Nowadays we observe the exponential growth of data volumes all around the world as well as in companies.
In order to become a leader and maintain this position in any business domain companies need to store, process and analyze efficiently large data volumes.
Based on this, the company which has more efficient data processing and data storage allowing to handle more historical data, receives competitive advantage
To gain this competitive advantage, companies implement Business Intelligence(BI) solutions.
Evolution of BI application within a company:
- Implementation of corporate data warehouse
- Data consolidation
- Analytical reporting system implementation
- Budgeting process automation
- Key Performance Indicators (KPI) system implementation
- Forecasting and predictive analysis solution based on mathematical models and self-educating systems, neural networks implementation
- Processing and analysis of large volumes of unstructured\sem-structured information - BigData solutions
The main goal of Business Intelligence is to help businesses in decision making leveraging historical and current business data.
High-quality BI solution gives a real picture about the company, allows to forecast the situation short-term and long-term, allowing faster decision making and problems identification. This abilities, in turn, advances the company as a whole as well as separate departments and employees to the new business maturity and efficiency level.
Key results of Business Intelligence solution implementation:
- Increased efficiency of management
- Decreased managerial risks
- Decreased spends
- Operational and strategical control
- Full transparency of key figures via data retrieval from different sources and its consolidation
- Data is available when management needs it without delays
- Increased employees performance
- Business users can use the companies data without additional IT-resources
- Business in sustainable while growing
BI term has quite a long history. More than 50 years ago, in 1958 Hans Peter Lan first used the term Business Intelligence. During these 50 years, BI term revolutionized both in methodology and technology.
Leading position on BI systems market is taken by SAP AG. SAP Business Intelligence - analytical system for large and medium enterprises which allows to gather, store and analyze business information efficiently. SAP BI reporting is available both on desktop computers and mobile devices.
In the core of BI system, there is a technology of online analytical data processing (OLAP), unlike OLTP - online transaction processing, which is used in ERP-systems.
OLAP is not a particular product or technology, but a complex of concepts, principles, and standards based on the many companies and experts` experience. The main purpose of OLAP is to simplify usage of business intelligence and standardize BI systems architecture.
Contemporary BI systems includes 3 core components:
- ETL (Extract Transform Load) - this component is responsible for integration with other systems (ERP, CRM, SCM, etc.), databases (Oracle, MS SQL, MySQL, etc.), Web-Services or files (Excel, CSV, XML).
- BW (Business Warehouse) - component, which allows large data volumes storage. The data storage is optimized for read operations.
- Reporting - tools for data visualization. The tool is mainly used by business users.