Advantages of use of a BI system
Key advantages from implementation of a BI system at the moment are fall forward and the accuracy of drawing up reports, analytics and planning, increase in process performance of decision making, increase in customer satisfaction. Much less often BI systems allow to achieve reduction of operating expenses or increase by total revenue.
The directory of BI solutions and projects is available on TAdviser.
The tasks solved by a BI system
Systems for the business analysis solve very broad spectrum of tasks. So, "short horizon" is monitoring, the analysis and correction of the operational purposes:
- support of development of business processes and structural changes of the enterprise;
- possibility of modeling of different business situations in unified information environment;
- carrying out the operational analysis on non-standard requests;
- decrease in routine load of personnel and release of time for deeper analytical work;
- steady work at increase in volume of the processed information, a scaling option.
Regarding support of strategic development of the enterprise of a BI system provide
- efficiency evaluation of the different directions of business;
- assessment of accessibility of effective objectives;
- efficiency evaluation of use of resources, including affiliated enterprises;
- efficiency evaluation of operating, investment and financial activities;
- business simulation and assessment of investment projects;
- cost management, tax planning, planning of the capital investments.
BI vs ERP
According to analysts of MiPro Consulting company, implementation in the organization of an independent BI system provides a number of advantages over use of the analytical tools which are built in other corporate information systems (CIS). Among such advantages there are BI systems:
- big visualization and convenience of work with information to business users, including from among top management;
- possibility of use several analytical solutions for different activities in scales of all enterprise, but not within separate divisions;
- allows to take, analyze and consolidate data practically from any sources;
- is based on the industrial, supported and developed BI platform;
- has the status of the application, independent, strategic, crucial for business;
- provides necessary scalability, efficiency, performance;
- allows to build and support end-to-end procedures and processing, the uniform centralized analytical models and projects in scales of all organization;
- contains the built-in tools for the solution of different and various analytical tasks, both in terms of business, and from the point of view of IT;
- provides data access and to analytical tools of bigger number of users.
Use of the analytical tools which are built in other corporate information systems, for example the class ERP or CRM has, as a rule, the following restrictions:
- a limited set of the implemented analytical tools identical to all users, irrespective of their roles and tasks;
- the possibility of use for the analysis only of own, internal data, at the same time information from other systems remains unavailable, and data from different sources I cannot be consolidated;
- the lack of the developed built-in tools for the analysis leads to the fact that a system is used only for extraction of the data stored in it which then are exported and analyzed in Excel;
- ERP and the Customer Relationship Management System, as a rule, have limited number of users that "cuts" a large number of employees of the company to whom this information would be useful and interesting from analytics (significant increase in number of users reduces performance of the transaction systems);
- the transaction systems usually do not contain all indicators, necessary for carrying out the analysis, do not include such tools as dashboards (dashboards) which became already the standard for submission of analytical information;
- analysis results in such systems are presented usually in the form of tabular reports or charts that does not allow to gain a detailed and comprehensive impression about the real situation and does not give the answer to many arising questions;
- possibilities of creation of flexible user (ad-hoc) requests it is limited;
- use of large volumes of the accumulated historical information is limited.
Advantages of BI systems in digits
The question of effect of implementation of BI systems became one of key during in 2012. It is interesting that BARC includes this question in the research since 2002 so data in the report of the company are provided in dynamics. In total researchers selected 11 advantages of implementation of a BI system. How often the companies noted this or that advantage in 2012, is designated in the table lower.
Advantages of use of BI systems
BARC (Business Application Research Center), 2012
In the first column of this table advantages are listed, and the frequency of their mentioning in answers in the following context follows further (on columns): advantage is proved quantitatively; it is proved, but not measured; it is declared officially, but not checked; unofficial it is meant; it is not reached; raised the price of the project or negatively affected it; not a certain answer.
What advantages are reached within implementation of BI most often?
BARC (Business Application Research Center), 2012
Apparently from the table given above, most often the companies which implemented BI systems noted achievement of the following results: process optimization decision making, acceleration of processes of preparation of reports and analysis, quality improvement of data, increase in satisfaction of employees and clients. Use of the systems of the business analysis for the purpose of reduction of any costs was the least effective.
Frequency change of achievement of advantages during BI projects in 2002-2011
BARC (Business Application Research Center), 2011
According to the last diagram on which the frequency of achievement of 9 key advantages is provided during implementation of BI projects from 2002 for 2011, on the majority of effects of implementation in 2009 there was a sharp slowdown. But in 2010-2011 by the majority of parameters level above pre-crisis was reached. For example, such parameter as customer satisfaction was noted in the last two years almost by twice more companies.