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Success Factors of Business Intelligence

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Allen Brown

on 8 November 2013

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Transcript of Success Factors of Business Intelligence

Advances in Business Intelligence
Success Factors of Business Intelligence

Ensures money spent on business intelligence is worth it
Two factors to determine value


Need well trained teams
Involves user competencies
Must prioritize training


Key part of business intelligence and creating competitive advantage
May take years to create
Involves organization and planning



Four Key Factors

Technical Components (software, hardware)
Functional Components (data quality)
Two factors for assessing infrastructure


Gonzales, Michael. "Success Factors for Business Intelligence and Data Warehousing Maturity and Competitive Advantage." n.pag. EBSCOhost. Database. 17 Oct 2013.
Rehm, Clay, Scott Howard, and Chuck Kelley. "What is the difference between the terms "business intelligence" and "data warehousing?" ." Information Management. N.p., 22 Aug. 2010. Web. 21 Oct. 2013. <http://www.information-management.com/news/7260-1.html>.
McCabe, Laurie. "What is Business Intelligence." smallbusinesscomputing.com. N.p., 30 July 2011. Web. 18 Oct. 2013. <http://www.smallbusinesscomputing.com/news/article.php/3896051/What-is-Business-Intelligence-and-Why-Should-You-Care.htm>.
Prasad, Acklash, Peter Green, and Jon Heales. "On Effective Accounting Information Systems in a Dynamic Business Environment: The Role of Complementing Capabilities." systemsthinking.nl. N.p., n.d. Web. 20 Oct. 2013. <systemsthinking.nl/ISAIS%202013/Prasad%20-%20Green%20-%20Heales.pdf>.
Nittler, Mark. "Accounting and Business Intelligence: Why Can't We All Just Get Along?." Workday Blogs | Business Management Software, Human Resource, Financial Management, Performance Management & Payroll Software Discussions. N.p., n.d. Web. 20 Oct. 2013. <http://blogs.workday.com/Blog/accounting_and_business_intelligence.html>.
Laudon, Kenneth C., Laudon, Jane P. "Management Information Systems: Managing the Digital Firm". Upper Sadle River: Pearson Education Inc., 2012. Print.
Applications of Business Intelligence


Data Warehousing & BI


Use data from programs to make optimal decisions and form business knowledge

The difference between BI and data warehousing

What is a data warehouse?

How are they used?

Used to Store Information
Analyze trends over time
Used to access company financial statements and reports
What Exactly is Business Intelligence?
First, let's consider the simple definition of the term"intelligence":
- Ability to take in data from an environment.
- Understand the meaning and significance of said information.
- Act appropriately on such information.

- So what does this mean for a business?

Data warehousing is a subset of the entire business
Data warehousing and Data Marts
Increased BI increases Profitability, Performance, and Operational efficiency


The presentation layer of business intelligence, and the connecting interface between the raw data and the decision makers of businesses.


The previous information found using Business Intelligence is taken, and through knowledge management, extracted, documented and cataloged for reference by companies.


Business people must use the information provided by B.I. analytics, discuss the data, and work with others within the company to collaborate and reach a decision to benefit the company.

Types of Data Warehousing

The Enterprise Data Warehouse System

The Operational Data Store System

A Data Mart
Benefits from data warehousing
With the continuous advances in business intelligence the benefits from data warehouses are constantly increasing. Some benefits include…

Increased performance

Increased availability/protection


Business Intelligence in a Nutshell
- Business Intelligence, or BI, refers to a variety of software applications used to analyze an organization's raw data.
- Raw data --> Useful and meaningful information.
By: Robert Brown, Donald Kepley, Keith Peterson, Sarah Wingfield, and Evan Wardrop
Business Intelligence: "Bird's Eye View"
Source: "Management Information Systems-Managing the Digital Firm"; Laudon and Laudon; p. 464; Figure 12-3
BI Environment: 6 Key Elements
Why is BI relevant to AIS?
1. Data from business environment - raw data from sources such as mobile devices and the Internet.

2. BI infrastructure - database system that retrieves all relevant data to operate the business.

3. Business analytics toolset - set of software tools applied to produce reports, answer questions from management, and benchmark the progress of the business.
1. Data from business environment - raw data from sources such as mobile devices and the Internet.

2. BI infrastructure -
AIS alone cannot provide all the information needed by decision makers.

Business Intelligence helps to break down and answer the questions that AIS cannot, such as issues with the following:
Going Concern
Legal Entity Principle
timeliness vs. accuracy
BI Environment: 6 Key Elements Cont'd
4. Managerial users and methods - Managers interpret analyzed data to evaluate business performance.
- Ex: Business performance management

5. Delivery platform - Results from the previous step are sent to managers and employees.
- Ex: Management Info Systems, Decision Support Systems, Executive Info Systems

6. User interface - Final analyses are reported by visual presentation (more effective) or by posting on dashboards.
Business Intelligence complements the analytical capacity of the AIS
Serves two purposes:
1. assists with front-end information dissemination role of AIS by providing the analytical capacity
2. acts as a control agent for the AIS

Let's check out what this looks like put together...
Measure risk
Value must exceed cost
Full transcript