Every business organization seeks ways to stay ahead of the ever-changing market trends and gain a comparative advantage over the competition. Following the growing trend of data analysis, many businesses have started making significant investments in big data analytics. By investing in a modular, standards-based business intelligence system, you can scale your operation, drive growth, and inform timely decision-making. Before we delve into the benefits of business intelligence, learn more about the concept below.
Business Intelligence Definition
The term Business intelligence (BI) refers to a collection of best practices and technology that enable users to access and analyze raw data to optimize business decision-making and business performance management. BI platforms leverage data visualization techniques to reveal patterns and emerging trends, which provide the user with meaningful insights.
So, how does a typical BI system work? First, the BI software collects data from multiple data sources to keep the business user informed on emerging trends. Then, the BI solution comes in and uses data analysis software for modeling, visualization, and manipulation of data.
The actionable insights gained from this data analysis help the business leader make better decisions. BI tools enable users to explore data by using a powerful relational online analytical processing (OLAP) approach.
Business intelligence software that has dashboards embedded in them is more valuable and competitive. With the dashboard, data scientists can use self-service BI platforms to monitor business operations, track KPIs, and generate valuable insight.
Additionally, data managers can leverage a BI system that features data integration software to build a data mart or a data warehouse to combine data from disparate sources.
Benefits of Business Intelligence
There’s no gainsaying that deploying business intelligence software into your business processes will translate into real-world success for your business. For one, business intelligence processes help organize data for decision-makers to access the information they need to make informed decisions quickly. That said, this is just one out of the many benefits that BI offers—there are even more benefits to business intelligence.
Generating Faster Insights
Business intelligence platforms enable users to convert data into valuable insights faster. With data visualization, data analysts can identify emerging trends and outliers. The information can provide insight to help business leaders improve business performance, create new opportunities, and mitigate risk factors.
Increasing Reporting Efficiency
Business intelligence platforms collect raw data from multiple data sources and store them in a data warehouse. BI tools access and analyze the dataset according to drag-and-drop reports, dashboards, and user queries. Business intelligence software can help business users increase reporting efficiency. Moreover, the intuitive dashboards help make data analysis easier and faster for less tech-savvy end users.
Helping You Make Better Decisions
The days of making decisions based on gut instinct are long gone. Nowadays, business leaders rely on actionable insights derived from a faster, fact-based process like data analysis for decision-making. With a business intelligence system, you can make timely, data-driven decisions.
Improving Product Value
A specialized BI tool can make a world of difference for your business. Today, business intelligence tools make analytics more intuitive for users. More so, it saves your IT team time and the hassle of writing custom codes for every data report or visualization. A self-service analytics tool or data exploration tool can make data access convenient for end-users to visualize and manipulate independently.
Enhancing Organizational Efficiency
Business intelligence enables business leaders to access business operations data and gain meaningful insights to improve their operations. This will help leaders identify new opportunities that enhance efficiency and productivity. Furthermore, organizations can use BI systems to collaborate among teams and develop models to optimize business processes. BI allows analysts to save time on data analysis and generating reports. Leaders can use the extra time to leverage the insight gained to create innovative products and services.