Maxim Andreyev: effective BI system not a toy, but instrument of decision making

: How long does CROC develop to the BI expert? What place does she take in the general business of the company?

Maxim Andreyev: CROC is engaged in BI approximately since 2001, the truth the separate direction was selected later. At first we used generally OLAP technology of Microsoft, built the first storages in other our complex projects under custom developments. The companies of the industry of FMCG were our first customers in the field of BI. In 2006 the command which was engaged only BI was purposefully created. And we achieved quite good results in this work. It is noted, by the way, and our partners, say, at the conference IBM Cognos Perfomance 2010, CROC which took place on November 17 this year it was awarded with a prize for the best practice of Cognos in Russia.

TAdviser: What platforms and systems for the business analysis are used by CROC in the practice? Why you stopped on solutions of these vendors?

Maxim Andreyev: Historically we began as partners of IBM Cognos BI and Microsoft, but further our portfolio was significantly diversified. Now we are partners of all so-called megavendors - IBM, Oracle, SAP, Microsoft. We are engaged also in the niche specialized systems which are less widely known: for example, QlikView or Pentaho (open source BI system).

Both commercial, and technology potential of the solution is important for us. And niche solutions are proposed often something unique, literally "in ten" customer-specific. So we once got acquainted with QlikView. But it is necessary to recognize that the propaganda power of megavendors is so strong that some customers want only, for example, IBM and are unshakable in the solution.

Our opening this year – the product Tableau Software. In our opinion, this system offers the revolutionary mechanism of data visualization for very deep analysis. Practices of this company are used, for example, by Oracle company in the BI packet, but they left forward. This year Tableu appeared in Gartner square in left upper as a certain visionary. QlikView also appeared in our line only this year: we signed the partner contract at the beginning of this year.

TAdviser: Tell, please, about one - two brightest BI projects from practice of CROC: whether it managed to you to find some graceful solutions of difficult tasks or to try to obtain unexpectedly high efficiency at implementation of the systems of this class?

Maxim Andreyev: In 2010 we made a little really interesting projects. One of them - creation of an analysis system of sales in Kimberly-Clark company. Along with the solution IBM Cognos BI we used own development - CROC of NSI Suite. It is a packet of the certain practices issued in the form of the software product which allow to achieve excellent results in the field of management of reference books. In Kimberly-Clark more than 100 product reference books and all of them needed to be joined. Normally it is the big and heavy project, but by means of our practices we could organize thus this process that its labor costs decreased several times. As, respectively, and the cost of filling of this storage for the customer. The saved means were spent for development of the main BI. The company does not spend time and funds for processing of the arriving information now. Instead specialists are engaged in its analysis, find and eliminate "bottlenecks". With the advent of the new tool, first of all, the quality of the made management decisions in the field of sales marketing as now the company locates a complex picture of activity of all distributor network increased

I want to tell also about the project for the large distribution company which is engaged in sale of electrotechnical products. For this customer we complete the project on creation of a system of the analytical reporting. For the first time we managed to implement approach at which the integrator in fact is engaged in prototyping of crucial elements of future system, adapts an implementation methodology (documents, processes) for the specific customer and provides training of employees in work with a product and technology of implementation. At the same time replication of standard solutions and implementation is carried out by forces of specialists of the customer, and the command of CROC controls quality and gives necessary support. As a result the company saves more than 40% of the initial project budget. A part of this money is directed to motivation of an inside personnel and emergence of own command supporting and developing this solution.

TAdviser: By your experience among what companies there is the most high demand on solutions of the class BI now? Whether there are some industry specifics of demand? Whether such solutions for the companies of medium and small business are relevant?

Maxim Andreyev: A certain explosion of demand for BI solutions, on our feelings, occurred during crisis. Now we see, the active growth of interest in BI systems in a public sector. Perhaps, it is connected with requirements of increase in transparency of activity of state structures.

Concerning small and medium business it is also possible to speak with confidence about demand of BI solutions, however, with clear restrictions. In response to it, most the vendors working at the Russian market proposes specialized solutions for S&MB. Partly the problem consists in absence here in the market of specialists who at the moment could respond to the need of small business for BI tools adequately. The qualified labor resources work on the Niva of the largest integrators which for obvious reasons prefer large-scale projects. But this market will surely take place further.

TAdviser: Tell, please, how it is correct to select the optimal BI solution for the company? Whether there are in the Russian market such easy solutions which can be used even without additional setup?

