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| Business Intelligence |
Business Intelligence is a very broad term, but the name is defining the meaning of this term, Basically, to give some intelligence to any business, project, or department we use BI, it can improve the decision-making, growth, and culture with a great amount of money and time-saving.
It is all a game of data, which gives your the power of business intelligence using some formats, formulas, algorithms, etc. from the data it can give you some reports and insights as an outcome in the form of a table, graphics, and visuals. Let's discuss the BI in detail -
Data
Data is wealth, if you have a great amount of data then congratulations you are already successful but not 100% successful. Assume the data you have is your resource or power, and the power is useless or harmful until you don't how to use it in a correct manner. Based on that intelligence you can make impactful decisions that can be great for your business or department. To use your structured or unstructured data you need to connect or integrate with any BI Tool or any Open Source solution.
Integration
Integration is the connectivity, direct or through the third-party connector, here we are talking about the BI solution integrated with any data source, it can be a flat file, CRM, server, data warehouse, API, etc. So many data sources will be connected or integrated with the BI solution that you are going to implement.
Automation
The integration or the replication can be automated or manual, that depends on the approach you have taken, Here we are talking about an automated integration so that you don't need to connect your data sources again and again with your BI solution, once you connected or integrated, and it will fetch the data automatically according to the scheduled slot.
But the database schema always should be the same, in case there is any change in the schema and formulas, then the outcome can be false. So if there is any change in the schema, kindly upgrade your integration with the BI solution as well.
Report
Once your team has integrated the data source successfully with the BI solution, now you have all work to do with the data to make it report.
The report can help any decision maker to know the insights of the data, it can be in a tabular format, or it can be in a dashboard or visual format.
Analytics
The aggregated form of data and the insights of that data, in the form of digits, graphs, charts, visuals, etc. The analytics of the data is based on calculations, formulas, algorithms, etc.
e.g. Stock market report we see in the data analytics format.
Insights
The data from the data, or usable information from big data, is the insights of that data which can help you to make decisions. It is good or bad, but it can help you to improve the process or business.
e.g. X Product demand was down, but when the demand is high, where demand is high, which location or entities are not doing good, which is doing good, etc.
KPIs
Key Performance Indicators or KPIs are insights of a report or analytics based on which you can make the decisions for your concerns.
In a report usually, people look for 4-8 KPIs in a report or dashboard to make decisions in their departments, and it can be increased to 12-16 KPIs by some people. Though there is no upper or lower limit to that.
You can take the example same example as above.
Visualization and Graphics
People or eyeball likes to see the insights or data in attractive visuals that is good to easily understand, that isn't hectic, and that can help make easy comparison too.
Visuals, graphics, or charts are eye catchy and boring for non-techies and techies.
e.g. If you see the stock market in a tabular format it can take you time and it can be hectic because it's not eye catchy.
There are three types of analytics reports, which can help you to get insights from the data as well as it can help decision-making.
Real-time Analytics
Data is integrated well with your BI solution, and now you are getting the analytical visuals and insights on a real-time basis. It can help you with instant decision-making. You can get updates within a few minutes or seconds depending on the flow, calculation, and some other parameters.
Usually, the mid-level staff uses this report.
e.g. A sales team leader or salesperson, or operation person can make decisions according to the report of target achievement.
Historical Analytics
This aggregated analytics or report is usable for decision-making based on previous and historical data, it can help you to make the decision on the senior level to make changes in your plan, it can be done on a weekly, monthly, quarterly, half-yearly, or annual basis.
e.g. A CEO, VP, or director can know the Revenue, Investment, ROI, Wastage, Miscellaneous, etc.
Forecasting Analytics
This is the future, where based on the previous trend, BI solutions predict the results or outcome in the report, that prediction or probability can help you to make a decision according to your forecast report.
e.g. you can know what inventory or stock you need to fill or not, based on the trend of the market, time, and demand previously.
Impact of BI
Decision Making: BI solution can help you for an impactful decision making which can help you to improve your business, can increase your profit scale, can decrease the risk factors and junk things, can help to make investments in the best way. It can save time and money, and it can increase efficiency, productivity, and opportunities.
Lean Management: BI solution can help and encourage you to avoid the things which are time-wasting in the chain or organization, It provides you the scope of lean management, which is fair enough for the growth in any organization.
Smooth Process: With the BI solution, you can make your process automated and smooth, when you would have all reports for achievement, falls, and drawbacks (pros and cons) then your team can work efficiently due to a smooth process and understanding.
