First let me start off by defining Business Intelligence as defined by Business Journal International Weekly. “Business Intelligence is a set of theories, methodologies, processes, architectures and technologies that transform raw data into meaningful and useful information for business purposes.” Over the past 10 years business intelligence has soured in popularity to what is now, a $15.8B a year business, with an estimated 55 percent of companies today using some form of Business Intelligence or Business Analytics solutions. According to Gartner, “by the year 2020 researchers show an estimated 75% of companies globally will rely on Business Intelligence to run their companies.” Who would have thought this number would get so high? Continue reading this post>>
With 2014 coming to an end faster than anyone could ever imagine, the time to start thinking and planning for 2015 has fast approached us. With the start of a new year comes a number of technology changes to consider. With the following new BI Trends, Business Intelligence (BI) should not be on the long list of things for any organization. While some of these trends are already being implemented, with the potential to expand over the next year, there are a number of proposed changes that could fundamentally shift business processes. Below we will uncover what to expect when looking into BI trends for the year of 2015. Continue reading this post>>
One of the most challenging tasks when planning a new business intelligence project is the selection of the right tools to achieve the best possible return on investment. You will have many decisions to make depending on your company’s needs. This poses many questions such as: Will you need new servers? Will you need to host it in the cloud? Will ETL (Extract-Transform-Load) tools be needed to manipulate data or to combine multiple data sources? Will you need cube technology (usually dubbed OLAP)? What type of reporting tool will you need? All of these questions need to be answered carefully as they affect each other on your way forward.
A criteria-based approach should be used in selecting each software. This approach in evaluating software provides you with a quantitative measurement of quality before you commit to a specific tool. When evaluating business intelligence reporting and analytics software, the following 5 criteria are your top priority, but should not be the only criteria used: flexibility, security, learnability, mobility, and evolveability. Let’s take a deeper look into each of these areas.
In past articles I’ve written here on arcplan’s BI Blog, I explored the role of spreadsheets in the planning, budgeting, and forecasting process and the importance of agility and accuracy. Today I would like to talk about the benefits of business analytics in the planning process when it comes to providing agility and accuracy.
When forecasts are consistently accurate, business leaders can have more confidence when making decisions and investments to guide the organization, as they have a good idea of how the organization will perform in the coming months. Agility is essential because volatile markets make it difficult for forecasts to reflect current business conditions. Therefore, Best-in-Class organizations are more likely than All Others to implement technology to enable both data access and the ability to utilize data to make predictive decisions (Figure 1). Fifty percent (50%) of Best-in-Class organizations have implemented an enterprise-level BI solution in comparison to 28% of All Others. These tools provide data in an easily consumable format so employees can find and utilize the data they need to make decisions. The Best-in-Class are also over twice as likely as All Others to have implemented predictive analytics. This technology helps to convert BI data into forward-looking forecasts.
Figure 1: Best-in-Class Technology Adoption
Source: Aberdeen Group, January 2013
Providing Visibility & Agility: The Key Components of Success in Planning, Budgeting, and Forecastingby Nick Castellina
In my previous post, I discussed the role of spreadsheets in financial planning, budgeting, and forecasting. My key conclusion was that organizations need more substantial technology to facilitate these processes through automation. What I did not discuss was how these technologies provide greater visibility into the data that is essential for successful decision-making as well as the importance of utilizing this data to create forecasts that constantly reflect current business conditions. Today I would like to discuss these themes, but let’s first take a step back to why they are important.
Aberdeen’s 2013 Financial Planning, Budgeting, and Forecasting survey illustrated the top pressures hindering planning processes (Figure 1).
Figure 1: Pressures in Planning, Budgeting, and Forecasting
Source: Aberdeen Group, January 2013
Highlighting the importance of agility, organizations are pressured with volatile markets that make it extremely difficult to forecast effectively. This is compounded by the fact that 25% of organizations reported that their current budgeting process is too long and resource intensive. So organizations are spending all this time and effort, and by the time the planning process is complete, the output is already based on old data.