Maxim Andreyev: First of all, it is necessary to accept one fact – the functionality of BI platforms from the leading suppliers is crossed for 95%. By and large, they from each other differ in nothing. Certainly, each vendor includes in the products some unique features, the nuances interesting to a trifle, but as for basic functionality (creation regulated and ad-hoc of the reporting, OLAP data analysis, work with KPI as dashboards, access from mobile devices), there are no fundamental differences in solutions.

Selecting the BI solution, it is worth paying attention to other factors. First of all, on the long-term strategy of development for IT infrastructure of the company: if you selected, for example, the union with Oracle, then it is worth continuing in the same spirit. Also calculation of cost of ownership taking into account all components and consulting is important. It is necessary to analyze whether there are in the market and in sufficient quantity that product specialists which you selected, and how much are their services. Believe, it is very important.

Independently or together with integrator it is necessary to make the requirements list to a BI system. By the way, thus in our portfolio specialized niche solutions appear. If there is a critical requirement which is not closed by opportunities of the widespread systems in any way. For example, at one of our customers it was required to make the analysis in an OLAP cube, but to select one of measurements not on value, and on entry of the text into the name of measurement and to do it online, on the fly. Eventually, we found such solution, having got acquainted with QlikView.

TAdviser: How competently to approach the organization of the BI project? Whether there are some widespread errors which can be avoided at a stage of project organization and already in the course of its implementation?

Maxim Andreyev: In a sense the project on BI differs in nothing from other projects focused on implementation of business applications though there are nuances in the methodology recommended by different vendors. But for the rest the scheme is standard: it is necessary to collect requirements to future system, to write terms of reference, to design, develop, test and implement the solution.

Difference, as always, in parts. I will tell about things of which it is worth thinking at the very beginning of the BI project. The most important - existence from the customer of management with the expressed need for changes. If it is absent, a system it will not be simple to work, will become the toy not suitable for decision-making and not considered as such tool. The second moment. You should not forget that the BI project is after all the technology project, and without support up to standard it is doomed. If not to provide support of a system, sooner or later there will be problems with its performance.

There are also offensive, apparently, trifles to which usually at the beginning do not pay attention, and right at the end they become the cause of accident. Let's tell when a BI system is implemented not in scales of small department, and covers data from different divisions of the company. Often it turns out that these divisions from the point of view of BI speak different languages. Therefore surely at the initial stage it is necessary to agree about the glossary that, for example, all understood as the term "revenue" same.

And still the moment to which we now insistently pay attention is usability of the interface of a BI system. Especially its convenience from the point of view of analysts. The matter is that beautiful dashboard with three-dimensional diagrams are not necessary to the analyst in reality. And at us in projects it happens rather seldom. I will repeat, the interface should be convenient for work of the analyst.

TAdviser: What criteria of efficiency of implementation of a BI system are used by CROC? How it is possible to estimate effect of business analysis system implementation in practice?

Maxim Andreyev: The most important criterion of efficiency of BI – an opportunity to make critical decisions for business on the basis of information obtained from a BI system. The effect needs also to be estimated on the basis of change of the main of the KPI company, after transition to decision making on the basis of BI.

Happens that also basic indicators work. For example, our customer, the representative of a segment has a retail, before implementation of a BI system employees prepared a certain report 2 weeks, after implementation – 4 seconds. It is an important indicator which cannot be transferred to a cash equivalent.

And still a certain qualitative index which we use to estimate as far as a BI system was successfully implemented - whether use of Excel for reports was reduced. If Excel is practically not used – the BI project means it is extraordinary successful. If Excel still much, so a new system for some reason did not satisfy the customer and it is necessary to continue  work.

TAdviser: Please, tell a little about relevant technology trends in the Russian market of BI? As far as do we actively use SaaS and "cloud" technologies, mobile BI? Or the Russian market is not ready to it so far?

Maxim Andreyev: For the last several months many vendors released new versions of BI products. The most anticipated can call a release of the 11th version of Oracle BI. An exit of IBM Cognos 10 and QlikView 10 is not less important. Among the main technology trends it would be desirable to select access to BI content from mobile devices (mainly Apple), work with information in real time, im-memory data processing. SaaS and cloud computing it, perhaps, near, but future.

TAdviser: At last, share, please, your vision how the Russian BI market in the next two-three years will develop?

Maxim Andreyev: In the next 2-3 years the Russian market of BI expects steady growth. We expect demand shift towards the projects connected with the solution of applied tasks in the field of analytics such for example as analytical CRM. Also we will become witnesses of a significant amount of reproject startups of BI/DWH, especially in the banking sector.

TAdviser: Thanks!