KPIs<br />Office of Finance<br />Driving through the CFO: financial planning and budgeting, and extended reporting initiatives<br />Top-down management methodologies such as Balanced Scorecard, Six Sigma, etc.<br />BI Strategy and Standards<br />Sharing information with customers, partners, and suppliers<br />Extranet Initiatives<br />Procurement<br />Volume discounts, Policies<br />Operational BI<br />Departmental BI Projects<br />Widespread successful project-by-project usage throughout the organization<br />Bottom-up operational dashboards and embedded reporting<br />
    111. 111. Best Practice Example: BICC Business, Analytics and IT Skills<br />Business Skills<br />Business Needs<br />Organization and Processes<br />Control Funding<br />DefineBI Vision<br />Establish Standards<br />Manage Programs<br />BICC<br />Build Technology Blueprint<br />DevelopUser Skills<br />Organize Methodology Leadership<br />Governance, Administration<br />Business Needs<br />Statistical and Process Skills<br />Tools, Infrastructure, Applications, Data<br />Analytic Skills<br />IT Skills<br />Source: How to Define and Run a Successful Business Intelligence Competency Center, Gartner, August 2007<br />
    112. 112. Business Intelligence Competency Center Duties<br />Executive sponsor<br />Text<br />Vendor Management<br />Data Acquisition<br />Business Intelligence Program<br />Data Stewardship<br />Support<br />Training<br />BI Delivery<br />Advanced Analytics<br />Business Intelligence Competency Center<br />
    113. 113. Best Practice Example: BI Competency Center Models<br />BICC as an IT Department<br />VirtualBICC<br />CIO<br />Finance<br />.…<br />Sales<br />ICC<br />BICC<br />Department<br />BICC<br />BICC as Part of Operations<br />Distributed BICC<br />Corporate<br />COO<br />Division 1<br />Division 2<br />Division 3<br />BICC<br />Division 1<br />Division 2<br />Division 3<br />Every organization is different, and one or more of these BI Competency Center organizational models may work for you.<br />Source: How to Define and Run a Successful Business Intelligence Competency Center, Gartner, August 2007<br />
    114. 114. Create and Promote Business Scenarios<br />
    115. 115. © SAP 2009 / Page 32<br />User Adoption<br />Segment users by business initiative, profile, and task<br />See TDWI white paper: “Pervasive Business Intelligence: Techniques and Technologies to Deploy BI on an Enterprise Scale”<br />
    116. 116. Go (Double) MAD<br />“Advanced”<br />Managers<br />Monitor<br />Modeling<br />Graphical<br />Data<br />Analysts<br />Analyze<br />Advanced<br /> analysis<br />Summarized Data<br />Drill<br />Deliberate<br /> & act<br />Workers<br />Detailed Data<br />Business Applications<br />
    117. 117. © SAP 2009 / Page 34<br />BICC Strategy Map Example<br />Long-Term Shareholder Value<br />BI Efficiency<br />BI Effectiveness<br />Financial Perspective<br />Insure budgeting <br />discipline<br />Increase Asset Utilization<br />Impact on enterprise outcomes<br />Contribution<br />“The Business”<br />Internal Customer Perspective<br />Competency <br />Support business unit needs with BI <br />Drive business unit success with innovative BI solutions<br />Deliver BI services at competitive cost<br />Deliver consistent, high quality BI services<br />Achieve Operational Excellence<br />Create and Support Business Unit Partnerships<br />Provide Strategic Support to the Business<br />Maintain a secure and reliable infrastructure that ensures business operations<br />Improve business unit productivity and profitability<br />Propose and deliver Information Management Services<br />IT Service Management<br />Perspective<br />Manage service quality; deliver on schedule<br />Partner with business units; understand their strategies<br />Understand emerging BI technologies<br />Optimize BI processes; lower unit costs<br />Develop effective decision support systems<br />Provide superior BI professional services<br />Learning & Growth Perspective<br />Foster a business and customer-focused culture<br />Attract, develop, and retain employees with key competencies<br />Provide BI tools and techniques that enhance the BI function<br />2007 Balanced Scorecard Collaborative and Robert S. Kaplan - Revised<br />
    118. 118. © SAP 2009 / Page 35<br />The Strategy Map and Balanced Scorecard Should Represent a Complete Program of Action<br />Strategy Map<br />Balanced Scorecard<br />Action Plan<br />Theme: Improve Decision Making<br />Objective<br />Measurement<br />Target<br />Initiative<br />Budget<br />Financial<br /><ul><li>$150k
    119. 119. 1 FTE Supply Mgt (80 hrs.)
