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What is Business Intelligence? What is it used for?

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Organization intelligence is the selection, company, and examination of data to provide strategic insight for a company.

Your business could miss out on opportunities if you don’t understand Business Intelligence (BI). It is crucial to make decisions based on data and evidence rather than intuition.

But don’t worry! This post may describe everything you need to learn about  BI and how it can be used in your business.

What is Business Intelligence?

Business Intelligence (BI), a management concept, aims to use the information to make better decisions – or, as the name suggests, intelligence.

BI allows you to collect, organize and manage data. It can also be used to analyze, share, transform, and share information to support your business management. Soon you’ll be able to understand more.

BI is not a tool

Contrary to popular belief, Business Intelligence does not consist of a tool. It is a collection of systems, methods and practices that convert raw data into relevant information. This allows you to use it as support for your decisions.

BI technologies automate the stages of this intelligence process and make them more efficient and precise. Systems can collect, structure and distribute large amounts of quantitative data. However, humans are what allow you to extract the qualitative insights that will help your business generate value.

The 3 Pillars of Business Intelligence

The BI process can be divided into three pillars that support its application in daily life within companies.

1. Data collection

An abundance of data is available to help you manage your company’s operations. These data can come from many sources, so you need a properly collected system.

Your analysis and conclusions will suffer if the data you are using is not accurate, out of date, or not reliable. Secure BPMS tools can be used to help you in this stage of data integration into business processes.

The systems can capture primary data that is generated from the business environment (e.g. operational or employee data) or secondary data that would come from an external source, such:

  • Needs of the consumer
  • Market trends
  • Aspects economic, technological, legal, cultural, and political
  • News from the press and social media.

2. Organisation and analysis

The system can integrate data after data collection. It is crucial to have well-structured, visual and easily organized information to simplify your analysis and reduce the chance of errors.

It is important to use tables, graphs, dashboards, and other formats for visualization.

A good analytics module for your chosen management tool (BPMS or CRM, Service Desk, ERP, ERP, Service Desk) is essential to use BI. This will allow you to extract the information generated from business process executions from different perspectives.

3. Monitoring and Control

With reports in hand, it is possible to designate KPIs and monitor them in real-time. This allows you to find contradictory data or operation errors and information that differs from the norm. This will make it easy to take quick and effective decisions.

BI allows you to identify production delays. Analysts monitor and compare data to find and fix bottlenecks.

Intelligence must be linked to Business Process Management (BPM) via a BPMS. This allows you to manage your business efficiently, accurately, and with support. The BI solution can transform data from processes into strategies that will improve the same processes.

What is the primary objective of Business Intelligence

This logic explains why BI’s main purpose is to aid data-based decision-making. Here are some examples.

  • Analysis of customer behaviour
  • Operation optimization
  • Identification of market trends
  • Comparing data between competitors

These tools allow managers to easily understand large data volumes. This reduces the time required for unifying, searching and consulting information.

Business Intelligence will not tell managers which path to take, but it will produce reports and provide ways to evaluate information and give business insights.

Applying BI to your business can give you competitive advantages and solve short-term and long-term issues.

Business strategies and tactical plans require more assertiveness

To launch a product new to your company, you can use BI to give your actions a base.

BI is responsible for conducting market research and collecting data about potential customers; checking financial data to determine whether it’s safe or unsafe to launch a product; and generating sales reports within the first few days to correct the marketing campaign’s course.

There are many ways to integrate BI into your business, and you can only plan for success using this data.

Find new business opportunities.

Business intelligence is crucial in identifying market trends and responding quickly to them. Trending topics in society can affect your planning. You should pay attention to numbers that show this, such as sales increases or declines.

These data can be combined with social media tags, press mentions, legislative modifications, consumer behaviour surveys and other information to indicate when it is time for a change.

This is true for soda companies. These beverages have seen a significant decline in popularity due to increased awareness about health and weight loss.

Save time and money

BI can be used to identify excessive or unneeded expenses as you will have the data necessary to measure them.

Automating also saves time as employees are more engaged in providing solutions and interpretations of data than in collecting and organizing data.

It is important to have all your data in one place. This helps avoid information loss and rework, leading to longer service times.

Risk management

Business intelligence is a powerful way to manage a company’s risk. You can identify them, monitor them and determine their likelihood.

Monitoring data can help companies spot external threats and internal weaknesses.

How can you use Business Intelligence?

You can better understand how to build Business Intelligence within your business by understanding the first step of defining your company’s strategy.

You can structure an intelligence process based on the real goals of your business. Consider: What information is most relevant to your business’s objectives, and how can you choose the best route to achieve them?

Set short- and long-term goals

Define the information you want to collect and how to do it. In other words, what methods and tools should be used.

  • When you implement BI, you can predict costs and risks.
  • This strategy will be of benefit to customers and suppliers.
  • You can standardize your decisions by understanding which metrics are linked to the information.
  • Designate people to monitor and test your changes.
  • Select a system that you want to implement

The right BPMS tool will allow you to collect, analyze, and monitor data in a reliable, systematic, and integrated manner. With real-time control, data is directly applied to the relevant processes.

BPMS offers the advantage of being flexible in adapting to changing market conditions, which is crucial in today’s dynamic market.

How can you implement BPMS within your company? Learn how to choose the right BPM Suite.

Brian Santiago

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