The Importance of Business Intelligence Do you exceed ask your staff for meaningful reports to make a business decision? Do you often rely on your gut feeling rather than data to make business decisions? Does your organization exceedingly depend on the MIS team for Business Reporting?
If yes, this blog is especially for you get these questions answered. In this blog you learn about importance of business intelligence.
Business Intelligence Reporting is Reporting and Decision-Making tool which is specifically designed to provide end-user reports in an interactive manner. It allows users to engage themselves and slice and dice data as per their needs.
Organizations of all size whether small or big, whether for-profit or non-profit, needs tools which can help them make data-based, reliable and timely decisions rather than decisions driven by gut feel.
BI Reporting tool fills this gap and makes the relevant data-based information available to decision-makers. They no longer need to be dependent on the MIS team to help prepare the reports which are static.
Table of Contents
Importance of Business Intelligence
Visual, Simple and Intuitive Interface: It allows visualizing and analyzing data with great speed, efficiency, and understanding, all with a natural and easy to understand language, and from a single platform.
Understand Customers Better and Generate More Leads: If we take the case of a telecommunications company as an example, BI can help them predict the rotation that customers will have. That way they will know in advance when theywill unsubscribe. Taking billing information, inquiries about their promotions and as a refernce to visit thw web center, their efforts to attract new customers relieve those who know they will leave
Start In A Matter Of Seconds: you can start using it in a matter of seconds, just register and go.
Improve Operational Efficiency: BI improves efficiency of business by improving decision-making to make it faster and easier, helping companies deploy their work forces more efficiently. as well as helping companies analyse and improve their business processes and allow it to improve IT efficiency.
Identification and Correction Of Budgetary Deviations: There are some companies, particularly large ones, who suffer from significant economic divergence between the projected parameters and objectives established at the beginning of the year and the results expected twelve months later.
Real-Time Data: Business intelligence offers you information about your business at any time, anywhere and from any device.
Drive Performance and Revenue: Potential benefits of business intelligence programs include accelerating and improving decision making; Optimize internal business processes; Increase operational capacity; Increasing new revenue and gaining a competitive advantage over business rivals.
Customizable and Accessible: create dashboards and specific reports according to the needs of the company and the different departments, and share these reports and panels with anyone, whether they are members of the company or customers.
Provide Personalized Services More Easily: This is broad opinion because it is wrong to consider that BI is useful only for large companies. Simple business intelligence systems can help a lot for personalized service, for example, at what time it is most appropriate or what is the most convenient day of the week to close it.
Control and Vision Of Different Areas Of The Company: Financial, commercial, marketing reports, etc. Take advantage of the data generated by these departments to know trends, analyze different scenarios, get answers, etc.
Convert Data Into Answers: Thanks to the reports you will have all the information you need to make agile and intelligent decisions.
Business Intelligence is the process with which, using the data generated by the company, we generate relevant information and insights that allow organizations to make qualified decisions. Business Intelligence Reporting is a constant process of acquisition, structuring, and interpretation of data but it is summarized in Business Intelligence (BI) reports that allow its users to quickly understand how business is performing on various parameters critical for success.
Areas with a marked seasonality often have significant problems with optimizing stocks properly. For example, if sales of a particular product skyrocket in the summer or during the Christmas holidays, it is difficult to store the right amount to maximize profits.
In this sense, some companies in the canning or food sector, in general, have managed to increase profitability to figures of around 10% through BI techniques:
Implementation Of Some Decision Support Systems (DSS)
Comprehensive analysis of historical data on sales and inventions of stored products.
The data obtained has allowed, in many cases, much more efficient and cost-effective redirection of the entire logistics and productive storage process.
Business intelligence processes are also very useful for locating the most profitable customers, for example, a supermarket or a chain of clothes to generate loyalty later.
This requires the correct analysis of large amounts of data to obtain an ideal profile: age, gender, geographic location, marital status, number of children, etc. A good way to obtain this information maybe by creating a “discount card”, where the customer must provide a series of personal data to obtain them.
Loyalty cards also serve to achieve this goal. For example, if it is a perfume, they usually request information such as the makeup brand used by the owner or their favorite perfume. With this, you get to know which promotions will be more attractive. Benefits of business intelligence
Attracting New Customers
If we take the case of a telecommunications company as an example, BI can help them predict the rotation that customers will have. That way they will know in advance when they will unsubscribe. As a reference to billing information, their promotional inquiries and visiting the web center, their efforts to attract new customers that relieve those who know they will leave.
Identification And Correction Of Budgetary Deviations
There are some companies, particularly large ones, who suffer from the significant economic divergence between the established parameters and projected objectives at the beginning of the year and the results that actually occur twelve months later.
Analysis of a company’s strategic objectives through the implementation of an integrated scorecard (balanced scorecard) can, in a short period of time, cause these deviations and allow for their rapid improvement.
Small Business Problems
This is a broad opinion because it is wrong to consider that BI is useful only for large companies. Simple business intelligence systems can help a lot for small businesses, for example, at what time it is most appropriate or what is the most convenient day of the week to close it.
In the case of a small supply company, looking at how delivery starts late, BI can help them know which products are most delayed when delayed, or what modes of transport Those who arrive late more often.
Why Business Intelligence for my company?
Having information is crucial to the decision-making process, both operational and strategic. Decision making will be safer when they are based on trusted sources of information that help the company reduce uncertainty and risk.
The ability to extract, debug, consolidate, synthesize and present data-information-knowledge in an automated way is only achieved through Business Intelligence.
It is essential to make available to users who need the information for analysis and decision making: agile, flexible and reliable, in the format appropriate to each one. In Business Intelligence the information is obtained without dependencies of other departments, with the possibility of browsing by the users themselves, which allows deepening the analysis interactively based on any of the available dimensions.
You have to know how to exploit the Importance of Business Intelligence tool and make it the strongest muscle in your company.