    120. 120. BI Tool Consolidation Project
    121. 121. Coterminous SW License negotiations
    122. 122. Reduce BI Infrastructure Costs
    123. 123. Reduce Labor Costs of BI resources</li></ul>Lower BI TCO<br /><ul><li># of BI environments
    124. 124. Annual BI Tool maintenance & support fees
    125. 125. One
    126. 126. < $75k</li></ul>Reduce License Fees<br />Standardize on BI Tools<br />Internal<br />Customers<br /><ul><li>Provide efficient & easier access to information
    127. 127. Provide latest BI SW functionality - capabilities
    128. 128. End-User Satisfaction Survey
    129. 129. # of Self-Service Knowledge Workers
    130. 130. # of BI Services available
    131. 131. Online User Survey Project
    132. 132. BOE XIr2 Upgrade
    133. 133. $5k
    134. 134. $350k
    135. 135. 85% Favorable
    136. 136. 250
    137. 137. 15 Services</li></ul>Provide cost-effective Innovative BI Solutions<br />Increase Productivity of Knowledge Workers<br /><ul><li>BI specific Education Program
    138. 138. BI Incident Management improvement Program
    139. 139. Service Desk Reengineering Program
    140. 140. % of 1st time incident resolutions
    141. 141. Time to resolve BI incidents
    142. 142. # of online BI training courses
    143. 143. # of Help Desk intake channels
    144. 144. 60%
    145. 145. 4 hours
    146. 146. 10 intro, 5 adv.
    147. 147. (2) – 800#, Online entry</li></ul>IT Service<br />Management<br /><ul><li>Improve 1st time incident resolution
    148. 148. Develop Online Training Programs
    149. 149. Improve tracking of BI support incidents
    150. 150. Reduce number of Help Desk intake channels
    151. 151. $150k
    152. 152. $150k
    153. 153. $200k</li></ul>Gain efficiency through process improvement<br />Training<br />Support<br />Learning<br /><ul><li>50 per month
    154. 154. 4 out of 5
    155. 155. 95.999%
    156. 156. # of repository entries
    157. 157. Avg. Rating of entry
    158. 158. Availability of BI lab configuration
    159. 159. $50k
    160. 160. $100k
    161. 161. Develop the necessary BI skills
    162. 162. Develop lab environment for innovation
    163. 163. Repository incentive program
    164. 164. Configure BOE Lab environment</li></ul>R&D BI Lab<br />Knowledge Management Repository<br />Communicate<br />Measure<br />Execute<br />
    165. 165. Major Inhibitors<br />Skills<br />Stability / Flexibility of Business Processes<br />Silo Think<br />Spreadsheets <br />Sponsorship<br />
    166. 166. The Road to BI Success with SAP: BI Strategy<br />BI Strategy & Execution Baseline<br />Current BI Needs Baseline Analysis<br />BI Strategy Foundation<br />Gap Analysis<br />Playbook 1<br />Playbook 2<br />Playbook 3<br />Playbook 4<br />Four step approach to developing a solid BI strategy foundation<br />
    167. 167. 1. BI Business Needs Identification and Gap Summary by LOB<br />3. Prioritized Gaps<br />2. BI Strategy & Execution Analysis<br />4. BI Strategy Recommendation<br />SAP BI Strategy Foundation Playbook Overview <br />
    168. 168. The Road to BI Success with SAP: BI Strategy<br />BI Strategy & Execution Baseline<br />Current BI Needs Baseline Analysis<br />BI Strategy Foundation<br />Gap Analysis<br />Playbook 1<br />Playbook 2<br />Playbook 3<br />Playbook 4<br />
    169. 169. Current BI Needs Baseline Analysis<br />BI Business Needs Identification and Gap Summary by LOB<br />BI Strategy & Execution Baseline Analysis<br />Objective:<br />Create high level summary of BI needs by LOB, and their expected impact if addressed<br />
    170. 170. The Road to BI Success with SAP: BI Strategy<br />BI Strategy & Execution Baseline<br />Current BI Needs Baseline Analysis<br />BI Strategy Foundation<br />Gap Analysis<br />Playbook 1<br />Playbook 2<br />Playbook 3<br />Playbook 4<br />