Automation: You don't need to do anything manually, once your automated report is ON, then just keep your eyes on the report or visuals, you don't need uploading, downloading, calculations, etc. Now utilize your time for a great decision. productivity, and growth.
Monitoring: You can easily know what's happening in your organization or department, what is the progress, and what are the junks, that can help you improve the system.
Teamwork: With BI you can have great teamwork, and with great collaboration and coordination, you can know who is best and where is best, who is lacking, where is lacking why is lacking, and you can improve that. That's why false people in any organization don't want the BI solution in the organization or department.
Planning and Strategy: With an amazing team, and all your insights, you can plan something very best, there is no chance of bad decisions or downfall because you know the best time, best market, and things for your department to adapt or leave.
Alert: You can be alert and prepare for suspicious things or spikes in the growth graph, hence you can change your decisions and can make great decisions.
Productivity: Due to insights from the data now you have an automated smooth process, a great team, resources, and agenda, with a great market and products, you know the trend, demand, your capacity, assets, and capability of your resources. No one can stop productivity in your organization.
ROI: You can save a lot of money as well as you can make huge money with great skills for decision-making because you know what time is best, which market is best, and what's happening in your organization.
Growth: With the amazing process, team, resources, ROI, and production, as well as a capability for impactful decision-making, your team can make outstanding growth in any department or revenue-wise.
Who can use the BI?
Though BI solutions are for every industry, department, and function, here I am highlighting a few of them -
Management
Top Management, Middle Management, or Lower Management, all can use the BI reports or BI dashboards to make their decisions in their respective departments. The management can make monitoring for any department, process, progress, activities, growth, problems, etc., Which can be resolved.
e.g. CXO, VP, Director, and Head can see all activities and progress in their respective or all departments.
Procurement and Inventory
The procurement and Inventory department can easily monitor and fix the problems related to operations, purchase, inventory, stock, supply chain, etc., by BI solution.
The BI solution can provide all insights to the Procurement and Inventory department, which helps to improve the process.
e.g. you can know what is short and what is overstock, and what is more demanding, according you can make your decisions.
Sales and Marketing
BI solution is very impactful for the Sales and Marketing departments, you can measure your performance, sales, marketing campaigns, revenue, ROI, investment, junks, locations wise, date wise, product wise, etc., and you can compare, and predict the performance. It can improve overall sales and marketing.
e.g. Invested X for a product, in Los Angles in May-June, and Y revenue generated and invested X for a product, in Los Angles in Dec-Jan, and Y Revenue Generated
Finance and Accounts
BI solution makes easy and transparent work for finance and accounts, finance and accounts departments can measure how much the organization or various departments have invested, how much revenue is generated, what taxes can be covered, how many invoices are generated, etc.
This is very helpful to management and board members too for decision-making on their expenses.
e.g. Profit and Loss (PnL), etc.
Human Resource
BI can improve Human Resource and Talent Acquisition department, HR can be managed for everything with many KPIs according to the HR needs, for hiring and recruitment, deployment, salary, taxes, planning, rights, performance, tracking, etc., Hence BI can resolve all problem occurred in the HR department, and HR well then all is well.
e.g. How many people applied for a job, how many CVs, matching, from where most people applied, how many CVs were shortlisted, how many were hired successfully, how many were rejected, how many were on hold, etc.
Information Technology
An IT department can get the resolution and can know the progress related to multiple projects using BI solution, This can improve and track the performance of everyone in the IT department.
e.g. X project current status, X projects from, X Project completion time, X projects late for delivery, X projects completed before delivery time, etc.
Logistics and Supply Chain
With a BI solution, you can track all statuses in Logistics and Supply Chain functions, you can track the delivery status, can know about the next deliveries, can know about the previous deliveries, and can do so many things in logistics and supply chain.
e.g. most delivered product, most delivered location, currently where is the packet, etc.
Manufacturing and Production
The manufacturing and production department can get insights from the process, and you can automate all steps, this can improve the manufacturing, delivery, and production progress.
e.g. How many products were manufactured in 2023, how many products are already in stock, etc?
Customer Success and Feedback
If you are moving ahead with a BI solution you can easily track and satisfy your existing and new customers through a BI solution. You can create various KPIs and track the relationship with your client, this can help you improve your department or company on a client-feedback basis.
e.g. Total happy customers from New York City, Top rating products, etc.
