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What you need to know about business intelligence


Every company wants to succeed. That success always comes from growth. With most companies, growth comes from customer retention and obtaining new customers. "Business intelligence" can help a company win new customers and retain old ones. Business intelligence can be abbreviated BI. A formal definition of business intelligence is that it is a process of gathering information in the business area. In BI, the data collected is improved in information and then in knowledge. Business Intelligence can give any company an accurate idea of ​​the needs of its customers. Companies that have large amounts of information about their customers can act on that information. Companies that use BI gain knowledge and understanding of customer needs, the customer's decision-making process and economic, cultural and technological trends. By using business intelligence, companies select short or long term goals. BI helps a company achieve those goals.

Business Intelligence History

The idea of ​​business intelligence goes back to the "Art of War" by Sun Tzu. Tzu believed that to win a war, you must have a complete knowledge of your own strengths and weaknesses, as well as your enemy's strengths and weaknesses. This is the central idea in current business intelligence. Companies must know each other better than their competitors, and they must know their competitors better. The war and business are very similar considering that with BI, one must filter a lot of data (both external and internal) for the administration to develop strategies on where to conduct business and marketing. War also implies strategic plans. BI is the process of obtaining information about each element of your market. Simply understanding the client is not enough; A company must understand its competitors and itself.

KPI, key performance indicators

The current state of business is determined by the use of key performance indicators (KPI) in business intelligence. As more companies implement KPI, data is available to companies more quickly and efficiently. The data used to be available for business only after one or two months. This premature availability did not help companies adjust their strategies. More recently, banks have tried to make data available earlier and with shorter intervals. Banks do this especially for companies that have a higher credit / operational risk burden. This allows many companies to obtain new data weekly and adjust their strategies faster than ever, leading to greater customer satisfaction and retention.

BI tools

When business intelligence is used, a company has to gather a lot of information. BI tools can help companies store, organize and even collect business data. Some data tools are data warehouses, data modeling and data mining. The use of data tools helps improve the efficiency of business intelligence. While data tools are used for the organization, online analytical processing (OLAP) is used in the analysis process. OLAP is commonly known as simple Analytics, which is based on the dimensional analysis of hypercubes or "cubes."

There are also suppliers that help companies with business intelligence. A supplier provides a company with the business intelligence tools and support necessary for the successful implementation of a business process. Siebel Systems, Microsoft, Altius Consulting, Business-Soft and SAS Institute are just some of the companies that offer tools and business intelligence support.

conclusion

The better a company understands its market (everything from the customer to its competitors), the more effective that company can be. Companies that have a full 360 degree understanding of what their customers need and want will be able to devise successful strategies and implement successful processes for their business to thrive. Business intelligence is the path that companies can take to achieve their goals, which can be short or long term.  Undoubtedly, if a company ends up winning many customers and retaining current customers as a result of business intelligence, it will be a positive ROI.

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