    171. 171. BI Strategy and Execution Baseline Analysis<br />Additional Consulting Services Available<br />Additional Capabilities available through SAP Value Engineering <br />
    172. 172. BI Strategy & Execution Baseline Analysis<br />BI Strategy & Execution Baseline Analysis<br />Objective:<br />Assess existence of BI Strategy, completeness of execution, and impact if completed<br />
    173. 173. The Road to BI Success with SAP: BI Strategy<br />BI Strategy & Execution Baseline<br />Current BI Needs Baseline Analysis<br />BI Strategy Foundation<br />Gap Analysis<br />Playbook 1<br />Playbook 2<br />Playbook 3<br />Playbook 4<br />
    174. 174. Gap Analysis<br />Business Pains<br />Objective:<br />Prioritize Gaps of existing BI needs, and non-existent or not well-executed strategy components <br />PRIORITIZED GAPS<br />BI Strategy & Execution Gaps<br />
    175. 175. The Road to BI Success with SAP: BI Strategy<br />BI Strategy & Execution Baseline<br />Current BI Needs Baseline Analysis<br />BI Strategy Foundation<br />Gap Analysis<br />Playbook 1<br />Playbook 2<br />Playbook 3<br />Playbook 4<br />
    176. 176. BI Strategy Foundation Recommendation<br />EXPECTED <br />BUSINESS <br />GAP<br />EXPECTED <br />BUSINESS <br />GAP<br />BENEFIT / <br />SOLUTION / <br />BENEFIT / <br />SOLUTION / <br />VALUE <br />BENEFIT <br />VALUE <br />BENEFIT <br />Integrates <br />·<br />Determine what metrics <br />Media <br />12<br />Integrates <br />·<br />Determine what metrics <br />Media <br />12<br />different types <br />are needed to <br />Performance <br />different types <br />are needed to <br />Performance <br />of information <br />demonstrate media <br />Tracking <br />-<br />We <br />of information <br />demonstrate media <br />Tracking <br />-<br />We <br />into a single <br />performance <br />need deeper <br />into a single <br />performance <br />need deeper <br />view to perform <br />·<br />Determine who needs <br />insight into how <br />view to perform <br />·<br />Determine who needs <br />insight into how <br />trend analysis <br />the information, and in <br />our media <br />trend analysis <br />the information, and in <br />our media <br />and provide a <br />what form.<br />investments <br />and provide a <br />what form.<br />investments <br />better <br />·<br />Automate the delivery of <br />across various <br />better <br />·<br />Automate the delivery of <br />across various <br />understanding <br />the information required <br />channels are <br />understanding <br />the information required <br />channels are <br />of revenue <br />to all who need it.<br />performing so we <br />of revenue <br />to all who need it.<br />performing so we <br />relationships.<br />·<br />Integrate data sources if <br />can better <br />relationships.<br />·<br />Integrate data sources if <br />can better <br />needed.<br />allocate funds.<br />needed.<br />allocate funds.<br />Combines <br />·<br />Determine the causes of <br />Sales <br />13<br />Combines <br />·<br />Determine the causes of <br />Sales <br />13<br />different <br />sales reductions <br />Performance <br />different <br />sales reductions <br />Performance <br />sources of sales <br />(bottlenecks in sales <br />Management <br />-<br />We <br />sources of sales <br />(bottlenecks in sales <br />Management <br />-<br />We <br />information <br />process), and the <br />need deeper <br />information <br />process), and the <br />need deeper <br />such as quota, <br />appropriate <br />insight into sales <br />such as quota, <br />appropriate <br />insight into sales <br />quota achieved, <br />information/<br />KPIs<br />to track<br />performance, to <br />quota achieved, <br />information/<br />KPIs<br />to track<br />performance, to <br />pipeline, tenure, <br />·<br />Integrate multiple <br />be able to <br />pipeline, tenure, <br />·<br />Integrate multiple <br />be able to <br />projected close <br />sources (if necessary).