There has never been as much data readily accessible to businesses as there is today. Businesses should benefit from all of the data available to them, but many businesses are struggling in the middle of the information age. Too many businesses are being bogged down with data that is either too convoluted to utilize or the proverbial juice of all that data simply isn’t worth the squeeze. Fortunately, there is a solution that enables businesses to profit from the abundance of data that is available to them: business intelligence. Business Intelligence (BI) is meant to take in all the data being generated by a business and present easy to digest performance measures and trends that will inform management decisions.
Business becomes easier.
Essentially, business intelligence takes the often difficult to interpret data and converts it into information that is easy to understand. After that, it’s as simple as the decision maker applying the information to the strategic plans of their business. There are many reasons why decision makers need to use BI in their businesses. BI provides valuable insights into consumer behavior, enhances the process of setting and achieving goals, boosts efficiency, improves visibility, and turns data into actionable info. Perhaps the most important benefit of BI is the increase in efficiency associated with its usage.
Setup is king.
One of the biggest hassles in strategy planning is the process of gathering reports from the various aspects of a business. Getting reports can be difficult for many reasons, particularly because creating complex reports without business intelligence software often requires someone with a technical background. Small businesses often don’t have the personnel to compile in-depth reports. Additionally, executives are holding meetings for the purpose of information sharing or to gather reports. The problem with such meetings is that very few executives believe that their top management meetings actually produce decisions on important strategic or organizational issues. BI eliminates the critical dependence on an IT department, which is beneficial for non-technical users. Startegy eliminates a significant dependence on an IT department; it also eliminates both the time consuming task of consolidating data manually and holding information sharing meetings, which typically don’t produce the results that decision makers are seeking.
Equally important, BI gathers valuable insights into consumer behavior. BI boosts your ability to analyze current consumer trends and then act accordingly in response to those trends. It enables you to make valuable business decisions based off the consumer insights that your BI is providing, which improves your bottom line. Having a more complete understanding of consumer behavior through BI also enhances the process of setting and achieving goals.
Business is real-time.
BI provides real-time reports, which allows your business to act instead of react. You can evaluate the current status of your business and set realistic, achievable goals. Everyone has participated in a meeting where goals were set that were unrealistic and unachievable; while those types of goals are often well intentioned, they diminish progress and are often merely the result of not having enough information to make an informed decision. Ultimately, using BI leads to greater insights into consumer behavior, which can be utilized in your business goals to maximize revenue and reduce costs.
One of the ways BI contributes to maximizing revenue and reducing costs is through turning data into actionable information. In addition to gathering insights into consumer behavior, BI identifies key trends and issues that every business deals with. As has been previously stated, there is more data available to businesses now than there has ever been in the past. Data, by itself, does no good unless it is understood and able to be applied. BI is what converts the data into actionable information, which provides real value.
Efficiency saves money.
BI is effective at turning data into actionable information because it improves the visibility of business processes. Key Performance Indicators (KPI) enable you to display core metrics that will guide you in your business decisions. It provides the invaluable benefit of understanding both your strengths and weaknesses as a business. For example, everyone needs to know how much cash they have on hand, and that’s just one of the things BI can tell you. BI allows you to stop sifting through periodic reports to assess your business performance. Instead, a BI with a clean user interface can tell you exactly where you need to put your time and resources in order to improve the bottom line.
All things considered, every business can benefit from BI. BI is the epitome of the phrase, “adapt or die.” Everything BI does is aimed at empowering your business to adapt, so you can overcome real challenges and be successful. BI eliminates the need for time-wasting meetings as well as bottlenecks in IT departments trying to gather data for information sharing. BI provides valuable insights into consumer behavior, enhances the process of setting and achieving goals, boosts efficiency, improves visibility, and turns data into actionable info. The benefits of BI are obvious so either adapt or—you know the result.