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- Why Your Intelligent Business Needs Business Intelligence
Posted by : Amanda Stein Wednesday, September 4, 2013
Business Intelligence is a bit of an umbrella term that covers a lot of different ideas and applications. Essentially, BI indicates the ability to analyze raw data in an organization. It’s made up of several different categories including data mining, analytical process and others. BI is useful because you can use it to guide your every business decision, especially in the field of making your business more efficient.
Potential Benefits of BI
You can use BI to cut costs in your organization as well as find new opportunities in business. There are a lot of possibilities online for using BI to make better decisions. IN the past, a lot of these decisions were made by gut instinct and feelings. But now because of the huge amount of information available on the Internet, you can base your decisions on hard numbers instead.
An example is how the Patriots were able to achieve victory three times in four years. Though it’s odd to think about, the football team is merely a business in many respects. And they exclusively use in-depth big data models in their decision making. This is used to help with decisions such as which players to elect for the team in order to stay below the salary cap for the NFL, for example. But data is also used to help maintain positive fan experiences as well. Data is collected about the stadium food, the parking situation, the staff members, and the cleanliness of the bathroom and so on using quantitative measurements such as how often the bathrooms are cleaned. By making the experience something that you can measure with hard numbers, it’s possible to gain serious insights into the best way to improve the overall situation using BI.
Another example of a business that uses BI to succeed is Walmart. They are dominating the retail industry for a reason. This reason is primarily a heavy reliance on BI tools. Companies all over the place are doing this. The casino company Harrah’s is focusing a lot more on customer loyalty and service analytics now instead of more traditional approaches to casino improvements, for example. The company Capital One runs over 30,000 experiments per year in order to gain data that can be crunched using BI systems. Then, conclusions are spit out from these systems about what Capital One should offer in terms of credit card offers, and to whom they should offer it. BI can use demographic information to tell you which sorts of customers to target to maximize profits given any field provided that you have enough data to feed it.
Finding The Perfect BI Solution
Services like Domo and others are all over the Internet now. They will crunch the big data from your company for you, and give you dashboard depictions of your data. Some of this data can even be depicted in real time so you know precisely what’s working and what isn’t and can adjust your strategy accordingly.