<br />understand where <br />projected close <br />sources (if necessary).<br />understand where <br />for next quarter <br />·<br />Determine who needs <br />we're getting <br />for next quarter <br />·<br />Determine who needs <br />we're getting <br />to identify <br />what information and in <br />traction, where <br />to identify <br />what information and in <br />traction, where <br />trends and <br />what form<br />we're not, and <br />trends and <br />what form<br />we're not, and <br />potential issues.<br />·<br />Automate the delivery of <br />why so <br />potential issues.<br />·<br />Automate the delivery of <br />why so <br />the information<br />adjustments can <br />the information<br />adjustments can <br />be made<br />be made<br />Combines <br />·<br />Determine the causes of <br />Sales Variance <br />-<br />14<br />Combines <br />·<br />Determine the causes of <br />Sales Variance <br />-<br />14<br />different <br />sales reductions <br />We need to more <br />different <br />sales reductions <br />We need to more <br />sources of sales <br />(bottlenecks in sales <br />quickly be able to <br />sources of sales <br />(bottlenecks in sales <br />quickly be able to <br />information <br />process), and the <br />identify what is <br />information <br />process), and the <br />identify what is <br />such as quota, <br />appropriate <br />causing sales <br />such as quota, <br />appropriate <br />causing sales <br />quota achieved, <br />information/<br />KPIs<br />to track<br />variances across <br />quota achieved, <br />information/<br />KPIs<br />to track<br />variances across <br />pipeline, tenure, <br />·<br />Integrate multiple <br />product, region, <br />pipeline, tenure, <br />·<br />Integrate multiple <br />product, region, <br />projected close <br />sources (if necessary).<br />LOB, etc<br />projected close <br />sources (if necessary).<br />LOB, etc<br />for next quarter <br />·<br />Determine who needs <br />for next quarter <br />·<br />Determine who needs <br />to identify <br />what information and in <br />to identify <br />what information and in <br />trends and <br />what form<br />trends and <br />what form<br />potential issues.<br />·<br />Automate the delivery of <br />potential issues.<br />·<br />Automate the delivery of <br />the information<br />the information<br />Combines <br />·<br />Determine the <br />Incomplete <br />15<br />Combines <br />·<br />Determine the <br />Incomplete <br />15<br />different <br />information that is <br />Customer Data <br />-<br />different <br />information that is <br />Customer Data <br />-<br />sources of sales <br />needed, and where it <br />We have <br />sources of sales <br />needed, and where it <br />We have <br />information <br />resides, if it is available in <br />incomplete <br />information <br />resides, if it is available in <br />incomplete <br />such as quota, <br />house<br />customer and <br />such as quota, <br />house<br />customer and <br />quota achieved, <br />·<br />If needed, integrate <br />prospect data <br />quota achieved, <br />·<br />If needed, integrate <br />prospect data <br />pipeline, tenure, <br />systems to create a more <br />(e.g. addresses, <br />pipeline, tenure, <br />systems to create a more <br />(e.g. addresses, <br />projected close <br />holistic view of <br />phone numbers, <br />projected close <br />holistic view of <br />phone numbers, <br />for next quarter <br />customer/prospect data<br />email addresses, <br />for next quarter <br />customer/prospect data<br />email addresses, <br />to identify <br />etc.) <br />to identify <br />etc.) <br />trends and <br />trends and <br />potential issues.<br />potential issues.