Peter Drucker said, “You can’t manage what you don’t measure”. That is exactly where business intelligence comes in the picture. The purpose of business intelligence is to create a well-planned and insightful strategy for business growth considering all the parameters that hold importance. A successful business needs analytics, data, and insightful information to run a business. A business that runs without insightful strategy or business plan is a like brisk walking aimlessly towards a dead end. No business that aims to be successful would want to head that way.
What exactly is Business Intelligence?
Business Intelligence is the process of converting raw data into meaningful insights that will be beneficial for the growth of the business. It is an intensive process to transform data into actionable intelligence and knowledge. This data then further help in understanding the details and intricacy of how a business can be made successful. Strategical inputs make it easy for a business to forecast business plans and advance. BI tools perform data analysis and create reports, summaries, dashboards, maps, graphs, and charts to provide users with detailed intelligence about the nature of the business. This is helpful in making decisions based on the studied insights.
Why is Business Intelligence Important?
There are a number of ways in which Business Intelligence is beneficial. Some of them are as follows:
- The process of Business Intelligence helps in unfiltered measurement. It helps to create clear KPIs. (Key Performance Index) based on historical data about the business and another similar niche.
- It identifies and sets a benchmark for a varied process further making it clear which direction the business needs to head.
- Business Intelligence can identify market trends and spot business problems that need to be addressed on an immediate basis. This not only helps prevent bad outcomes but also helps in risk management.
- Business Intelligence helps on data visualization that enhances the data quality and thereby the quality of decision making.
- Business Intelligence can be used not just by enterprises but other Small & Medium Enterprises.
What are the Advantages of Business Intelligence?
Here are some of the advantages of incorporating Business Intelligence into the workflow:
- Boosted Productivity:
With Business Intelligence in place, it is very convenient for businesses to create reports with just a single click. This saves a lot of time and resources. It also allows employees to be more productive in their tasks.
- Improves Visibility:
Business Intelligence also helps in improving the visibility of the processes and makes it possible to identify any areas which need attention. Immediate attention helps in risk management.
- Creates Accountability:
Business Intelligence assigns accountability in the organization as there is always someone who must take accountability and ownership for the organization’s performance against its set goals.
- Gives a Top Angle View:
Business Intelligence helps the decision makers of an organization get an overall idea through typical BI features like a dashboard, scorecards, and analytics.
- Mainstreams Business Process:
Business Intelligence clears all complexity associated with business processes. It also automates analytics to an extent by offering predictive analysis, computer modeling, benchmarking and other methodologies.
- Easy Analytics:
The Business Intelligence software has democratized its usage. It allows even nontechnical or non-analysts users to collect and process data quickly. This also allows putting the power of analytics from the hand’s many people.
Entrepreneurship is neither a science nor an art. It is a practice. The ones who follow the best one reach the gateway of success faster and stay there longer. After all, business has only 2 basic fundamentals for success which are, marketing, and seamless innovation.