Companies around the world rely on business intelligence (BI) to operate efficiently and profitably. However, many people don’t understand BI or why it’s critical to success. If you’re confused about BI or business intelligence consulting services, here’s a simple guide to help it all make sense.
What is business intelligence?
Simply put, business intelligence is the process of analyzing data to make discoveries and reveal actionable insights. For example, retailers may use BI to determine which products are top-sellers and then prominently position those products in stores. Businesses may also use BI to identify gaps in supply chains, and then take steps to correct them, or measure the results of a marketing campaign and react accordingly.
The applications of BI are far-reaching and affect everything from sales and marketing to finance and operations. And thanks to the rise of connected devices, the BI market will only grow. According to one market research firm, the global business intelligence market will reach $34.3 billion by 2022, up from $16.3 billion in 2016. That’s a compound annual growth rate (CAGR) of 11.03%. As the market grows, so does the need for BI consulting and business intelligence services companies.
What are the benefits of business intelligence?
Businesses that deploy BI, either internally or with the help of a BI consulting firm, enjoy a wealth of benefits. They include:
- More efficient operations. By analyzing data to identify weaknesses, businesses can work to fix problems and increase efficiency. After all, if a business doesn’t know a problem exists, they can’t correct it.
- Increased revenue. By using BI or BI consulting, companies can identify ways to drive sales and increase revenue. For example, finding and focusing on high-profit customers or effective sales techniques.
- Lower costs. With business intelligence, companies can drive down costs by identifying and eliminating money-draining problems. For example, excessive inventory or marketing efforts with a low return on investment (ROI).
- Faster reporting. Thanks to BI solutions, businesses can greatly reduce the time and effort it takes to generate reports, freeing up IT staff to work on other projects.
- Reduced turnover. HR departments can partner with BI consulting companies to deploy BI and discover what’s causing employee turnover. Then, they can work to address the issue and reduce the cost of departing personnel.
- Improved customer experience. By analyzing customer data, businesses can improve the customer experience by learning more about their customers’ likes and dislikes.
Business intelligence service offerings are no longer just for large corporations. While resource-rich businesses used to be the only ones who could afford BI, this technology is now accessible to small- and medium-sized businesses as well. This is due to simplified solutions and help from business intelligence services companies.
What tools does business intelligence require?
To get the most value from their data, businesses need software that retrieves, analyzes, and transforms stored data into actionable reports. There are many options available, but popular business intelligence software includes Tableau, Qlick, SAP, Sisense, and Domo. Often, businesses aren’t sure which option is best for their needs or how to use the software to its full advantage. Business intelligence consulting services can help.
Other BI tools include:
- Data warehouses – Central repositories of data originating from one or more source
- Dashboards – A data visualization tool that displays important metrics, key performance indicators, data points, and more…all on a single screen
- Ad hoc reporting – A system of reporting that allows users to create reports as needed
- Data discovery tools – Process of collecting data from various sources and consolidating it in an easy-to-read report
- Cloud data services – Business intelligence solutions hosted in the cloud
How do companies get started with business intelligence?
Getting started with BI can be overwhelming, especially for companies with a small IT staff. Fortunately, BI consulting firms like Trianz can help companies of all sizes find the right tools and develop customized, scalable solutions. Analysis, data preparation, data architecture, optimization, implementation, and BI testing are just a few of the services BI consulting companies offer. While deploying business intelligence may seem complicated, with the right guidance, it’s easily attainable.
Companies around the world rely on business intelligence to increase sales, streamline operations, and lower costs. By taking advantage of business intelligence service offerings, your company can too.