<br />Provides ability <br />·<br />Determine the <br />Insight <br />16<br />Provides ability <br />·<br />Determine the <br />Insight <br />16<br />to track real<br />-<br />appropriate <br />Availability <br />-<br />We <br />to track real<br />-<br />appropriate <br />Availability <br />-<br />We <br />time <br />information/<br />KPIs<br />to track<br />struggle with <br />time <br />information/<br />KPIs<br />to track<br />struggle with <br />performance <br />·<br />Integrate multiple data <br />being able to <br />performance <br />·<br />Integrate multiple data <br />being able to <br />through <br />sources (if necessary).<br />quickly and easily <br />through <br />sources (if necessary).<br />quickly and easily <br />dynamic <br />·<br />Determine who needs <br />look at <br />dynamic <br />·<br />Determine who needs <br />look at <br />scorecards, or <br />what information and in <br />performance, <br />scorecards, or <br />what information and in <br />performance, <br />other solutions, <br />what form<br />revenue, or costs <br />other solutions, <br />what form<br />revenue, or costs <br />allowing users <br />·<br />Automate the delivery of <br />of marketing <br />allowing users <br />·<br />Automate the delivery of <br />of marketing <br />to post <br />the information<br />programs at a <br />to post <br />the information<br />programs at a <br />comments and <br />product line, plant <br />comments and <br />product line, plant <br />ask questions, <br />level, store level, <br />ask questions, <br />level, store level, <br />so that business <br />geography, etc.<br />so that business <br />geography, etc.<br />unit leaders can <br />unit leaders can <br />take action to <br />take action to <br />improve <br />improve <br />organizational <br />organizational <br />performance.<br />performance.<br />BI Strategy Recommendation<br />Objective:<br />Based on prioritized gaps across the organization, understand the business value and benefit of addressing the gaps, and understand the general BI solutions that can solve these business pains.<br />
    177. 177. The Road to BI Success with SAP: BI Strategy<br />BI Strategy & Execution Baseline<br />Current BI Needs Baseline Analysis<br />BI Strategy Foundation<br />Gap Analysis<br />Playbook 1<br />Playbook 2<br />Playbook 3<br />Playbook 4<br />
    178. 178. Architecture Options<br />Layered DWH<br />Multiple DWH<br />DWH<br />Data Mart<br />Direct access<br />Information is combined within multiple data warehouses with clear layered approach.<br />Often the lowest DWH contains the corporate memory consisting of quality ensured global data and Metadata<br />Information from multiple source systems is consolidated within a data warehouse.<br />Usually data is also stored in the DWH, otherwise it’s a virtual warehouse.<br />Information is staged in data marts, while each data mart just contains data from one source.<br />BI Tools directly consume information from the source systems.<br />Used in application’s embedded analytics.<br />Information is consolidated within multiple data warehouses, which may exchange data.<br />Rather often reality than recommended pattern.<br />
    179. 179. DataMart<br />DirectAccess<br />MultipleDWH<br />DWH<br />Layered DWH<br />Physical<br />Virtual<br />Federated Access<br />GovernedDM<br />Multi-layerDWH<br />Separate BI load from transactional system<br />BI and EIM Usage PatternsStrategic Guidance for Data Integration and Storage<br /><br /><br /><br /><br /><br /><br />STOP<br />STOP<br />High data volume or many users<br /><br /><br /><br /><br /><br /><br />!<br />!<br /><br /><br /><br /><br /><br /><br />BI security differs from operational security<br />!<br />!<br />Combining data from multiple sources<br /><br /><br /><br /><br /><br /><br />!<br />!<br />Management of historic data<br /><br /><br /><br /><br /><br />!<br />!<br />!<br />Different administrative ownership<br /><br /><br /><br /><br />!<br />!<br />!<br />!<br />Different lifecycle of DWH/DM systems/models<br /><br /><br /><br /><br />!<br />!<br />!<br />!<br />Security considerations (“separate HR data”)<br /><br /><br /><br /><br /><br /><br /><br />!<br />to<br />Not possible<br />Low, Middle, High<br />Caution<br />Balance quality control and cost<br />STOP<br />!<br /><br /><br /><br />!<br />!<br />!<br />!<br />!<br />Minimal data latency<br />No<br />~5 Min<br />~10 Min<br />~20 Min<br />~10 Min<br />~20 Min<br />~20 Min<br />No<br />Time to connect new data source (Agility)<br />Implementation and operations cost<br />© SAP 2010 / Technology Development Central Architecture & Innovation - Company Confidential / Page 50<br />
    180. 180. Drinking Our Own Champagne<br />
    181. 181. Strategy to Execution for IT<br />Alignment<br />Define<br />Strategic Intent<br />Define<br />Strategic<br />Objectives<br />Identify<br />Performance<br />Metrics<br />IT<br />Strategy and<br />Objectives<br />The Business<br />Strategy<br />The Business<br />Objectives<br />Measures of IT Performance<br />The Business<br />Metrics<br /><ul><li>Low-cost, high-quality provider
    182. 182. Customized services delivered quickly
    183. 183. Innovative products addressing new needs</li></ul>The IT<br />Strategy<br /><ul><li>Increase store volumes
    184. 184. Develop Web-based order process
    185. 185. Improved product development</li></ul>The IT<br />Metrics<br /><ul><li>Asset utilization
    186. 186. Customer retention
    187. 187. Configure-ability index
    188. 188. Time-to-market
    189. 189. Influence planning process
    190. 190. Re-prioritize existing portfolio
    191. 191. Reduce response time
    192. 192. Improve IT skills
    193. 193. Agreement effectiveness
    194. 194. New projects index
    195. 195. System performance
    196. 196. Skills inventory index</li></li></ul><li>Prioritized Recommendations Example<br />Recommendations summary for IT Strategy & Performance Measurement*<br />Actionable Now<br />Ease of implementation: Cumulative effect of implementation considerations: process & technology alignment, change management risk, cost, external dependency, etc<br />IT Strategic Communications<br />Performance Measurement Method<br />Leverage IT Steering Council for IT Performance Review<br />Leverage ExtranetBI<br />IT Cockpit Layout& Viz.<br />Governance / Organization<br />Define Governance & Execution Roles<br />Corporate Goals Cascading Process<br />Business Process<br />IT Performance Goal Setting & Review Process<br />Report Refresh Automation<br />Scorecard / metric Design<br />Metric Consistency& Transparency<br />Metrics ownersat L2 level<br />DataQuality<br />Technology Architecture<br />Cross-Dimension Reporting<br />ContinuousImprovement<br />Size = option value<br />Separate strategic& operational metrics<br />Structured Data Storage<br />Actionable Later<br />Link metric resultsto exec variable pay<br />Business Impact: Cumulative effect of business impacts: net benefit, strategy enhancement, process effectiveness, etc<br />* Example only — Values changed from original<br />
    197. 197. SAP Dashboard Example<br />
    198. 198. MarketingDashboards to Exploration<br />© SAP 2008 / Page 55<br />
    199. 199. MarketingExploration to Analysis<br />© SAP 2008 / Page 56<br />
    200. 200. Key Learnings<br />BI Strategy<br /><ul><li>Business- and user-focused plan</li></ul>2<br />Strategy<br />3<br />BI Execution<br /><ul><li>Take pragmatic steps towards a long-term ideal</li></ul>Execution<br />“Business intelligence is about people, not technology.”<br />1<br />Information<br />Is Power<br />As is<br />To be<br />Info<br />
    201. 201. Thanks!<br />You Should Follow Me on Twitter: @timoelliott<br />Email: timo.elliott@sap.comBI Blog:timoelliott.comSAP Web 2.0 Blog:sapweb20.comFollow<br />